The DC Market
The DC real estate market continues to be one of the most exciting markets in the United States. After years of stagnant growth, the District is finally becoming more than just a political capitol. Similar to Paris, Tokyo and London, Washington, DC is maturing into a business and cultural center and, with that, the real estate market continues to pop. In fact, according to a 2015 gentrification report produced by Governing Magazine (Download Report), DC is experiencing the second greatest gentrification process in all of the United States, second only to Portland, OR.
DC’s rebirth can be attributed to many things but the real estate market is being driven by the diversification of the economy and the increasing desire to build urban lifestyles, especially by millennials and retiring baby boomers. Both of these demographic groups want high quality housing with modern amenities, and both of these demographic groups have disposable income. As existing residential is redeveloped and entire new communities are built from ground up, the commercial real estate must be redeveloped or built along with it.
In terms of sustainability of the market, it is important to take note of the structural changes that have occurred in the region over the past 15 years. In that regard, 2015 is a marker year for the area. The Washington metro area surpassed the 6.0 million resident mark and now ranks 7th in population among the nation’s metro areas. Further, it is the 5th largest job market and job growth through 2015 continues to be robust (Download Report). As these structural changes become entrenched, the Greater Washington Area will continue to develop with the support of above average wages and median household income, a highly skilled and educated workforce and a continuously evolving economy.
Joint Ventures and Equity Partnerships:
As Pinewood Financial, and its principals, specialize in the acquisition and renovation of residential properties for commercial purposes, our direct investments have focused on condominium and apartment developments, including mixed use, however we will entertain participation in any real estate transaction in the Greater Washington Area.