Average rent for a one-bedroom apartment in Phoenix increased 13% this month, topping the national charts. Rent rose from $764/month to $861, a leap that earned Phoenix the No. 1 spot, according to Abodo’s June 2016 National Apartment Report.
CareerBuilder unveiled its list of fast-growing industries in Arizona with ample job prospects over the next five years. The study is based on data from Emsi, CareerBuilder’s labor market analysis arm that pulls data from more than 90 national and state employment resources.
Downtown is currently experiencing more growth than in its entire history, with $500 million in construction projects and more than $4 billion in total investments since 2008. This year, it ranked 11th on Forbes’ list of fastest-growing cities in America and is projected to be the fourth largest US city by 2020.
Additionally, City Observatory just released an update on its report “Surging City Center Job Growth,” which was originally released last year. The 2015 report found that from 2007 to 2011, urban cores overtook the suburbs in terms of job growth. Today, suburbs are outpacing city cores in terms of job growth but urban cores remain in a much stronger position than during the previous economic expansion. The persistence of this pattern suggests that the dramatic decline in job sprawl in suburban areas from 2007 to 2011 was not simply a temporary result of the recession, but is enduring through the current economic recovery.
Arizona added nearly 81,000 jobs year over year in April, increasing the state’s workforce from last year by 3.7 percent, more than double the population growth rate, according to the newest numbers from the Arizona Department of Administration. The monthly unemployment rate ticked up to 5.5 percent from 5.4 percent in March.
Phoenix crept closer to hitting the top five in U.S. city population in 2015, with less than 4,500 people from passing Philadelphia, which is also a city-county.
Phoenix also ranked fifth in numeric population growth, adding nearly 25,000 new residents in 2015 over 2014. The city fell behind San Antonio, Texas (29,536), the city of Los Angeles (34,943), Houston (40,032) and New York City (55,211). Texas had five of the top 15 with Fort Worth, Dallas and Austin placing behind Phoenix.
Arizona has a competitive tax environment; a supportive regulatory environment where businesses do not have to contend with new “red tape”; and the privilege of being a “right to work” state with a favorable legal climate after passing civil justice legislation, according to Garrick Taylor, vice president of government affairs and communications at the Arizona Chamber of Commerce.
Arizona welcomes any industry, but they are experiencing plenty of attention from the tech industry, with major investments from Apple, Go Daddy, GM and Intel, just to name a few.
Arizona also trades broadly in exports and imports and has stepped up to get a “piece of the global trade pie,” Taylor recently told Arizona Business Daily.
A good example of the importance of Arizona’s imports involves the southern Arizona border town of Nogales, an area that imports massive amounts of produce from Mexico.
“This gives Arizona a strong position in produce imports,” Taylor said. “And Arizona has a tax environment more favorable to industries to create products to be sold beyond Arizona borders.”
With the economy back on a firmer founding, the focus has switched to higher-quality jobs — those with benefits, better wages and more meaningful work. For many Arizonans, the preoccupation no longer is on finding work. As the labor market tightens, many applicants, especially Millennials, are seeking more desirable positions.
- These 100 employers account for more than 500,000 jobs in the state, with the total slowly rising
- The advent of Millennial workers could change the environment at some of Arizona’s largest employers
Phoenix-based Alliance Residential Co. again ranks first on the list of national apartment developers, according to the National Multifamily Housing Council’s annual tally.
Alliance ranked first last year. The top 25 list also includes Scottsdale-based Wolff Co. at No. 17 and some well-known developers, such as Trammell Crow, Lennar and Wood Partners with real estate footprints in the Valley.
Motives for Moving
A major reason tech companies are branching out of Silicon Valley and San Francisco are costs, and not just the cost of real estate—the cost of talent as well, according to Ryan Severino, senior economist and director of research at Reis. There are educated workforces in other markets that are equally competent and not as expensive as the San Francisco and Silicon Valley salaried tech office workers.
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