Columbus, Ohio - Tertiary Markets

Columbus, Ohio - Tertiary Markets

Attorney · Columbus, OH · Member since 2023 · 193 posts · 145 votes

It's no secret that Columbus, Ohio was named the 3rd hottest Real Estate market by Zillow for 2024 - https://www.nbc4i.com/news/local-news/real-estate/columbus-n...

This shouldn't be a surprise with so many fortune 500 companies like Intel, Google, and Wells Fargo investing Billions in Columbus

- https://www.10tv.com/article/news/local/road-improvements-be...

- https://ohiocapitaljournal.com/2023/05/08/google-is-building...

- https://www.dispatch.com/story/business/2023/12/12/wells-far...

But I am constantly asked, "where are the deals?" While the 1% rules and deals with significant equity have become increasingly difficult to find within the 270 outer belt, there are an abundance of these deals to be found both off and on market in the Columbus' Tertiary Markets. For instance, Intel's $20 Billion investment is in Licking County (see link above - well outside the 270 outer belt). Many of locals are against the new developments and want to keep the potential cash on cash return a top secret. While others understand the development and influx of "out of state money" is inevitable. The locals who realize that this IS inevitable have been cashing-in and seeing absurd returns on their investment. While you can never lose selling at a gain, what are the ones who are selling potentially missing out on by selling this early? Well, just the potential appreciation that could be seen with the 20,000 new jobs Intel is predicted to bring in with an average salary of $135,000 a year (currently over 2x the median house hold income in Licking County) - https://www.axios.com/local/columbus/2022/01/24/mega-intel-c... So, after Intel finishes its $20 Billion investment, there will be an additional $2.7 Billion paid to the employees every year after ($135,000 average salary x 20,000 predicted jobs). I can only imagine the appreciation that will come after the factory is complete.

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Contractor · Columbus, OH · Member since 2017 · 85 posts · 83 votes
2y

@Jason Allen, Great post, we have a few real estate / Construction business here in Columbus and have been wondering what the best strategy / planning should be for the next 3,5,10,20 years based on all this investment and growth. We obviously are not trying to change our identity but do feel that we should be paying attention and planning for new opportunities that will align with our businesses. It will continue to be very interesting.

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  • Contractor · Columbus, OH · Member since 2017 · 85 posts · 83 votes
    2y

    @Jason Allen, Great post, we have a few real estate / Construction business here in Columbus and have been wondering what the best strategy / planning should be for the next 3,5,10,20 years based on all this investment and growth. We obviously are not trying to change our identity but do feel that we should be paying attention and planning for new opportunities that will align with our businesses. It will continue to be very interesting.

  • Robert EllisBusiness Member
    Developer · Miami, FL · Member since 2014 · 3k+ posts · 1k+ votes
    2y

    Just posted yesterday some more specifics where new construction is starting to creep in. Where there are more than 3 new builds for the first time. South side of Mansfield, Marion, Springfield, London, South Bloomfield, Lancaster, Newark, Ostrander, Marysville are the major ones I'm seeing. All typically are in a pretty tight radius around Columbus. Great post just trying to highlight some of those actual tertiary markets where people can look. 

  • Real Estate Agent · Columbus, OH · Member since 2018 · 1k+ posts · 1k+ votes
    2y
    Quote from @Jason Allen:

    It's no secret that Columbus, Ohio was named the 3rd hottest Real Estate market by Zillow for 2024 - https://www.nbc4i.com/news/local-news/real-estate/columbus-n...

    This shouldn't be a surprise with so many fortune 500 companies like Intel, Google, and Wells Fargo investing Billions in Columbus

    - https://www.10tv.com/article/news/local/road-improvements-be...

    - https://ohiocapitaljournal.com/2023/05/08/google-is-building...

    - https://www.dispatch.com/story/business/2023/12/12/wells-far...

    But I am constantly asked, "where are the deals?" While the 1% rules and deals with significant equity have become increasingly difficult to find within the 270 outer belt, there are an abundance of these deals to be found both off and on market in the Columbus' Tertiary Markets. For instance, Intel's $20 Billion investment is in Licking County (see link above - well outside the 270 outer belt). Many of locals are against the new developments and want to keep the potential cash on cash return a top secret. While others understand the development and influx of "out of state money" is inevitable. The locals who realize that this IS inevitable have been cashing-in and seeing absurd returns on their investment. While you can never lose selling at a gain, what are the ones who are selling potentially missing out on by selling this early? Well, just the potential appreciation that could be seen with the 20,000 new jobs Intel is predicted to bring in with an average salary of $135,000 a year (currently over 2x the median house hold income in Licking County) - https://www.axios.com/local/columbus/2022/01/24/mega-intel-c... So, after Intel finishes its $20 Billion investment, there will be an additional $2.7 Billion paid to the employees every year after ($135,000 average salary x 20,000 predicted jobs). I can only imagine the appreciation that will come after the factory is complete.


     Great information, Jason; thanks for the insight. 

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