Amazon is Coming to DMV - How to use Equity

[Kenny Lincoln]

I wanted to start a discussion where investors can share ideas and strategies as Amazon moves into our market. We can also discuss the potential growth in property values and impact on surrounding markets due to the announcement.

For example, I have equity within a DC property and I'm thinking about purchasing a 2nd investment property near the proposed Amazon location. Both properties still need to cash flow and the purpose would be to take advantage of growing property values. I've read expectations of 20 - 50% increase in value within a 7 year period due to Amazon alone. What ideas do other investors have? How concerned should we be about a decrease in the economy over the next 3 years and could Amazon prevent this from happening in our local market?

[Russell Brazil]

Amazon is one small blip on the radar for our local economy. However there are lots and lots and lots of other small blips. We have a very strong, diversified and low risk market here in the DC area.  Property values in Crystal City (I refuse to call it National Landing) and along route 1 going south are going to be positively impacted...however those already good places to buy.

The properties though that are going to experience the most upside due to Amazon (Along with Va Tech and Ga Mason moving to that location) are going to be those condos there right in the area. Those condos are not going to cash flow if they are leveraged due to the high price, high condo fees, and really the reasonable priced rents on them.