Tucson seems to be doing well with increased job growth to continue into 2018. Several economists were quoted In this recent article from The University of Arizona News
This article highlights a recent luncheon where several spoke on the subject of the general economy on Tucson and the area’s economic outlook. See link below:
They said that Arizona’s economy continues to grow, with the Tucson metro area gathering momentum. In particular, Tucson’s job growth began to accelerate this year and looks set to carry faster growth into 2017 and 2018.
The forecast calls for Tucson’s job growth to rise from 0.6 percent in 2015, to 1.4 percent this year, then to the 2.0 percent range in 2017 and 2018.
They also commented on manufacturing jobs that are expected to increase, reflecting the announcement of new jobs coming at Raytheon and Vector Space Systems.
Other sectors adding the most jobs in the third quarter were education and health services; manufacturing; government; and trade, transportation and utilities.
In our business, we also speak to many commercial brokers and property managers in the surrounding Tucson area. What they are reporting back to us is how strong multifamily is now in Tucson and the high interest in apartment investing. They are bullish on Apartment buildings and multifamily with increasing rents & demand for clean rental units. They are reporting of high rental demand, low vacancies with most properties having waiting lists, yet property values are still 23% pre recession highs.
With the power of adding value to an underperforming asset along with a bullish local economic outlook, we see Tucson as a good place out west to find good values in apartment buildings.
If you would like to discuss how you could partner with us on apartment building in a dynamic emerging market like this, please call us direct at 510-863-1447