The economic impact of the Covid-19 pandemic has been widely disruptive and adversely affecting financial markets, real estate, shipping, and other industries. The Bureau of Economic Analysis states that the US economy shrank at an annual rate of 1.5% in the first quarter of 2022. While the economic downturn continues to haunt us, many private companies are taking crucial steps to get their business back on track. Homz, the first national housing company in the US, is developing wellness-centric housing communities across the country.
With a keen focus on providing affordable, sustainable real estate, Homz is also focused on creating economic opportunities across the suburbs of the US. Let us see how.
How is Homz Creating Economic Ripple Effect?
Many cities and suburbs across the US are struggling after the pandemic. Homz is enabling these cities to become economically robust by developing wellness-centric, multi-family communities. With more and more people settling in these communities, local schools will fill up, and new restaurants and grocery stores will open up, creating a ripple effect across these communities.
Creating Public Value
At Homz, we always had one objective. We are not in the business of building houses; we are in the business of building communities. We have always focused on building resilient cities. However, we also understand the housing crisis and economic stagnation are enormous challenges where we need support from public bodies. Thus, we are partnering with public bodies, namely the city council, to co-create public values for communities. Each of these communities will incorporate around 1200-1500 housing units with 4,000-5,000 residents filling up these units. 70-80% of them will be newly settled residents. This way, we are addressing both the housing crisis and accelerating the economic growth of these suburbs.
Continuing the previous point, the housing crisis will require the joint effort of both the public and private sectors. The collaborative public-private partnership model enables us to provide affordable housing solutions to individuals living in or shifting to these suburbs. We are also partnering with land owners across the country as part of our ‘Joint Venture’ model. These landowners have been living in those suburbs for their entire lives. Furthermore, these landowners want their lands used for the welfare of their communities, creating significant public value in the long run.
Investment in Each Community
Suburbs seldom fetch substantial investment, typically due to the location factor. Identifying this very issue, Homz is committed to investing capital of $140-170 million in each of these communities. We are also partnering to build hotels, convention centers, sports facilities, etc., leading to a combined investment of $500 million per community. This is where we get to see the ripple effect of our efforts. As mentioned earlier, these investments will help local schools and restaurants thrive.
As the local economy continues to flourish, it will lead to a snowball effect where other private investors want to join Homz as we act as a flagship for future investors. All these investments will co-create public value for our city partners now and in the future.
Suburbs remain the untapped market, and with our novel approach, we believe we can positively impact the communities. Homz, through its ingenious housing solution, is making a substantial economic impact across suburbs of the US.
Homz is building communities to further attract more economic growth in the suburbs by giving local businesses a boost. These suburban communities will experience a dual impact of the housing crisis being addressed and economic development.