After losing ground in 2024, the Phoenix medical office market regained its footing last year as demand rebounded, vacancy compressed and investing strengthened. Supported by steady demographic tailwinds and continued expansion in healthcare employment, the sector is entering 2026 on more stable ground, even as rent growth remains subdued. Demand formation improved markedly over the past year. The market recorded approximately
After a long run as the market’s darling, private credit is losing its shine—and that decline could actually prove to be a surprising boost for commercial real estate. As investors retreat from a once red-hot asset class now facing mounting risks, capital may begin flowing back into real estate, where relative values are starting to look more appealing. Private credit’s troubles have been building for months. The bankruptcies of major auto-parts maker
The city of Peoria is starting to sell off land to developers within a massive, planned employment district near TSMC’s north Phoenix campus. Opus Development Company LLC is the first developer working through a sale and development agreement for property within Peoria’s Innovation Core, and City Council will decide whether to approve it during a March 24 meeting. Under the deal, Opus would
Foundation 8 LLC has acquired the former Sheraton Crescent Hotel, a well-known landmark in North Phoenix originally developed in 1986 by the late Arizona developer Charles Keating. The property, long recognized for its grand ballrooms, resort amenities, and full-service hospitality experience, will undergo a transformative adaptive reuse redevelopment. The Sheraton Crescent, a 342-room full-service hotel, has long been a destination for weddings, graduations
Prologis has acquired Cotton 303 Logistics Center, a 915,160-square-foot warehouse in Glendale, Ariz., in a deal arranged by Cushman & Wakefield and Colliers. The Pizzuti Cos. sold the asset for $104 million, according to Yardi Matrix. Heitman Capital also held a stake in the divested asset, as reported by the Phoenix Business Journal. The big-box facility came online in 2022, marking the first project the two companies collaborated on across the market. Cubework, a co-warehousing
The Federal Reserve is back in defensive mode—less a central bank steering toward a clear destination than one reacting to every turn in a global economic storm. At its latest meeting, policymakers kept interest rates steady, but their message was unmistakable: visibility is poor, and decisions will be made “meeting-to-meeting,” as Thomas Briney, president and chief investment officer of Origin Credit Advisers, told GlobeSt.com. That posture reflects a central bank
The construction of Taiwan Semiconductor Manufacturing Co.’s massive chip fabrication plant cluster is fundamentally changing the face of metro Phoenix and the North Valley. Spanning more than 1,000 acres, the planned six fabrication plants, two advanced packaging facilities and a research and development center will likely turn Northern Phoenix into a global semiconductor powerhouse, according to area developers. The effects of this one investment
A planned April 30 auction of 293.5 acres along the east side of 40th Street between Loop 101 and Deer Valley Road could provide the next multifamily development site in the bustling Desert Ridge area of north Phoenix. The site is appraised at $108.3M, which will be the minimum starting bid. Developer Michael Lieb (as AZ18 LLC) submitted the application to the Arizona State Land Department that triggered the auction, according to a local news report. Lieb is president
Median home prices in metro Phoenix were flat overall in 2025, but some areas — including Apache Junction and central Phoenix — saw double-digit increases. Other parts of the Valley, including Desert Ridge in north Phoenix and north Glendale, posted double-digit price drops. Tina Tamboer, senior housing analyst with the Cromford Report, said some parts of the Valley are definitely doing better than other areas farther out. But overall, “the housing market is pretty much treading
Trader Joe’s is planning to open another Valley store.It’s coming to Desert Ridge Marketplace, at 21001 N. Tatum Boulevard, according to an application for a liquor license filed with the city of Phoenix. No other details were available on the timeline for development. The specialty grocer currently has 19 stores across the state and last year opened its first location in the far West Valley at Goodyear’s downtown redevelopment, GSQ. The Desert Ridge area where Trader Joe’s latest store is
The Federal Reserve of the United States held its benchmark interest rate unchanged on Wednesday for the second policy meeting of the year, signaling caution as officials weigh the economic fallout of the war in the Middle East. The Fed approved holding rates steady by an 11-1 vote, with Governor Stephen Miran favoring a 25-basis-point cut at this meeting. Wednesday’s decision keeps the benchmark rate at 3.5% to 3.75% as policymakers saw no compelling reason to rush an additional rate
Consumer resilience is expected to continue in 2026, with higher-income households driving the majority of growth in retail spending. That’s according to the National Retail Federation, which forecast that retail sales in 2026 will grow 4.4% over 2025 to $5.6 trillion. (NRF’s forecast is based on its own definition of core retail sales, which excludes auto dealers, gas stations and restaurants.) NRF’s 2026 sales outlook compares with 3.6% average annual sales growth during the last 10 years
To further strengthen international partnerships with Taiwan and Japan — two of Arizona’s top trading partners — the State of Arizona, the City of Kaohsiung, Taiwan, and Kumamoto Prefecture, Japan signed a trilateral Memorandum of Understanding (MOU) to strengthen economic collaboration and advance partnerships in semiconductors, talent development, research and development, and global supply chain integration. The MOU was signed during a ceremony in
