Washington, DC | World’s Best Cities

Washington, DC

The world is watching D.C. like few times before, but today Washington’s story is written as much in cranes and term sheets as in C‑SPAN sound bites. Museum momentum shows no sign of slowing: alongside the National Gallery’s recent blockbuster Rothko show, the Smithsonian will be breaking ground in 2025 on the Bezos Learning Center, funded by $130 million of Jeff Bezos’s $200-million gift and set to crown the revamped Air & Space Museum by 2027. The #6 Museums ranking will improve as a result.

Hotels are racing to capture the surging demand. Lifestyle brand Arlo Washington DC debuted 445 rooms in late 2024 inside the landmark Harrison Apartments, with impressive views from its ART DC rooftop lounge, while Canal House of Georgetown opened in February 2025 with townhome‑style suites on the C&O Canal. Destination DC’s announcement of a record 27 million visitors in 2024 (and record $11.4 billion visitor spend) signals the runway is clear for the 1,200 keys now in the pipeline.

Developers are taking their piece, too. Canada’s PSP Investments acquired the $3-billion The Wharf in April 2025, affirming worldwide faith in the 3.5-million‑square‑foot waterfront. Across the river, the 183‑acre St. Elizabeths East campus is delivering a 421‑unit mixed‑income community, incubator retail village and 20,000‑square‑foot library this fall. Mobility upgrades will follow: DDOT’s much publicized K Street Transitway, promising center‑running bus lanes and protected cycle tracks through downtown, is currently on hold, with other transportation improvements being pursued. Still, biking ranks #8 and walkability #6, all part of DC’s Top 10 overall Livability finish. The best Healthcare in the country helps, too.

Corporate capital is following people capital. Water‑tech giant Xylem has relocated its headquarters to Capitol Riverfront and Monex USA cut the ribbon on a new FX hub in April 2024. For deal hunters, inventory is finally catching up: active listings jumped nearly 30% and median prices climbed 6.6% to $597,000 this spring, yet a third of luxury sales still close all‑cash. Would you expect less from a city ranking #8 in our overall Prosperity index, with the nation’s second-most educated residents?

Add it up and D.C. looks less like a company town and more like an investable, diversified metropolis—one that just happens to run the country.