{"id":11112,"date":"2024-03-21T05:14:11","date_gmt":"2024-03-21T05:14:11","guid":{"rendered":"https:\/\/imsfund.com\/?p=11112"},"modified":"2024-03-21T05:14:11","modified_gmt":"2024-03-21T05:14:11","slug":"the-rise-of-15-minute-cities-and-if-investors-should-cash-in","status":"publish","type":"post","link":"https:\/\/imsfund.com\/index.php\/2024\/03\/21\/the-rise-of-15-minute-cities-and-if-investors-should-cash-in\/","title":{"rendered":"The Rise of \u201c15-Minute Cities,\u201d and if Investors Should Cash In"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div id=\"post-content\" :class=\"{ 'hidden': $store.proContent.showFullPrompt() }\">\n<section class=\"px-4 relative border border-slate-200 mobile-toc lg:hidden\" x-data=\"{open:false}\">\n<button x-on:click=\"open = !open\" class=\"flex items-center gap-4 my-2 border-none w-full\"><br \/>\n<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"h-6 w-6\" fill=\"none\" viewbox=\"0 0 24 24\" stroke=\"currentColor\" stroke-width=\"2\"><path stroke-linecap=\"round\" stroke-linejoin=\"round\" d=\"M4 8h16M4 16h16\"\/><\/svg><\/p>\n<p class=\"font-semibold text-slate-800 text-base m-0 js-toc-ignore\">In this article<\/p>\n<p><\/button><\/p>\n<\/section>\n<p><span data-preserver-spaces=\"true\">The 15-minute city as a concept has been around for a while now. First introduced by the Colombian-French scientist Carlos Moreno and eventually implemented as an official urban planning policy by the City of Paris, the 15-minute city promises its residents access to amenities without the need for a car.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The idea is that you should be able to go to work, do your grocery shopping, visit the local medical center, and pick up the kids from school, all within a 15-minute walking radius of where you live. This all sounds wonderful, but what matters from an investor\u2019s point of view is whether there is demonstrable demand for it\u2014and whether it will continue growing.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">So, are 15-minute cities worth factoring into your real estate investment decisions, or are they just a temporary fad?<\/span><\/p>\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Beyond Walkability: Why the 15-Minute City May Be a Useful Concept<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">Most real estate preference surveys focus on walkability as a growing demand factor. The National Association of Realtors (NAR) is the most robust source of data on the subject and has been running its\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/cdn.nar.realtor\/\/sites\/default\/files\/documents\/2023-community-and-transportation-preferences-survey-topline-results-06-20-2023.pdf\" target=\"_blank\" rel=\"nofollow noopener\"><span data-preserver-spaces=\"true\">Community and Transportation Survey<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0every three years. The results of the latest one, completed in 2023, are actually pretty mixed if we take walkability as a stand-alone measure of a location\u2019s attractiveness.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">In fact, only 48% of respondents rated walkability as a high priority if they were planning to move. Instead, people prioritized high-quality public schools in the area (62%), a short commute (61%), and having a large yard (56%) and a large house (54%). Note that the majority of those respondents (53%) were homeowners, and only 36% were renters.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">It\u2019s not that being able to live in a walkable community doesn\u2019t matter. It\u2019s just that, for current homeowners, it doesn\u2019t matter enough to move the needle in their decision-making.\u00a0\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Does that mean that the 15-minute city idea is of no value to a real estate investor?\u00a0<\/span><em><span data-preserver-spaces=\"true\">Au contraire<\/span><\/em><span data-preserver-spaces=\"true\">. In fact, it may be a more valuable tool for investors than surveys about walkability.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">What matters isn\u2019t just walkability on its own but where and what people would be walking\u00a0<\/span><em><span data-preserver-spaces=\"true\">to<\/span><\/em><span data-preserver-spaces=\"true\">. The 15-minute city concept is about more than building more sidewalks and bike lanes; its core principles are sustainability, solidarity, and citizen participation.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">In other words, it\u2019s about people building meaningful connections and supporting each other within the community. This is quite a different setup from your typical suburban residential neighborhood, with a sidewalk for jogging.\u00a0<\/span><\/p>\n<div class=\"justify-center \" x-data=\"{ IabAdad_block_: popAd(['r720x90'], '1') }\" :class=\"IabAdad_block_.linkURL ? 