Predicting where wealthy residents will flock

While luxury condominium developments and high-end housing communities often need a pinch of luck to succeed, BusinessWeek claims there’s a scientific approach to figuring out where a city’s richest residents are more likely to buy. While certain neighborhoods, like New York City’s East Side between 70th and 77th streets and Beverly Hills, Calif., have an ‘x-factor’ that lures wealthy buyers, Andrew Schiller, CEO of real estate tracking site NeighborhoodScout.com, said that proximity to jobs plays a huge role in attracting residents. “Access to opportunity is so significant that even if homes are smaller, the values [in an area] can still go up,” Schiller said. “People will put up a lot to make a lot of money and support their families.” Of course, a work-play balance is important as well — Schiller said that proximity to appealing second-home markets can also influence wealthy buyers. [BusinessWeek]