Earlier this week, the Nashville Downtown Partnership released its 2016 Downtown Residential Report. At right under 15 pages, the report is a little more extensive than light lunch break reading material. So, we’ve done you a solid and provided you with the Cliffs notes. Here are 8 things you need to know about the report.
1. Downtown Nashville is still growing…and rapidly
According to Nashville Downtown’s Residential Report, Nashville’s downtown population is expected to grow 16 percent by the end of the year and another 29 percent by the end of next year. When compared to cities like Austin, Indianapolis, and Memphis, Nashville has the strongest planned residential growth over the next year and a half.
2. The accolades keep coming for Nashville
It seems that Nashville is recognized with a new award every week. We don’t like to brag, but Nashville is pretty cool. Nashville was recently ranked Fifth most popular city in the nation by Travel and Leisure; Fourth biggest city for jobs by Forbes; the Nation’s strongest housing market; one of America’s hottest cities by Business Insider; and “Best Places to Live” by U.S. News and World Report.
3. Nashville’s downtown population and residential units still lag behind peer cities but are gaining momentum
While Nashville had more than 6,000 residential units available in 2016, Charlotte had the most with more than 9,000 and Austin had more than 8,900. When it comes to downtown residents, Nashville residents also lag behind peer cities — Nashville has about 9,000 downtown residents. Charlotte and Austin average about 14,000 downtown residents. However, the report projects that Nashville will grow to 12,000 residents by 2017.
4. Downtown high-rise properties continue to appreciate in value
Condominiums make up 47 percent of downtown housing. According to the report, price per square foot of downtown condos has appreciated since 2011. An assessment of four downtown high-rise properties (Viridian, Encore, Icon, and Twelve Twelve) showed that price per square foot consistently increased in all four properties annually since 2011 — the weighted average being more than $470 per square foot. Resales in some downtown condos, like Twelve Twelve, are yielding an average delta of $12.60 per square foot.
5. Thirteen residential projects have been announced and could deliver more than 3,700 new units to the market by 2019
Five projects are slated to deliver in 2016 with thirteen additional residential projects slated to come to market by 2019. CityLights on Rutledge Hill is expected to break ground in the coming months.
6. The majority of downtown residents moved from outside of the city or from out of state
It’s no secret that Downtown Nashville continues to attract business professionals and highly-educated residents from across the country. According to the report, 34 percent of downtown residents moved downtown from outside the city; 30 percent from outside the state; and 28 percent from within the Nashville city limits.
7. Baby boomers make up the largest downtown population, followed by Gen Y
This fact may surprise some of you. Baby boomers currently make up the largest population of downtown residents at more than 40 percent. The boomers are followed by Generation Y at 29 percent and Generation Xers at 27 percent. The number of Baby Boomers living downtown has increased by 8 percent in 5 years. Read more about why Baby Boomers may be choosing to live in downtown Nashville.
8. Downtown residents cited “urban experience” as the factor that most positively influenced continued downtown living
Several factors were cited as reasons residents live downtown and want to stay downtown, but the majority (53 percent) said it was for the urban experience. Can you guess the next most popular response? At 48 percent, central location/convenience was the next most popular response.