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June 2024 | CHARLOTTE MARKET UPDATES

June 2024 Charlotte Blog

June Market Updates: Business Influx Boosts Charlotte’s Market Dynamics

How the Recent Business Influx Boosts Charlotte’s Market Dynamics 

From office expansions to cutting-edge robotics and entertainment venues, Charlotte is experiencing dynamic growth. These developments are fueling job creation, enhancing real estate opportunities, and solidifying Charlotte’s position as a leading business hub in the Southeast.  

Charlotte’s Business Migration and Its Benefits 

Economic Growth in Charlotte: Fueling the Rental Market 

Charlotte, North Carolina, is experiencing a significant influx of businesses, propelling the region’s economic growth and fostering an expanding rental market. The ongoing trend of companies relocating to the Charlotte market only furthers the growing appeal as a business hub. CBRE is leading leasing in the airport submarket with 56.5% of its total 2024 deals thus far.  

Business North Carolina says that the South End neighborhood of Charlotte saw a remarkable uptick in office leasing activity, growing by 35% last year. This surge is driven by a mix of new and expanding businesses drawn to Charlottes strategic location. (Charlotte Business Journal). 

Downtown Charlotte

Segra’s Strategic Expansion: A New Era in Data Services 

Segra, a Charlotte-based telecommunications firm, unveiled its newly expanded $10 million data center. The 14,000-square-foot facility is now double the size of its previous center. This expansion is crucial for Segra as it enhances colocation, private cloud services, and multi-cloud exchange access with superior reliability. CEO Kevin Hart highlighted that the larger data center will support increased data processing and computing demands, offering clients improved backup, cloud, and security services. Hart told Charlotte Business Journal that, “We had to expand the facility to provide more capability and optionality.” 

In the past three years, Segra has invested nearly $50 million into its network and data centers in the Charlotte region, enhancing services for clients like Bank of America, Novant Health, and Charlotte-Mecklenburg Schools. Segra’s local fiber network spans about 2,000 miles. 

Looking ahead, Segra plans to expand its fiber network and introduce new services, with Knoxville, Tennessee, as a potential area for growth. With its corporate headquarters in Charlotte, Segra serves over 8,000 customers and maintains 43,000 fiber route miles across 28 states, supported by about 1,200 full-time employees. This expansion emphasizes Segra’s commitment to meeting the evolving needs of its clients and solidifying its leadership in the telecommunications industry. 

Charlotte Skyline

RobotLAB Expands to Charlotte: Revolutionizing Business Automation 

RobotLAB, a Dallas-based robotics integrator founded in 2007, recently inaugurated its newest office in Charlotte. Chetan and Neel Patel, the local franchise owners, alongside CEO and founder Elad Inbar, showcased the cutting-edge capabilities of their robots, which are designed to perform tasks ranging from educational to cleaning services.  

RobotLAB finds Charlotte’s vibrant business environment ideal for its innovative solutions. “Charlotte is growing; It’s booming,” Chetan Patel, emphasizing the city’s rapid development and diverse business landscape as decisive factors for their new branch. Their goal is to revolutionize business operations, forging lasting partnerships that optimize efficiency and empower human resources for higher-value tasks. (Charlotte Inno). 

Optimist Park Welcomes Exciting New Social Hub: Pins Mechanical Expands in Charlotte 

Rise Brands, the parent company behind Pins Mechanical Co., is gearing up to launch a new 20,000-square-foot venue at the historic Chadbourn Mill. This marks the second location for Pins Mechanical in Charlotte, with the grand opening slated for late 2025.  

Pins Mechanical is renowned for blending nostalgic charm with modern social experiences. The Optimist Park location will feature duckpin bowling, classic arcade games like Donkey Kong and Pac-Man, and activities such as bocce ball and ping pong. Additionally, plans include a versatile outdoor gathering space designed to host year-round programming and activities, enhancing community engagement.  

The mill has been meticulously renovated to offer nearly 39,700 square feet of commercial space, now fully leased, positioning Optimist Park as a burgeoning hub for business and leisure. Rise Brands’ CEO Troy Allen expressed enthusiasm for the new venture, emphasizing their commitment to delivering unique and immersive experiences. 

This expansion highlights the dynamic growth potential within Charlotte’s multifamily and commercial real estate sectors. With nine locations already operating and six more in development, Rise Brands’ strategic investments continue to shape the landscape, creating vibrant, community-centric spaces that attract diverse demographics. The forthcoming Pins Mechanical venue is poised to be a key asset in Charlotte’s evolving market, offering significant value through innovative, experience-driven entertainment (Charlotte Business Journal).

 

Charlotte Market Sees Key Leadership Change at United Bank 

The Charlotte region has many developments in the banking sector as United Bank names Barrett Deacon as the new president of its local division, which is set to bring a fresh perspective and drive growth for the bank’s commercial and retail operations in Charlotte. This leadership transition is poised to significantly impact the local financial landscape. 

