Phoenix continues to outpace national expectations with a unique combination of industrial strength and investment growth. In Q1 2025, the city was officially named the No. 1 industrial market in the U.S., based on leasing volume, tenant activity, and market absorption.
Arizona’s overall investment activity surged by 356%, placing the state 36th nationally for growth, and demonstrating increased confidence from developers, private equity firms, and corporations. “The state experienced a 356% increase in investment growth between 2019 and 2024, from $2.91 billion to more than $13.27 billion.” (Phoenix Business Journal)
These economic signals make it clear: Phoenix is more than a high-growth Sun Belt city it’s evolving into a diversified, investment-ready economic engine
Healthcare Infrastructure and Education Growth Fuel Phoenix’s Future
Phoenix’s healthcare and education sectors saw major developments in May 2025, reinforcing the region’s position as a medical and academic powerhouse.
In Scottsdale, Banner Health broke ground on a new, state-of-the-art medical campus. The $400 million facility will include inpatient and outpatient services, diagnostic care, and support buildings, all designed to meet growing demand in the East Valley. “Today’s groundbreaking demonstrates Banner’s commitment to delivering more health care options close to where people live and supporting the economic vitality of our communities” Amy Perry, Banner Health president & CEO, said in a statement. “With more than 50,000 Banner members living in Scottsdale who rely on us [for] their care, this campus will reduce travel and seamlessly provide outpatient services in one place, giving Scottsdale families easier access to everything from urgent care to advanced cancer treatments.” (Phoenix Business Journal)
On the academic front, Phoenix’s medical university sector launched a new master’s degree program aimed at supporting the region’s expanding healthcare workforce. The program is designed to attract students seeking advanced roles in medical administration and public health, providing new talent pipelines for hospitals and clinics across Arizona. Phoenix Mayor, Kate Gallego, highlighted how this is a sign of how Phoenix’s relationship with bioscience has changed in recent years during her State of the City address, “Since I took office, Phoenix’s bioscience sector has seen nearly $7 billion in capital investments, more than 8 million square feet in primary facilities, and upwards of 14,000 new jobs.” (Phoenix Business Journal)
Together, these projects reflect a strategic investment in both infrastructure and education, two critical pillars of a sustainable, high-performing healthcare ecosystem.
Industrial and Energy Expansion Across the East Valley
The East Valley continues to emerge as a critical hub for industrial and energy-related development in Greater Phoenix. In Mesa, EdgeCore finalized the purchase of 44 acres to expand its data center campus. The new acquisition will significantly increase EdgeCore’s capacity for hyperscale and enterprise customers, further establishing Mesa as a rising force in the digital infrastructure economy. You’re going to see the technology sector continue to grow beyond the borders of just Mesa,” Jabjiniak EdgeCore’s Senior Vice President of National Community Engagement said. “It’s actually now developing into a regional effort. I see the technology corridor is one that really spearheaded a lot of interest in a different sector that Mesa did not have previously.” (Phoenix Business Journal)
In Goodyear, clean energy and advanced manufacturing gained ground with GTI Energy’s announcement of a $20 million investment in a new battery casing production facility. The site will support the transition to electrification and strengthen local supply chain capacity for energy storage technologies. “GTI’s enhanced investment is driven by increasing demand in the renewable energy and data center sectors. It also aligns with general growth in Phoenix’s clean energy sector.”For instance, on May 19 Arizona-based renewable energy equipment manufacturer Apex Power Conversion unveiled its new headquarters and manufacturing facility in Mesa, in the Pursuit Park industrial complex.” (Phoenix Business Journal)
These developments reinforce the East Valley’s role as a cornerstone for future-ready infrastructure from cloud computing to clean tech supporting long-term regional competitiveness.
Corporate Headquarters and Job Creation Propel Growth in Mesa and Phoenix
The Phoenix metro area continues to attract high-impact corporate investments, with new headquarters and job creation plans driving economic momentum across the region.