The owners of a prominent central Phoenix shopping center have an ambition vision to add apartments to the property. Federal Realty Investment Trust and RED Development are working through plans to build a 255-unit, six-story apartment complex within the Camelback Colonnade shopping center, according to documents filed with the city of Phoenix. They’re targeting a 2.5-acre portion on the southwest side of the shopping center, which is located at Highland Avenue and State
A nearly 100-year-old downtown Phoenix hotel that chronicled the transition of the area from residential to a commercial core and has fallen into disrepair is planned to be demolished. Jonathon Vento, principal of True North Studio, the developer of the Pemberton, the Cambria hotel and other downtown Phoenix projects, is in escrow to buy the Coronado Hotel and an adjacent historic building, the former location of Matt’s Big Breakfast. The buildings are located on First and McKinley
New corporate offices, restaurants and apartments are breathing life into Phoenix’s sprawling CityNorth development. A new 240-room hotel tower will soon join the mix to welcome visitors and spur tourism in the area along the burgeoning Loop 101 corridor. LaPour Partners and Holualoa Cos. — a commercial real estate developer and an investment firm, respectively — are behind the project, which got underway last summer. When complete, the tower will feature the names of two notable
The hotel industry adds billions of dollars in spending to the Phoenix area, according to a report from the American Hotel & Lodging Association. The report, which was released last week, showed that hotel operations in Phoenix and spending by visitors of those hotels produce $7.2 billion in economic activity in the city annually. The American Hotel & Lodging Association (AHLA), which commissioned Oxford Economics to do the research for the report, argues that the data shows hotels
The latest ranking points to a slowdown in activity, with some surprising outliers. Industrial real estate’s next stage of growth will be defined by trade policy decisions and a much bigger need for efficiency across operations. After the speculative surge from 2022 to 2024 resulted in above-average delivery volumes, industrial real estate market trends now point to a more moderate approach. This latest ranking of the top markets for industrial development, based on Yardi Matrix
EdgeCore gained approval from Mesa’s planning and zoning board on March 11 to build out a data center site in the city, according to the East Valley Tribune. The green light comes after the Denver-based developer agreed to shrink its proposed center from 2.1M SF to 1.2M SF. The project will now go before the Mesa City Council. The project covers half of an approximately 90-acre site already owned by EdgeCore in the Eastmark community along the technology corridor. The
Lower mortgage rates and less volatility have been one of the key positive stories in 2026 for the housing market. Until last week, rates were under 6.25% all year and we didn’t see much volatility, which is a key variable for a healthy housing market. However, a lot of that changed last week as the conflict with Iran is still escalating, with no end in sight. For now, our data shows housing demand is still positive year over year, but, as in previous years, whenever we get a mortgage rate spike
A BMX track, luxury apartments and an industrial complex are all under construction in the East Valley. Mesa is building a BMX track at its Signal Butte Park in the eastern part of the city. Hundreds of new luxury apartments are going up in Scottsdale’s historic Old Town district. A two-building Class A industrial complex is under construction, streets away from Interstate 10 and Loop 202. Here’s what is under construction in metro Phoenix and when each project
The Desert Ridge area north of Paradise Valley has turned into a hot spot for developers wanting to scoop up prime state-owned land in recent years. One of the highest-priced state land auctions last year happened when Mortenson outbid Verde Investments for over 200 acres in the area, spending $136 million for a site now planned to become a new Arizona Cardinals training campus. And major national homebuilders turned out to bid on about 53 acres of residential land by the
State Route 30, the Tres Rios Freeway, is poised to play a pivotal role in the West Valley’s growth, influencing transportation efficiency, development patterns, and long-term economic competitiveness across the Buckeye-Phoenix corridor. SR 30 will be parallel to I-10 about 5 miles to the south. “There’s going to be a tremendous number of additional vehicles from just the population growth we’re seeing all over the West Valley, but specifically in Buckeye,” says Buckeye Mayor
Demand is increasingly shifting toward inland and lower-cost markets. After slowing down in 2023 and 2024, leasing demand for warehouses of 500,000 square feet or larger bounced back sharply in 2025, most notably in the second half, according to new research from Cushman & Wakefield. Their Large-Format Deals Return report found that those larger deals surged by 32 percent year-over-year, and that third-party logistics providers (3PLs) and manufacturers accounted for almost
It’s estimated that $7T will be invested worldwide into data center infrastructure over the next four years — with more than 40% of that in the United States alone. Propelled by the advancement of artificial intelligence, commercial real estate’s hottest sector is poised for an era of explosive growth. But to grow and expand at this pace, it’s crucial for owners, developers and end users alike to think about their power usage and storage needs. By the end of 2024, data centers in the U.S.