With nearly 3,000 employees, including over 350 in North Carolina, United Bank’s strategic focus on Charlotte reaffirms its commitment to being a key player in the region’s economic development (Charlotte Business Journal). 

Ranking Charlotte: A Hub of Economic Resilience and Opportunity 

Charlotte Makes the List for Top 25 Best Places for Job Seekers 

U.S. News article highlights the best U.S. cities for job seekers in 2024, showcasing regions with strong job growth and economic stability. Charlotte stands out prominently, making it an ideal location for investing in multifamily properties. 

Charlotte is emerging as a powerhouse for job growth. Known for its dynamic economy, Charlotte boasts a robust job market with key industries such as finance, healthcare, and technology driving employment opportunities. 

Some U.S. News quick stats state that the unemployment rate in Charlotte is at a low 4.82%, reflecting its healthy job market. Major employers like Bank of America, Wells Fargo, and Atrium Health are central to the city’s economic vitality. The city’s median monthly rent is $1,503, making it an attractive destination for professionals seeking a balanced cost of living. 

Charlotte’s economic stability and job market strength are critical drivers of rental demand and property appreciation. With its blend of affordability, opportunity, and vibrant economic conditions, Charlotte is poised to be a key player in the multifamily real estate market. 

Ranking 8 Charlotte Companies on the 2024 Fortune 500 List: A Snapshot of Recent Milestones 

Charlotte’s economic landscape received a significant boost recently as Bank of America and Lowe’s solidified their positions on the latest Fortune 500 list, per AXIOS Charlotte. Bank of America, headquartered in Charlotte, maintained a strong presence among the nation’s financial giants, while Lowe’s continued to expand its influence in the retail sector.  

Bank of America’s high ranking underscores its pivotal role in Charlotte’s financial sector, contributing to the city’s reputation as a thriving business environment. Similarly, Lowe’s sustained growth reinforces its commitment to Charlotte and its role in driving economic activity. These milestones not only affirm Charlotte’s economic strength but also signal ongoing opportunities for business expansion and job creation within the city. 

As Charlotte continues to attract and nurture corporate giants like Bank of America and Lowe’s, its economic trajectory remains robust and promising. Key factors include competitive taxes, extensive transportation networks, and a commitment to innovation. This influx is leading to greater economic prosperity, improved public services, and a vibrant community (HereRockhill).  

University of North Carolina

Charlotte Shines on Global Stage: Sustainability and Economic Growth 

Charlotte continues to receive accolades for its strides in sustainability and economic impact. In a recent report from UNC Charlotte, the city was highlighted for its robust sustainable practices, contributing significantly to its appeal as a prime investment destination.  

The economic vitality in Charlotte remains a key component to highlight about this location. The city’s GDP growth rate stands strong so demand for housing, particularly in the multifamily sector, is poised for sustained growth.  

With a favorable climate for sustainable development and robust economic fundamentals, Charlotte emerges as a beacon of opportunity in the Southeast. Keeping an eye on these developments could prove advantageous for those interested in capitalizing on both environmental responsibility and financial prosperity in one of America’s fastest-growing cities. 

Updates and Upgrades at Charlotte Douglass International Airport (CLT) 

Exploring Charlotte’s Newest Gateway: The CLT Airport Overlook & New Opportunities Ahead 

CLT, one of the fastest-growing airports in the country, recently unveiled its newest gem: the Airport Overlook. This state-of-the-art facility offers panoramic views of the airport’s bustling runways and the city skyline beyond. Complete with modern amenities such as shaded seating, WiFi access, and interactive displays detailing airport operations, the Overlook isn’t just a viewing spot but a testament to Charlotte’s growth as a major transportation hub. (Business NC). 

Additionally, CLT is attracting global attention as Turkish Airlines considers it for future expansion, alongside major U.S. cities like Denver, Minneapolis, Philadelphia, and Orlando. With Turkish Airlines aiming to increase its U.S. destinations to 20, the move could significantly enhance Charlotte’s international connectivity. Currently, Charlotte Douglas hosts a select few international carriers such as Lufthansa and Air Canada, underscoring the potential for growth in global routes from this bustling hub. 

This prospective addition aligns with Charlotte’s strategic efforts to bolster its appeal as a key transportation hub in the Southeastern U.S. As American Airlines remains the dominant force at Charlotte Douglas, facilitating about 90% of all flights, diversifying the airport’s carrier base is a compelling reason to keep a close eye on Charlotte’s growth trajectory. (Charlotte Business Journal). 

It’s clear that the city of Charlotte’s dynamic growth is fueled by a robust influx of businesses, innovative expansions, and strategic investments. 

From the telecommunications advancements by Segra and the groundbreaking robotics integration by RobotLAB, to the exciting new ventures like Pins Mechanical Co., Charlotte continues to cement its status as a leading business hub in the Southeast. 

For real estate investors and business leaders, these developments highlight the city’s vibrant economic landscape and the abundant opportunities it presents. 

Charlotte

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