What’s driving the Phoenix market?

With a thriving technology sector, booming population growth, and a business-friendly environment, Phoenix stands out as an attractive investment destination across asset classes. But before you invest, you need to truly understand what's driving the Valley of the Sun to guide your decisions.

We've gathered the need-to-know insights across apartments, office, industrial and retail that will give you a crash course in the trends shaping the Phoenix metro.

• With over 66,000 new units rented from 2019-Q2 2024 and nearly 30,000 delivered just in 2022-2023 plus approximately 11,600 additional units have been delivered in the first half of this year, Phoenix's apartment market is propelled by unprecedented population growth and housing demand

• Tech giants like Intel and TSMC are fueling over $100 billion in advanced manufacturing investment, catalyzing industrial demand from suppliers and creating value-add opportunities for investors

• The city ranks among the top markets nationally for office deals under $25 million as private investors capitalize on surging job growth by acquiring assets for value-add plays

• Despite delivering over 2 million square feet of new retail in 2023, the market posted a record-low 4.4% vacancy and 9.2% rent growth as consumer demand overwhelms supply