Miami is more than the sunny, sexy international destination it’s made out to be. I know, because I’m a native and I have grown up with my hometown!
Miami is of strategic importance to the United States and to all of Latin America, and that’s important to real estate investors. There are roughly 590 million people to the south and east of Miami who speak mostly Spanish, and where there are rich natural resources, cheap labor and some rapidly growing economies, as well as other economies in political distress. There are roughly 345 million people to the north and west of Miami who speak mostly English, and where there are rich capital markets, and technical and financial expertise.
In other words, Latin America is nearly twice the size of North America!
Miami is positioned as the fulcrum point with a large international banking, legal and international business center to facilitate transactions between the north and the south. Capital flows from Latin America from individual investors and expanding businesses seeking to invest in South Florida and America. At the same time, corporate America is expanding its development expertise and national infrastructure development into the countries of Latin America. The investment capital flows both ways.
Miami is also the logical place for European, Russian and Asian investors to enter the US and Latin American markets.
What makes Miami important for real estate investors? What has made Hong Kong important? What has made London important? What has made New York important? In each of the other cases, for instance, Hong Kong – there’s a link between the eastern world and the western world under the security of the British infrastructure of banking, law, police, finance and transportation. The same is true of London and New York City.
In a very real sense, Miami is the future of business between the developing nations to the south and the rest of the developed countries. From a Big Picture standpoint, that’s what makes Miami important for real estate investors.