'flex pt-8' : 'hidden'\">\n<a x-show=\"https:\/\/www.biggerpockets.com\/blog\/IabAdad_block_.linkURL\" x-on:click=\"adClicked('https:\/\/www.biggerpockets.com\/blog\/what-are-15-minute-cities-and-should-you-buy-in', IabAdad_block_.sponsor, IabAdad_block_.title, IabAdad_block_.id, 'blockAdClicked', 'blockAd', 'postContent')\" target=\"_blank\" x-init=\"&#10;      analytics.track('blockAdLoaded', {&#10;        referrer: 'https:\/\/www.biggerpockets.com\/blog\/what-are-15-minute-cities-and-should-you-buy-in',&#10;        sponsor: IabAdad_block_.sponsor,&#10;        ad_title: IabAdad_block_.title,&#10;        ad_page_location: 'postContent'&#10;      })&#10;    \" x-intersect:enter.once=\"adViewed('https:\/\/www.biggerpockets.com\/blog\/what-are-15-minute-cities-and-should-you-buy-in', IabAdad_block_.sponsor, IabAdad_block_.title, IabAdad_block_.id, 'blockAdViewed', 'blockAd', 'postContent')\" rel=\"noopener\"><\/p>\n<div class=\" hidden sm:block\">\n<img class=\"m-0\" :src=\"https:\/\/www.biggerpockets.com\/blog\/IabAdad_block_.r720x90\" :alt=\"IabAdad_block_.r720x90Alt\"\/>\n<\/div>\n<div class=\"block sm:hidden\">\n<img class=\"m-0\" :src=\"https:\/\/www.biggerpockets.com\/blog\/IabAdad_block_.r320x50\" :alt=\"IabAdad_block_.r320x50Alt\"\/>\n<\/div>\n<p><\/a>\n<\/div>\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">What Renters Want<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">Recent research that zooms in on renters\u2019 preferences shows that their values increasingly align with this concept of a supportive, friendly neighborhood where people can connect.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">One in-depth survey of 1,500 renters in\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/blog\/finding-multifamily-properties\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">multifamily<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0apartment units across the U.S. by a resident experience company called\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/hello.venn.city\/hubfs\/Venn_ExperienceReport_2023.pdf\" target=\"_blank\" rel=\"nofollow noopener\"><span data-preserver-spaces=\"true\">Venn<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0found that the vast majority favor three things:\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">1. The chance to live in a place with thriving local businesses (4 out of 5 respondents)<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">2. The ability to grow their social connections and socialize with neighbors (three-quarters of respondents)<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">3. Opportunities to volunteer in the local community (3 out of 4 respondents)<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The Venn survey emphasizes that many\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/blog\/what-is-a-landlord\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">landlords<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0don\u2019t understand what renters actually want, mistakenly assuming that they\u2019re attracted to the latest smart home technologies and free subscriptions to services like Netflix. But these things factor very little into people\u2019s decisions about where to rent\u2014and even less into their decisions about whether to renew their lease. Instead, the survey found that renters who were satisfied with their local communities were\u00a0<\/span><em><span data-preserver-spaces=\"true\">twice as likely<\/span><\/em><span data-preserver-spaces=\"true\">\u00a0to renew their leases than those who were \u201camenity-rich\u201d but didn\u2019t feel like they belonged where they were.\u00a0\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">On a purely psychological level, this makes a lot of sense. Renters know that where they\u2019ll be living likely won\u2019t be their dream home. Most renters have to compromise a lot on space, furnishings, and even the type of housing they end up living in. No amount of Netflix will fix that. However, making friends and hanging out at a great local caf\u00e9 may just take the edge off some of the downsides of the renting experience.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The survey even found that people reacted more positively to apartment ads that showed communal spaces with people in them, as opposed to just images of empty apartments.\u00a0<\/span><\/p>\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Doing Your Neighborhood Research the Right Way<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">As is so often the case with doing successful\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/blog\/real-estate-886\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">market research<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0as a real estate investor, the trick here is to switch on your nonlinear thinking. It\u2019s not that walkability doesn\u2019t matter to renters; it\u2019s just that taken as an isolated factor, it\u2019s not very useful. Instead, what pays off is assessing the whole neighborhood. Walkability is not a bad place to start this kind of assessment because highly walkable neighborhoods also tend to be the ones that have thriving businesses and communities.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Antoine Bryant, Detroit\u2019s director of planning and development, described growing up in a walkable Brooklyn neighborhood in an\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.nextavenue.org\/the-15-minute-city-saving-my-life\/\" target=\"_blank\" rel=\"nofollow noopener\"><span data-preserver-spaces=\"true\">article about 15-minute cities<\/span><\/a><span data-preserver-spaces=\"true\">: \u201cI looked out the window, and across the street was a bodega, which is like a mini-grocery store. Fish market, dry cleaner, meat market, pizza, another dry cleaner, liquor store, hardware store and then another bodega.