The Power of Population Migration

*Generational Preferences Impact Population Growth

•Suburban exodus in the 50’s and 60’s saw a strong increase in CRE space demand outside the core

•Millennials reversing this trend, moving to the city for live-work-play lifestyle

•As Millennials approach age of family formation, we may see migration back to the suburbs

*Jobs, Taxes, Lifestyle Directing Population Movements

•Sunny weather, retirement and job opportunities draw people generally south and west

•Reduced deductibility of state and local taxes (SALT deductions) benefit states with lower taxes

*Migration Flows Impact Commercial Real Estate

•Positive migration boosts demand for all commercial real estate

•Even in metros with negative migration, some areas of the city could be strengthening