Planning metro Phoenix’s growth amid future constraints

A program is being developed that looks at the trade-offs this region will likely face over the next 15-20 years as it works to accommodate projected growth. As metro Phoenix continues to grow there are numerous current and upcoming fundamental constraints to that growth. This can include water, power, available land, and workforce availability.

This effort is meant to bring more attention to the things that improve economic growth and how they interrelate to one another. It also sheds light on how limited resources may require tough decisions about the future funding allocations.

Mark Stapp, Director of Masters in Real Estate Development, and Jim Rounds of Rounds Consulting, joined “Arizona Horizon,” to discuss more about this program and the future growth of metro Phoenix.

“We realize the fact that we are having significant economic opportunity,” Stapp said, “…we are facing a number of constraints to our growth that we’ve never had to face before.”

Jim Rounds emphasized that one of the biggest constraints is the economic job growth in Phoenix keeping up with the current production. Another constraint holding back growth in Phoenix is energy, which serves as a vital source in economic growth.

“…really bring attention to the fact that we need to manage growth longer term, instead of just short term,” Rounds explained.

Stapp described how historically, the development pattern in Arizona has been low density, and 70% of the land being used for single family residential developments.

“I don’t think we can accomodate the growth that’s projected by maintaining that development pattern,” Stapp said, “…because we know that some of the land doesn’t have enough water, you’re not gonna be able to feasibly get power to it, it becomes disconnected from the workforce.”

Rounds emphasized how the economic landscape has completely shifted since 2020, and the workforce needs to continue to expand as metro Phoenix grows.