December 11, 2017 – MIPIM, the world’s leading property market, today unveils its central theme for 2018 – ‘Mapping World Urbanity.’
The expansion of urban areas is redrawing the world map, helping to reposition cities – rather than countries – as economic powers. The 29th edition of MIPIM will explore the future of urban living and how these changes will affect the strategies of the property industry.
Organised by Reed MIDEM, MIPIM, will be held in Cannes from 13 to 16 March 2018.
The MIPIM conference programme will explore this chosen theme by posing the following three questions:
- How will we live in cities in 2030/2050?
- What will the new rules for investment and property development be in a world dominated by cities?
- What are the best strategies for building future cities in a globalized world?
A global demographic challenge that calls for new urban models
According to the United Nations, the world population should reach 8.5 billion by 2030 and 9.7 billion in 2050. By 2050, 60% of the world’s population will be urban-based, with a rising life expectancy. Over the next 15 years, 60% of the population will be classified as middle class with higher incomes but also higher expectations, while 91% of the growth in world consumption will come from city-dwellers.
The major challenges for property professionals, both public and private, will be how to cope with this growth in city populations and offer housing, offices and leisure for all, while meeting the new expectations of these people in terms of services, mobility, infrastructure and sustainability.
The new role of cities in an urbanized world
Today, cities have become economic and population centres with global reach, sometimes surpassing the nation to which they belong. They generate more than two thirds of global GDP, and a city such as London has a GDP equivalent to that of the entire Netherlands, the world’s 17th largest economy, while New York has a GDP comparable to that of Canada and Beijing to Sweden.
While the concept of global cities is not new, it is now a major discussion point as this configuration reveals new challenges and opportunities for property professionals: increasing urbanization of the population; densification of transport; the need to improve energy efficiency in buildings by using more durable materials, while at the same time factoring in the economic, political and financial issues linked to globalization.
Urban sovereignty and connectivity
This phenomenon of increased urban sovereignty is closely linked to the rise of global connectivity due to new technologies and the development of transport, leading in turn to increased financial flows and international trade. In this context, the concept of glocalization is more relevant than ever. Professionals need to understand the dynamics of local markets while taking into account the broader rules of international property investment. Despite global connectivity, there are still striking differences between markets around the world and these differences need to be understood and anticipated.
“From demography and sovereignty to connectivity and sustainability, cities are taking on a new dimension at MIPIM,” explains Ronan Vaspart, Director of MIPIM. “The key to successful property development is finding the right balance between international investment strategies and local opportunities. MIPIM 2018 will provide welcome input to help understand the issues of urban growth and outline the future of property in an urbanizing world,” he added.