Will the massive investment and media attention translate into an Olympic-size boost for the residential real estate in the area? If recent history is any indication, the answer is: probably not. Hosting the games is undoubtedly an honor—one that cities can spend more than $50 million in PR and planning costs to win. Competition is fierce, and then the buildup costs become stratospheric. Russia reportedly dropped a remarkable $51 billion staging the 2014 Winter Games in Sochi. But the gains seen by host cities seem to be ephemeral at best. Home prices typically get the biggest boosts after the host city is announced, as developers rush to put up new buildings. But that price jump typically doesn’t last long after the games.
Warmest Regards,
Kevin Aizenshtat
Realtor