By Carl Johnson
The pandemic has transformed remote working into the new norm and people no longer want to put up with the high taxes and expensive cost of living in bustling metro cities like New York and California. As a result, companies are moving to mid-size metros, “with lots of job opportunities, high quality of life, low cost of living, and a bustling startup scene,” says Michael Haley, Wake County Economic Development’s executive director.
The Research Triangle Park is one of America’s largest and most successful research parks. Many companies view the region as “relatively young and untapped,” says Jason Caplain, a partner at Bull City Ventures, and they are relocating or expanding to the Triangle. The presence of these top tech companies will bring growth to the Triangle by creating a multitude of high-tech jobs.
In March, Fujifilm Diosynth Biotechnologies announced their $1.5 billion investment for a new vaccine plant in Holly Springs, which will create 725 good-paying jobs and will become the largest biopharmaceutical manufacturing facility in North America, according to CEO Martin Meeson. Additionally, Google promised up to 1,000 jobs with its selection of Bull City as its new cloud computing hub.
In an interview with ABC11, the Greater Durham Chamber of Commerce said they are “committed to helping lure companies that are also invested in equity and inclusion or diversifying their workforce -- that Google fits right in.”
In late April, Apple announced that they will be building a $1 billion-plus campus and engineering hub in the RTP that will generate thousands of high-paying jobs. Along with the new campus, Apple will also be giving back to the Triangle community.
“In addition to the new campus, the company will invest $100 million to support schools and community initiatives in the Triangle and will put more than $110 million toward infrastructure in 80 North Carolina counties,” states an article by WRAL.
How will the presence of these tech companies impact the housing market?
In the July 2021 local market update from the Triangle Multiple Listing Service (MLS), steady growth in sales is evident throughout the region. A report from CBRE Group, Inc. found that in 2020, 23% of new Raleigh residents moved from New York City and 32% of new Durham residents came from New York. This migration from bigger cities will increase as tech companies continue drawing new talent from major metropolitan areas to the Triangle market (Triangel Business Journal).
However, real estate experts believe that this will definitely increase property values.
"We are seeing a lot of affordable housing go outside the city limits, which is good because the tax rates are lower out there," says Matt Horton, director of marketing for Coldwell Banker Howard Perry and Walston.
As the population grows from the presence of these big tech companies, home buyers will find the greatest value in smaller towns outside the Triangle urban center.
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