In Mesa, Apex Power officially opened its new corporate headquarters and announced plans to create 700 jobs by 2029. The energy and technology firm cited Mesa’s strong infrastructure, workforce availability, and long-term growth strategy as key decision drivers. “Mesa was chosen for its conducive business environment, combining access to renewable energy resources, a skilled workforce, supportive policies, and robust infrastructure — all of which are essential for the company’s growth and success in the renewable energy sector,” said Apex Power CEO Jon Dunham, Apex Power’s vice president of sales (Phoenix Business Journal)
At the same time, Sprouts Farmers Market broke ground on its new headquarters in Phoenix, reinforcing its commitment to its Arizona roots. The project, located in the city’s central corridor, is designed to support the grocer’s continued national expansion. “This project represents a major investment in the future of North Phoenix,” said Kirk Jonovich, Principal and Vice President at Wespac. “We’re proud to partner with Sprouts and Trammell Crow Company to build a headquarters that not only supports Sprouts’ continued growth, but also brings high-quality jobs, community-focused retail, and thoughtful design to one of the Valley’s fastest-growing corridors. The new campus will be a cornerstone for innovation, wellness, and economic development in this region for years to come.” (AZ Big Media)
Real Estate Redevelopment and Urban Growth Transform Phoenix’s Core
Phoenix is undergoing a wave of urban transformation as major redevelopment projects reshape its downtown landscape. In May 2025, city officials unveiled plans for several mixed-use towers and revitalized commercial corridors, aimed at turning underutilized parcels into vibrant hubs of housing, retail, and office space. “”Downtown Phoenix was not the it girl she is today,” Chris Mackay, the city’s community and economic development director, told the Business Journal in 2024. “There was a lot of convincing to get people to come to downtown Phoenix. We did not reach the population that we had in 1970 in downtown Phoenix until 2016.” (Phoenix Business Journal)
Healthcare is also expanding alongside real estate development. OrthoArizona announced plans to open five new medical facilities and expand five existing ones across the Valley. These projects will significantly boost access to orthopedic care and physical therapy, while creating jobs and supporting outpatient growth. “These new construction projects are spurred by a growing employee and patient base for the company. OrthoArizona employs more than 300 providers, including nearly 100 orthopedic surgeons across the Valley. The practice grew to 766,000 patient visits in 2024, up from 674,000 patient visits in 2023,” said CEO Dr. Rajan Bhatt (Phoenix Business Journal)
Together, these investments in real estate and healthcare illustrate how Phoenix is evolving into a more livable, service-rich metro, while maintaining its trajectory of smart, scalable growth.
Luxury, Lifestyle, and Wealth Migration Elevate Scottsdale’s Global Profile
Scottsdale’s reputation as a premier luxury destination continues to grow on the global stage. In May 2025, the city was ranked second in the world for millionaire population growth, trailing only Riyadh. This rapid rise in high-net-worth individuals is driving significant interest in luxury real estate, fine dining, private aviation, and upscale retail. “By last year, Scottsdale’s total population included 14,800 millionaires, which was 125% more than a decade earlier a growth rate ahead of every city in the world except Shenzhen, China.” (Phoenix Business Journal)
Catering to this affluent demographic, Jet Out, a private aviation company, announced its expansion into Scottsdale Airport, marking its third base of operations in the U.S. This move underscores the demand for private and corporate travel services in the region. “We see Scottsdale as a vibrant market that we think has a lot of demand for our services, and by opening a base there we’ll be best situated to support that demand,” Joseph Crivello, the CEO of Jet Out, told the Phoenix Business Journal. (Phoenix Business Journal)
Quality of Life and Economic Stability Strengthen Phoenix’s Appeal
Phoenix continues to rank among the top metros in the country for livability, affordability, and economic resilience. In May 2025, seven Arizona cities, including Phoenix, were named to the U.S. News & World Report’s Best Places to Live list, highlighting factors such as job market strength, cost of living, and access to amenities. (Phoenix Business Journal)
Adding to the region’s attractiveness, Phoenix was also ranked as the U.S. city with the second-lowest inflation rate, providing rare economic stability in a time of widespread cost pressures. According to AZ Big Media, “Despite the country not meeting its target yet, the Federal Reserve will keep interest rates at the level set in December 2024. The good news for Valley residents is that Metro Phoenix is the region with the second-lowest inflation problem, according to an analysis from WalletHub” (AZ Big Media)
Together, these recognitions underscore why Phoenix remains a top choice for individuals, families, and businesses seeking both economic opportunity and a high quality of life.
Phoenix Secures Its Position as a Growth Leader
May 2025 showcased why Phoenix continues to rank among the top-performing metros in the U.S with record-setting industrial activity, transformative healthcare and tech investments, national livability recognition, and rising luxury migration. From GTI Energy’s clean-tech expansion in Goodyear to Banner Health’s new medical campus and Apex Power’s HQ launch in Mesa, the region is firing on all cylinders. With low inflation, strong infrastructure, and a deepening talent pipeline, Phoenix is proving it’s not only built for growth it’s built for longevity .
About Rise48 Equity:
Rise48 Equity is a Multifamily Investment Group with local offices in Phoenix, AZ, Dallas, TX, and Charlotte, NC. “At Rise48 Equity, we provide opportunities for accredited and non-accredited investors to protect and grow their wealth and achieve passive cash flow. Our team brings expertise to acquire, reposition, and return capital to investors upon reaching our business plan. Through our research and strategically formed partnerships, we acquire commercial multifamily apartment properties, strategically add value to the properties, and create passive income for our investors through cash flow and profits from the sale.”
Since 2019, Rise48 Equity has completed over $2.4 Billion+ in total transactions and currently has $2 Billion+ assets under management located in Arizona, Texas, and North Carolina. All of the company’s assets under management are managed by Rise48 Equity’s vertically integrated property management company, Rise48 Communities.
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