Gentrification/Appreciation focused market

[Stephen Roche]

Gentrification:  the buying and renovation of houses and stores in deteriorated urban neighborhoods by upper- or middle-income families or individuals, thus improving property values but often displacing low-income families and small businesses.

A large percentage of the city of New Orleans LA is currently undergoing the above process. Houses, store fronts, even warehouses are being aggressively purchased, renovated then sold to a younger, higher income producing demographic. Neighborhoods that were once crime ridden and subsidized are now buzzing with beach cruisers, trendy restaurants and beautiful new properties. One by one these markets are gaining value. 

So here is the question- I know a business model/investment should not be primarily focused on appreciation but when all the factors point to a booming market, would it not be smart to attack? Your thoughts would be greatly appreciated. 

Thanks,

Stephen