Global Cities Are Taking an Even More Pronounced Role In People’s Lives
Global cities are taking an even more pronounced role in people’s lives. According to Wikipedia, A global city, also called world city or sometimes alpha city or world center, is a city generally considered to be an important node in the global economic system. The concept comes from geography and urban studies, and the idea that globalization can be understood as largely created, facilitated, and enacted in strategic geographic locales according to a hierarchy of importance to the operation of the global system of finance and trade.
Traditionally, we have seen the global city as platforms driving economic activity but with the influence of technology, they now serve as live-work-play destinations. The CBRE Global Gateway Cities Survey lays out clearly the effect on Europe’s gateways for real estate investment. More importantly, the report discusses the benefits to investors as we see living, working and playing capitals taking on new dynamics. First and foremost, their attractiveness to businesses and people means that space demand in the commercial sector increases steadily over the long-term, underpinning rent growth. As they are transformed into even more highly liquid markets, real estate investments can be more easily bought and sold.
CBRE.com stated that “From a real estate perspective, global gateway cities offer many benefits. Their attractiveness to people and businesses means that space demand in their commercial real estate markets increases steadily over the long term, underpinning rent growth. These cities are also highly liquid markets, where real estate investments can be readily bought and sold. We have compiled this new report so that those looking to invest in retail or office assets in one or more of the world’s great cities can quickly and easily understand pricing and market conditions.”