I currently live near North Kansas City, MO and aim to invest in multifamily real estate in Johnson County. I have heard Johnson County is bringing in many new big employers. I assume this will lead to a lot of real estate appreciation and higher market rents as employees flood into these areas looking for homes. My questions are:
(1) Where can I find which employers are coming to Johnson County? I'd like to know exactly when they plan to be operational, exactly where they will be located, how many jobs they plan to bring to the area, and what kind of jobs these employers will provide (low wage service jobs, white collar technical, etc.) Are there trade journals, newspapers, blogs, or other things I can read to find this information? Are there specific people I should contact (e.g., local government offices)?
(2) Is it a sound practice to invest in small multifamily properties in these appreciating areas? My goal is eventually to buy larger (commercial) multifamily properties, but I want to cut my teeth on 2-4 unit properties first. I have wondered about having to compete with big fancy apartment complexes once things start taking off in these appreciating areas.
As always, thanks for any advice and help! -Edward
I'm surprised you didn't get a response to this. Did you ever get better information?
I'm planning to call to economic development committee in KC tomorrow to get the 'master plan', which should have some information about that.
@Josiah Mann did you end up getting that master plan?
I would visit the Mid-America Regional Council and subscribe to the Business Journal - you will find lot of information like you are looking for.
Thank you everyone. Just got back on BP after a long break. I'm looking at everything you've all provided and really appreciate the responses.
Another aspect to consider is the potential for companies to fail or get smaller. There is kind of a famous story about Sprint, which shelled out millions on a new campus only to struggle to avoid bankruptcy every since.
Two thoughts about that. If Sprint fails, some very nice Leawood area homes could get cheap quick. If Sprint merges with T-Mobile or otherwise grows, you could see a lot of appreciation in those same homes, as well as the commercial areas nearby.
Company campuses can be a double-edged sword.
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