America's Best Places to Live 2008

No. 2: Fort Collins, Colo.

Courtesy: City of Fort Collins

Population: 129,500

Miles from Denver: 59

Hiking and biking trails: 25 miles

Average July temperature:
69°F

Pros: Environmentally minded, lots of high-tech jobs, outdoor paradise

Con: More than an hour from a major city

One of the first things you notice about this Rocky Mountain city is that practically every new road has a bike lane. Even the wheelless can get in on the action now that Fort Collins (which ranked No. 1 on our list in 2006) has a bike library in the middle of its historic downtown: Residents and visitors can check out a bicycle for up to seven days, free. “I’m generally out on my bike two to three times a week,” says Greg Churchman, 46, who owns a human-resources consulting firm. He and his wife Beth, 50, a probation officer, sometimes ride to nearby Horsetooth Reservoir with their sons James, 16, and Lucas, 14. “The park and trails system in this town are incredible,” says Beth.

Even if you’re not the outdoorsy type, Fort Collins has a ton to recommend it. Old Town, the city’s historic district, contains four microbreweries and more than two dozen restaurants, most of them with alfresco seating. A healthy concentration of bioscience and tech companies, including Agilent Technologies, Hewlett-Packard and Kodak, keeps employment opportunities high. Colorado State University occupies a scenic spot in the middle of town, providing a college-town feel and youthful energy. And the city is on the forefront of environmental planning; it just received a grant from the Department of Energy to start a solar-energy project downtown. As for health care, the award-winning Poudre Valley Health System will soon be home to a brand-new cancer center.

While the excellent schools have been overcrowded in recent years, officials have taken steps to correct the problem by moving some grades to different buildings. “I moved here for the quality of the schools and basically the quality of life,” says Tracy Riley, 39, a marketing communications specialist who arrived last year from Windsor, Calif. “Fort Collins has everything.”

No. 3: Naperville, Ill.

Courtesy: City of Naperville

Population: 142,900

Miles from Chicago: 26

Job growth: 18.8% since 2000

Public library: Ranked No. 1 among small cities

Pros: Topnotch schools, abundant parks, a booming downtown

Con: Lots of traffic

When Pete Makris’ employer, a large winery, transferred him to an office in Chicago’s populous western suburbs last year, he and his wife Libby had their pick of towns to live in. Naperville won in a landslide. “The education and the services here just blew away any of the other places we could have chosen,” says Pete, 40. They love Naperville’s schools (they have three daughters, Olivia, 8, Anna Grace, 7, and Hope, 3), vibrant downtown and strong sense of community. “You meet incredibly nice, wonderful people almost on a daily basis,” Libby says. “And I think that’s pretty rare.”

No wonder Naperville has made MONEY’s Best Places list three times now. The walkable downtown area is packed with restaurants and shops. Residents point you toward the popular Riverwalk, a nearly two-mile brick path that follows the DuPage River’s course through town. On it you’ll pass Centennial Beach, a swim park fashioned out of an old quarry, and Millennium Carillon, a 72-bell tower that sits at the base of grassy Rotary Hill and plays music three times a day. A renovation, due to be completed next year, will make the path even more scenic.

Naperville’s proximity to Chicago—it’s just 30 miles away—is a plus, but there are plenty of jobs to be had right here. Edward Hospital and Nicor Gas employ more than 8,000 people between them, and companies such as BP America, Lucent and Tellabs have offices in town as well. Graduates of the city’s schools handily outscore state and national averages on college entrance exams. And Naperville residents like to boast that their public library is ranked the best in the nation among small cities by Hennen’s American Public Library Ratings.

On the downside, housing is pricier here than in some nearby suburbs; the typical three-bedroom, two-bath house runs $380,000. And congestion on the city’s major roads can slow traffic to a crawl. But for Kristen Bolduc, 39, a stay-at-home mother of three who moved here 16 years ago, the good things far outweigh the bad. “I’m very lucky to be raising my family in this area,” Kristen says. “We’ll never move.”

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