Phoenix population to add 2.6 million by 2040, housing supply not keeping up. Good for apartment building investment.

According to the ASU W.P. Carey School of Business’ Phoenix Housing Market Explained presentation, PHX will have to add housing equal to the current size of the Denver metro area over the next two or three decades to hold all the people who will move there. This presentation was done in March of this year but the demographics are powerful and still operating. Watch minutes 5 to 25 for the market demographics, after that they dive into the specifics of the single family sector recovery.

PHoenix transportation corridors will drive drive housing development
Click for full size image.

Transit corridors and public lands will shape where development takes place says Mark Stapp, Director of the Real Estate Development program at ASU’s W.P. Carey School of Business. ‘Densification’ will happen around the transit hubs which means these will be good locations for apartment building investment butthere is a disconnect between the demographic growth coming and what officials are willing to do about it.

To see Mark’s slides from the presentation click the image below, note you can also get Mike Orr’s slides which focus on the recovery of the single family market in Phoenix.

Phoenix population growth and household size trends
Click to download Mark’s PowerPoint Slides

 

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