Capital's Eager to be in Phoenix. Here's Why.
Grandbridge Capital SVP Tom Kenny and VP Josh Boehling foresee no slowdown in the demand for capital to do deals in Phoenix for the rest of this year—regardless of whether interest rates tick up a little or not.
1. Investors Like the Fundamentals
Over the past two decades, the region has seen significant population and job gains and the momentum is still there for continued growth, Tom says. That's because of the health of major local employers, the higher education infrastructure and the fact that people simply like living here.
2. The Market's Diversification
The Phoenix/Tempe market has a diversified economic base, which has led to strong job growth in high-paying sectors in recent years, Josh says. That includes advanced business services, financial firms, education services, health services and other emerging industries. Pictured: the 523-unit Grigio Apartments in Tempe. Tom and Josh recently oversaw $67M in permanent financing on the property.
3. Tempe's Tops in Tech
Tempe's technology companies in particular have attracted the attention of investors, according to Tom and Josh, with a strong emergence of a tech base in recent years. Now it has the highest concentration of tech firms in the state, and the city has momentum for growth in that sector.