5 key factors driving Charlotte’s growth
Writer: Eleana Teran
September 2024 — As one of the fastest-growing cities in the country, Charlotte is rapidly becoming a national hub for business, talent, and economic development. Often described as a city that combines Southern charm with the vibrancy of a major metro, Charlotte has a growing population and a thriving business ecosystem that has attracted attention nationwide.
According to the Charlotte Regional Business Alliance, the city continues to experience steady population growth, with 117 people moving to the area each day — an increase from last year’s figure of 113. This growth has been driven by several factors that extend beyond Charlotte’s borders making it a formidable player in the national economy. Below are five key reasons why Charlotte is one of the fastest-growing cities in the United States.
1. Strong economic performance
The state’s largest city has gained national recognition for its economic performance. Earlier this year, the Milken Institute ranked Charlotte among the top 10 best-performing cities in the U.S. for the first time in over a decade. The city’s strong job creation, wage growth, and expanding high-tech industries have solidified its position as a major economic growth center.
Charlotte has also emerged as one of the hottest markets for commercial investment. According to a survey from CBRE, the city ranked No. 6, reflecting its growing appeal to investors. Similarly, WalletHub’s 2024 Best Real Estate Markets report placed the Queen City at No. 7 among 300 cities of various sizes, based on several indicators, including median home-price appreciation, housing affordability, and job growth.
2. Business-friendly environment
North Carolina’s economy has consistently ranked among the top in the nation. Recently, the state secured the No. 2 spot on CNBC’s list of top states for business in 2024, marking the fifth year in a row it has placed among the top three states to do business.
Charlotte’s growth can also be attributed to the city’s pro-business climate and various state and local incentives. North Carolina has worked hard to attract businesses, and Charlotte, as its largest city, has benefited immensely from these efforts. According to a report from WalletHub, Charlotte ranks as the best city in North Carolina to start a business, and third overall.
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3. A thriving manufacturing sector
The city’s economy continues to diversify, with the manufacturing sector playing a critical role. According to the Charlotte Regional Business Alliance Q2 2024 report, 70% of announced business projects were related to manufacturing, highlighting the region’s reputation as a hub for innovation and production, spanning industries from motor vehicle body manufacturing to advanced manufacturing and glass production.
The city’s advanced manufacturing sector, combined with finance, logistics, and distribution, is expected to grow significantly in the second half of 2024. These industries are anticipated to expand by approximately 3%, contributing an estimated 5,000 new jobs between 2024 and 2025.
4. Quality of life and upward mobility
Charlotte consistently ranks high in national quality of life assessments. In the 2024-2025 U.S. News & World Report study, the city ranked among the Top five out of 150 U.S. cities for the best places to live. It also ranked among the Top 10 most diverse cities in America, according to WalletHub. Charlotte’s ongoing focus on inclusion and belonging has contributed to its desirability as a place to live.
Additionally, the city has made strides in improving its economic mobility. A decade ago, it ranked last among the 50 largest metropolitan areas for upward mobility. Today, Charlotte ranks No. 38, thanks to the launch of the Charlotte Opportunity Initiative, which focuses on enhancing education for low-income children, reducing poverty concentration, and increasing access to higher education.
5. Major transit expansion plans
Charlotte’s infrastructure development has taken a significant step forward with the City Council’s recent $91 million purchase of freight railroad tracks from Norfolk Southern, a key move toward building the long-awaited Red Line commuter train to Lake Norman. Additionally, the Council passed a resolution supporting a potential one-cent sales tax increase to fund the city’s multibillion-dollar transportation plan, set for a possible vote in November 2025.
Recently, the Charlotte Regional Transportation Planning Organization (CRTPO) was awarded a $3.15 million grant through the U.S. Department of Transportation’s Safe Streets and Roads for All program. This funding will support the development of a comprehensive safety action plan to address current transportation safety conditions and recommend long-term solutions for the region’s infrastructure challenges.
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