\u201d<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">This is the sort of thing the modern renter wants. The success of cities like Portland, Oregon, Boston, and Baltimore is not just due to these places drastically improving walkability. It\u2019s the whole urban regeneration package, with communities transformed by sustainable green spaces, thriving small businesses, and an overall friendly and inclusive environment. Not only do renters like this setup in theory, but they are also prepared to pay more for it.\u00a0\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">A cursory look at recent rental market trends in Portland, for example, shows that it really pays to do your research on a granular, neighborhood-by-neighborhood level. Don\u2019t look at overall rent statistics.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Portland\u2019s average one-bedroom rents are showing a 4% annual increase. But look at the annual rent price increase for the popular King\u2019s Hill Historic District (full of restaurants, caf\u00e9s, daycare centers, etc.)\u2014it\u2019s a whopping\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.rent.com\/oregon\/portland-apartments\/rent-trends\" target=\"_blank\" rel=\"nofollow noopener\"><span data-preserver-spaces=\"true\">31%<\/span><\/a><span data-preserver-spaces=\"true\">. Oh, and by the way, King\u2019s Hill has a\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/zerodown.com\/quality-of-life\/king's-hill-historic-district--portland--or\" target=\"_blank\" rel=\"nofollow noopener\"><span data-preserver-spaces=\"true\">walkability score of 94<\/span><\/a><span data-preserver-spaces=\"true\">. Food for thought?<\/span><\/p>\n<div id=\"visibility-group-block_64dd56548a48e\" class=\"visibility-group  hidden\">\n<div id=\"hero-block_62df1a82bfc88\" class=\"first:mt-0 hero-block py-4    has-background has-theme-gold-light-background-color has-text-color has-theme-gold-color\">\n<div class=\" flex flex-wrap lg:flex-nowrap max-w-screen-xl mx-auto px-4 relative lg:items-center \">\n<div class=\"relative z-30 w-full \">\n<main class=\"py-4\"><\/p>\n<p class=\"has-theme-gold-color has-text-color has-large-font-size\" style=\"font-style:normal;font-weight:800\">Get the Best Funding<\/p>\n<p class=\"my-3 md:my-5 lg:my-8 has-slate-900-color has-text-color\" style=\"font-size:16px\">Quickly find and compare investor-friendly lenders who specialize in your unique investing strategy. It\u2019s fast, free, and easier than ever!<\/p>\n<p><\/main>\n<\/div>\n<div class=\" first:mt-0 relative h-full lg:flex lg:items-center\">\n<img decoding=\"async\" class=\"object-cover w-full relative z-20 my-0  shadow-xl rounded-md hidden lg:block\" src=\"https:\/\/bpimg.biggerpockets.com\/https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2022\/08\/Lender-Match.png\" alt=\"find a lender with lender match\" title=\"The Rise of \u201c15-Minute Cities,\u201d and if Investors Should Cash In 2\"\/>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<div class=\"wp-block-group__inner-container\">\n<div class=\"wp-block-group__inner-container\">\n<div id=\"visibility-group-block_64dd31c79f00f\" class=\"visibility-group  \">\n<div id=\"hero-block_64dd2875dba9d\" class=\"first:mt-0 hero-block py-4    has-background has-slate-100-background-color has-text-color has-theme-slate-color\">\n<div class=\" flex flex-wrap lg:flex-nowrap max-w-screen-xl mx-auto px-4 relative lg:items-center \">\n<div class=\"relative z-30 w-full \">\n<main class=\"py-4\"><\/p>\n<p class=\"my-3 md:my-5 lg:my-8 has-theme-slate-color has-text-color\" style=\"font-size:16px;font-style:normal;font-weight:400\">Ready to succeed in real estate investing? Create a free BiggerPockets account to learn about investment strategies; ask questions and get answers from our community of +2 million members; connect with investor-friendly agents; and so much more. <\/p>\n<p><\/main>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p class=\"italic\"><b>Note By BiggerPockets:<\/b> These are opinions written by the author and do not necessarily represent the opinions of BiggerPockets.<\/p>\n<\/div>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.biggerpockets.com\/blog\/what-are-15-minute-cities-and-should-you-buy-in\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In this article The 15-minute city as a concept has been around for a while now. First introduced by the Colombian-French scientist Carlos Moreno and eventually implemented as an official urban planning policy by the City of Paris, the 15-minute city promises its residents access to amenities without the need for a car.\u00a0 The idea [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":11113,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"fifu_image_url":"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2024\/03\/city-street-1024x517.jpg","fifu_image_alt":"","footnotes":""},"categories":[9],"tags":[],"class_list":["post-11112","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"_links":{"self":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts\/11112","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/comments?post=11112"}],"version-history":[{"count":1,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts\/11112\/revisions"}],"predecessor-version":[{"id":11114,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts\/11112\/revisions\/11114"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/media\/11113"}],"wp:attachment":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/media?parent=11112"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/categories?post=11112"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/tags?post=11112"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}