Contrary to Baby Boomer beliefs, millennials are a hard generation to define. They range in age from late teens to mid-thirties. They come into the real estate market with more debt and education than their parents had at their age, but less buying power. So, how is a generation that lives at home longer, marries later, and prefers to rent turning the commercial real estate market on its head?
One word: WiFi.
Millennials are looking for a one-stop-shop to live, work, and play in that can accommodate their hefty connectivity demands.
Doing Things Their Way
Unlike Gen Z who grew up with technology in their hands, millennials at least remember a time when internet and connectivity were in their infancy. They have grown up alongside the internet and are looking for faster, more efficient business practices.
Internet connectivity is driving everyday tasks like:
- Paying rent
- Renewing leases
- Commercial transactions
- Researching investments, buyers, and listings
They’re a group of individuals that were molded by the 2008 recession, so they’re highly suspicious and rarely take anything at face value. You can count on them to conduct their own online research, even with the most experienced realtor.
A New Way To Work
The ability to connect to the internet 24/7 is a must for millennial investors, whether it’s an office or living space. If you can’t meet that demand, you should quit while you’re ahead.
Easy web access means:
- Tech-friendly ways to process funds and manage properties
- Interactivity with commercial real estate listings
- Readily available virtual tours and drone photos for potential buyers
Millennials are no longer content with stuffy cubicles and corner offices. Today’s work environment, be it at home or in the office, needs to have an open concept for communication, collaboration, and competition.
Millennials also look for e-commerce hubs and eco-friendly practices to pair with a good WiFi connection. They want to be within walking distance of work, retail, and restaurants. Suburbs are becoming cities within cities, and anything less simply won’t cut it for the millennial market.
This generation is taking their environmental impact into heavy consideration when it comes to where they work and what they buy. Investors will continue to look for real estate close to consumer pools to drive e-commerce and speedy delivery while minding their carbon footprint.
Investors can’t disregard the wave of millennials that are flooding the commercial real estate market. If you want to stay afloat, you better learn how to swim.