Wednesday, June 4, 2008

Follow the Starbucks to Real Estate Riches

Interesting article from Newsweek that suggests that picking neighborhoods where real estate values are sure to rise is as easy as finding a new Starbucks or Home Depot. Why?

People who believe in this logic say that growth-oriented chains like Starbucks and Home Depot do tons of economic and demographic research before moving into a new town, and that their decision to locate a store indicates a big vote of confidence in the area's economy.

I'm not a regular customer of Starbucks, and I was a little bummed when SB came to our small city's downtown a year ago. But, now I guess I should consider SB's arrival a good sign.

1 comment:

  1. I heard the same thing about Mcdonalds back in the mid 90's. Starbucks would probably be a better growth indicator.

    Home Depot is closing a few stores across the country so obviously they don't always predict correctly

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