As COVID continues to impact our economy, there are certain industries which are less likely to be impacted. According to Newmark Knight Frank’s US Multifamily Capital Markets Report Q1 2020 industries such as education, healthcare, government, and financial are less likely to be grossly impacted, as opposed to hospitality, retail, or entertainment.
Understanding the composition of a market’s employment base is a critical factor to consider before investing in the area. Diversity is key. If there are only one or two major employers in a metroplex, and one employer closes business, the market is heavily impacted and your investment right along with it. If a local economy relies heavily on tourism, a pandemic exactly like COVID or even a natural disaster, can greatly jeopardize the stability of the employment markets. Again, diversity is key.
As of the close of Q1 2020, these are the ten most resilient employment markets in the US:
10. Salt Lake City, UT
- Top 3 Employment Industries:
- Education & Healthcare: 11.9%
- Government: 15.2%
- Financial: 7.2%
- Average 1 BR Rent: $1,235
- Renter Occupied Housing: 48%
9. Minneapolis, MN
- Top 3 Employment Industries:
- Education & Healthcare: 17%
- Government: 11.0%
- Financial: 7.4%
- Average 1 BR Rent: $1,588
- Renter Occupied Housing: 55%
8. Los Angeles, CA
- Top 3 Employment Industries:
- Education & Healthcare: 18.1%
- Government: 12.4%
- Financial: 5.0%
- Average 1 BR Rent: $2,524
- Renter Occupied Housing: 40%
7. Boston, MA
- Top 3 Employment Industries:
- Education & Healthcare: 21.2%
- Government: 10.2%
- Financial: 6.5%
- Average 1 BR Rent: $3,432
- Renter Occupied Housing: 51%
6. San Antonio, TX
- Top 3 Employment Industries:
- Education & Healthcare: 15.5%
- Government: 14.6%
- Financial: 8.2%
- Average 1 BR Rent: $1,049
- Renter Occupied Housing: 35%
5. Baltimore, MD
- Top 3 Employment Industries:
- Education & Healthcare: 19.2%
- Government: 14.8%
- Financial: 5.5%
- Average 1 BR Rent: $1,283
- Renter Occupied Housing: 47%
4. Philadelphia, PA
- Top 3 Employment Industries:
- Education & Healthcare: 22.8%
- Government: 10.1%
- Financial: 6.6%
- Average 1 BR Rent: $1,652
- Renter Occupied Housing: 45%
3. Sacramento, CA
- Top 3 Employment Industries:
- Education & Healthcare: 15.5%
- Government: 20.4%
- Financial: 5.4%
- Average 1 BR Rent: $1,579
- Renter Occupied Housing: 32%
2. New York, NY
- Top 3 Employment Industries:
- Education & Healthcare: 21.2%
- Government: 11.5%
- Financial: 10.6%
- Average 1 BR Rent: $4,208
- Renter Occupied Housing: 57%
1. Washington, D.C.
- Top 3 Employment Industries:
- Education & Healthcare: 15.1%
- Government: 28.0%
- Financial: 3.5%
- Average 1 BR Rent: $2,234
- Renter Occupied Housing: 56%
About Ellie Perlman
At Blue Lake Capital, Ellie and her team work exclusively with family offices and accredited investors, offering carefully curated investment opportunities that emphasize long-term wealth creation, stability, and risk-adjusted returns. A defining aspect of Blue Lake’s investment strategy is its integration of advanced AI-driven analytics and data science into the entire lifecycle of acquisitions and asset management. By leveraging cutting-edge technology, the firm executes data-driven forecasting on market trends, asset performance, and tenant behavior, ensuring strategic decision-making and optimized returns.
In addition to leading Blue Lake Capital, Ellie is the original founder and host of "REady2Scale - Real Estate Investing" podcast, which provides insights into multifamily real estate, alternative investments, and finance.
Ellie began her career as a commercial real estate attorney, structuring and negotiating complex transactions for one of Israel’s leading development firms. She later transitioned into property management, overseeing over $100M in assets for Israel’s largest energy company.
Ellie holds a Master’s in Law from Bar-Ilan University in Israel and an MBA from MIT Sloan School of Management.
You can learn more about Blue Lake Capital and Ellie Perlman at www.bluelake-capital.com.
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