Leading indicators of up-and-coming rental markets

[Tom Henderson]

For me, in Minneapolis, Minnesota, two markets are pretty defined, but a third is where I am investing. 

Why? Two different factors-- marketing agencies and breweries-- which are renovating old, historic warehouses in older blue-collar neighborhoods, and pulling in an older, more established 'Yuppie' group. I like the idea of 'clusters,' where one geographical area hosts multiple competitors relatively close because they draw in talent and buyers (think Silicon Valley or Tel Aviv, Israel -- for Tech)

Minneapolis, like many cities in America is experiencing a Brewery Boom-- 8 have popped up in a 2 mile radius after the initial had great success. Marketing, PR, Digital Agencies operate pretty similarly (in my opinion). Big generalization though. When smaller commercial outfits like these pop up, and it becomes hip to redo historic commercial buildings, the residential communities surrounding these are the big winners. 

I've made 3 bets that are paying off (2 duplexes, quad brownstone). I'm curious what other leading indicators help someone make a gut decision when deciding in which areas to invest?

[Brie Schmidt]

That is one thing I look for... the conversion of abandoned buildings and the influx of trendy restaurants.  I look for areas close to public transit that are on the outskirts of these transitioning neighborhoods.  Prices are generally way cheaper and then go up when the area starts to get a face lift.

I also set up google alerts on neighborhoods or areas I am interested in and look for development projects, ect