For many institutions, the “why” of investing in the Sun Belt is a pretty straightforward growth story. The bigger question is where to position strategic investments to generate the best risk-adjusted returns in a large geographic region that has become increasingly competitive.

Compelling growth sweeping through the Sun Belt is by no means a new trend. The 18 states that make up this region of the southern United States are now home to more than half the country’s population. Prior to the pandemic, the Sun Belt boasted some of the fastest-growing markets in the country, and COVID-19 propelled even more migration, corporate relocation and job growth in the region. According to JLL, markets such as Atlanta; Austin; Charlotte, N.C.; Dallas; Denver; Miami; Nashville; and Raleigh, N.C., have experienced population growth from 2010 to 2020 ranging between 10.0 percent and 30.0 percent, outpacing the U.S. average growth rate of 7.1 percent.

People are drawn to Sun Bel