Phoenix Rising: Job Growth & Booming Build-for-Rent (BFR) Demand
Phoenix, Arizona was recently named among the country’s new “Job Hot-Spots” by the Wall Street Journal. The tech industry may have once centered around locations like Silicon Valley, but in recent years, cities across the country have become a part of the boom in innovation. Phoenix is the fifth largest city in the U.S. and a new hub of futurist technologies, including self-driving taxis and food-delivery robots. Blockchain and cybersecurity sectors also thrive in this Arizona city. In addition, the metro area’s depth in healthcare, aerospace and defense, semiconductors and advance business services mean Phoenix’s intellectual capital is thriving. As the Wall Street Journal notes, the Phoenix metro area was ranked #3 in the U.S. for job growth between 2018 and 2023.
Along with its surrounding suburbs – locales like Glendale, Scottsdale, Gilbert, Chandler, and Mesa – Phoenix is seeing significant population growth in connection with these increased job opportunities.
Moreover, where there is job growth, housing demand follows. Phoenix was recently named the #2 major U.S. metro market for rental demand, according to analysis from RealPage.
This leads us to Capital Square’s development initiatives. At the foundation of every Capital Square acquisition and development is the property’s market. Cities that have demonstrated successful growth and booming future potentials are of special interest in our data-driven market selection process. The greater Phoenix area meets exactly the criteria we pursue.
Build-for-rent (BFR) developments have become a strategic focus of Capital Square. This unique asset class creates rental housing for growing families often stretched beyond the limitations of traditional apartment communities. While a housing crisis exists in much of the United States, single-family rentals are a unique demand. Combining population shifts to the region and the gap of needed rental homes, we see great potential in BFR development in the Phoenix area, specifically in the suburb of Glendale.
Glendale, Arizona blends historic charm with the nation’s finest in sports, shopping, dining, the arts and stunning outdoor beauty. It’s a city with a strong track record and extraordinary possibilities.
At Capital Square, we invest and develop in gateway, secondary and tertiary markets, sponsoring investments with potential returns designed to satisfy investors’ specific goals. “Job hot spots” and cities with booming in-migration are locations we watch closely, and we’re thrilled to increase our presence in the Phoenix area.
Discover more about our DST, OZ fund, development fund and REIT investment opportunities, then contact our team or your registered representative.
