A McKinsey Global Institute study says there will be a major change in the distribution of the world’s GDP by 2025.
(GDP is the sum of all the wealth produced in a region in one year)
This change already started years ago and by 2025, the largest slice of the world’s wealth, will be produced in 400 cities and metropolitan areas from emerging countries.
These 400 mid-size cities and metropolitan areas with populations ranging from 150,000 to 10 million are expected to grow their economies faster than the rest of the world and become major players in their countries and regions.
Highlights were Fortaleza, Manaus and Recife in Brazil along with Xi’an, Foshan and Chengdou in China and Nagpur and Vadodara in India.
Fortaleza’s GDP is expected to become $52 billion dollars per year in 2025. (that’s a whopping 93% growth in 12 years from today).
Many of these areas are still off the radar of many international investors and corporations and they may be missing out on the best business opportunities out there.
But the savvy ones are already on the move like these guys and their 500 million dollar Investment in Fortaleza for example: http://www.escalaproperties.com/2012/05/diageo-the-owner-of-johnny-walker-smirnoff-and-others-invests-half-billion-us-dollars-in-fortaleza/
Investors who bought income producing property (condo for renting) 3 year ago for 100k USD are receiving a nice monthly rent while knowing the price of their property has gone up significantly.
But the prospects are for a continued improvement of economic conditions which makes for good rental income and a continued increase in property prices.
And if you have the right property in the right areas, you are certainly in for very good profits.
Source: Exame Magazine. n.4 2011