By Mike Sunnucks | Rose Law Group Reporter
New home building and residential development are coming back in earnest to the outer reaches of the Phoenix — in particular, Pinal County submarkets such as Coolidge, Casa Grande and Maricopa as well as Buckeye in the West Valley.
“There is a lot more purchasing going in the tertiary markets,” said Jim Belfiore, president of Belfiore Real Estate Consulting of increased demand from buyers and activity from builders. “We are starting to see the rebirth of those markets.”
Belfiore expects to see that growth continue.
“For 2020 and 2021, we should see significant purchases in those tertiary markets,” Belfiore said.
The last real estate crash stopped some growth plans in the West Valley and Pinal County. But that downturn is well in the rearview mirror and now builders and buyers are headed to the region’s current outer limits.
That includes a market like Coolidge which is 54 miles or a 1-hour drive from Phoenix Sky Harbor International Airport.
“Builders are looking once again in that market,” Belfiore said.
Pinal County markets offer affordability (homes under $300,000) and larger residences than first time and entry-level buyers can find in closer in areas. There is also less available land in the East Valley for home builders.
“In order to get a larger home or even to afford a house they are pushed farther out,” said Belfiore of the dynamic which repeats past growth patterns.
Belfiore said those builders are moving to develop raw and vacant land in Pinal County, a good portion of which already has improved lots or was zoned for development before that last market crash.
“There are finished lots or partially improved lots,” he said.
Job growth in the East Valley which has seen commercial developments grow in Tempe, Gilbert and Chandler also makes a commute from Pinal County a little easier.
Pinal County is also seeing some economic development and expect job gains with large manufacturing plants in the works for Lucid Motors and Nikola Motor Company.
The same dynamic is true in the West Valley where the Loop 303 and South Mountain freeways along with job growth in areas such as Goodyear make for an easier commute for homebuyers in Buckeye.