Plus other markets where the sector is important
The tech sector’s impact on local economies and commercial real estate is the subject of a new report from Cushman & Wakefield.
The report Tech Cities 2.0 follows a similar report a year ago and groups major cities in North America in three groups – critical, key driver, and important – the local economy and CRE.
“As tech companies continue to dominate headlines and grow, a key question is how this affects commercial real estate. Building upon our inaugural Tech Cities report from last year, Tech Cities 2.0 offers new data and a further in-depth analysis of the marketplace,” Revathi Greenwood, Cushman & Wakefield’s Americas Head of Research, said.
He added that it’s not just traditional tech competing for space with media, retail, and even law firms also seeking for innovative space and the best talent in key markets.
Attracting talent
And attracting talent – especially millennials – is a big part of the locations where tech is big news. Young workers want to live and work in the best cities.
“Both start-ups and big tech companies have recognized they need a footprint in the central cities to keep attracting millennial workers, and as a result, they are taking large chunks of high-rise buildings and trophy assets in dense urban areas - in addition to keeping their sprawling campuses in the suburbs,” said Robert Sammons, Cushman & Wakefield’s Senior Director, Northern California Research.
North America’s top tech cities
Combining employment, occupations, venture capital investment, and demographics statistics, this year’s list from Tech Cities 2.0 is separated into three major categories:
- Tech is a critical component of the local economy and CRE market:
- Austin
- Boston
- Provo
- Raleigh/Durham
- Salt Lake City
- San Diego
- San Francisco
- Silicon Valley
- Seattle
- Washington, DC Metro
- Tech is a key driver of the local economy and CRE market:
- Atlanta
- Dallas/Fort Worth
- Denver
- Minneapolis/St. Paul
- Montreal
- Portland, OR
- Toronto
- Vancouver
- Tech is important to the local economy and CRE market, but there are other important sectors as well:
- Baltimore
- Charlotte
- Chicago
- Greater Los Angeles
- South Florida
- New York City
- Philadelphia
