Expo Real: winning cities are 24-hour diverse living spaces

The pandemic has brought the role of the city into sharper focus, experts agreed at Real Asset Media’s Winning Cities investment briefing, which took place yesterday in the International Investors’ Lounge at Expo Real in Munich.

“After Covid-19 people are much more clear about what they want and how they want to live”, said Anna Zeller, group head of product & BD sales, Corestate Capital Group. “The lockdowns allowed us to think about what is important and to re-evaluate our strategies, creating places of value where people want to live.”

Far from driving people away from cities, the pandemic has led to a re-discovery of the importance of personal interaction and socialising in an urban context. What has changed is the demand for a better, more vibrant and greener urban context.

“Nothing has changed since the ancient Greeks met in the agora, the central square,” said Richard Wilkinson, CFO & deputy CEO, CTP. “We are still urban citizens and we thrive in communities. The challenge for cities has always stayed the same: staying creative, interesting and diverse.”

There is a push away from CBDs that are dead at night and at weekends and a push towards 24-hour living spaces combining life, work and leisure.

More mixed-use schemes and amenities needed

“Cities will have to offer less shiny skyscrapers and more mixed-use schemes and amenities, lively neighbourhoods that keep developing,” said Leonhard Sachsenhauser, founding partner, Coros Management. “We’ve always integrated residential with workspaces, leisure and fitness so the pandemic has not changed our strategy, but it has validated it.”

Since it started in 2015, Coros has worked at changing cities to make them less old-fashioned and staid and more attractive, he said, helped by the fact that the average age of people working for the company is 30.

Young people’s new perspectives and priorities have been a key driver of change and will continue to determine the way cities evolve.

“There has been a real generational shift, and we need to adapt to this different mindset,” said Zeller. “There is a realisation for the first time that of course buildings are important, but climate risk and quality of life are important too.”

It is no coincidence that university towns are more likely to be winning cities, or that young talent will flock to places that combine a strong innovative economy with quality of life and green credentials.