Indicating its potential for future development, Shenzhen ranked fourth in a global list of dynamic cities compiled by Jones Lang LaSalle (JLL), right behind London, San Jose and Beijing, the commercial real estate multinational announced Friday.
Jones Lang LaSalle's Shenzhen division said its 2015 City Momentum Index (CMI), in which it assessed 120 cities, provides a new view into what makes cities dynamic and attractive, going beyond traditionally static economic rankings by delving into the underlying drivers that keep cities competitive, as well as identifying signs of changes that will impact their future. It is the second year that the firm has compiled the index. Shenzhen ranked 11th last year.
As China moves up the value chain, the technology sector has become an important driver of success, helping to boost cities such as Beijing and Shenzhen, JLL said in its report. JLL’s Shenzhen division will give a detailed analysis on why Shenzhen was listed as the second-most dynamic Chinese city after the Spring Festival holiday.
In addition to Shenzhen and Beijing, Chinese cities are buoyant on the list, despite economic slowdown. China’s recent economic performance has not impeded seven of its cities from appearing in the global top 20, underpinned by the continued expansion of the domestic market and middle-class population. Trade and connectivity prove critical to Chinese cities, demonstrated in the "corridor of dynamics”"along the Yangtze River connecting Shanghai (5), Wuhan (8), Chongqing (10) and Nanjing (20).
Technology-rich cities dominate the CMI. Several of the world's most tech-rich cities maintained a position in the top 20, including London (1), San Jose (2), Boston (7) and San Francisco (9). Newcomers to the top 20, thanks to their technology sectors, include Sydney (11), Bangalore (12), Dublin (14), Nairobi (15) and Melbourne (16).
"While typical real estate performance rankings reveal the most active investment and occupier markets, JLL’s CMI identifies cities that are changing the fastest,” said Jeremy Kelly, director of global research for JLL, explaining to reporters what distinguishes the index. “By widening our lens to combine real estate dynamics such as investment, property prices and construction, with socio-economic factors, we can better understand the drivers of why cities succeed by examining signals of change over the years."