Some good news surrounding the construction industry; a global pandemic couldn’t slow down construction across the city of Phoenix. Even with the lockdowns throughout 2020, Phoenix was still at the top of the list when it comes to apartment construction and 2021 is looking to be even more successful.
The Top Cities for Apartment Construction in 2020
The city of Dallas earned the number one spot, but Phoenix came in a close second when it comes to the amount of apartment construction the city saw last year.
The state of Arizona has been successful in the construction industry amidst the pandemic. But why?
The main reason is that people want to live here. Not only does the Phoenix area have great weather, but there is also a slew of career opportunities. From the strong workforce to the affordability of living in Arizona, there has been a rise in the housing sector, which includes apartment construction.
In 2020, Phoenix completed 78 multi-family housing projects totaling $5 million. Since the year 2017, the city has tripled the amount spent on multi-family housing construction.
And things don’t look to be slowing down anytime soon. This year, 129 multi-family housing projects are projected to be finished by the end of the year.
The good news is that most of these buildings are being used and vacancy seems to be limited.
Even though states like Texas, Nevada, and Arizona haven’t seen a slowdown in apartment construction, the overall national numbers have seen a slight decrease. Over the last few years, the largest 150 metropolitan areas in the U.S. finished more than 300,000 units each year. In 2020, the number dropped to 292,000. This is mainly due to the pandemic, as some developments had to be put on hold or canceled altogether.
Luckily, the dip hasn’t been too extreme and it doesn’t look like it will last into the new year.
Construction Law Advice
Are you thinking about starting your own construction project? This may be a good time to finally dive into the industry. Before making any firm plans, schedule an appointment to talk with a construction lawyer in Phoenix. One of our experienced lawyers can help you with everything from planning your project to drafting contracts.