Apartment search engine Nestpick released a ranking of the top 110 cities for entrepreneurial Millennials, and San Francisco ranked first despite housing affordability issues.
Nestpick, a furnished apartment search engine based in Berlin, Germany, recently released its “2018 Millennial Cities Ranking” report. The report debuted last year, in 2017, and Nestpick conducted the study “in order to pinpoint which cities are successfully attracting this generation and therefore a core future workforce.” The company managing director, Ömer Kücükdere, observed, “We must learn to adapt to the needs of younger people in order to have a thriving economy, and we believe this ranking offers valuable insights to those cities looking for regeneration from a younger demographic.”
The top five cities listed as “best for entrepreneurial Millennials based on their business ecosystems” are:
- San Francisco, California
- New York, New York
- Kuala Lumpur, Malaysia
- Miami, Florida
- Los Angeles, California
Nestpick also scored cities on a wider scale simply as “top cities for Millennials” based on criteria including employment opportunities, transportation scores, housing scores, food ranking, health ranking, internet speed, and “access to contraception.”
Based on these additional factors, San Francisco scored an overall 6.04 out of 10, while New York City scored 6.25. Miami scored 5.9, and Austin, Texas, the only other U.S. city to make the general top 20, scored 6.03. Nestpick analysts noted the importance of startup funding to entrepreneurial Millennials, which is likely why cities with such low levels of housing affordability scored so highly as “best for Millennials” when entrepreneurial goals were added to the mix.
Investor Insight: Millennials are not just the largest population of homebuyers at this time. They are also forming households as renters and seek innovative solutions to live where they wish.
“A thriving business ecosystem supports a growing Millennial community. One of the characteristics of this age group is that it tends to gravitate toward cities with higher startup funding,” the researchers noted. They weighted the “business ecosystem” factor as 25 percent of the overall score for best cities.