By Jennifer Conrad, Managing Editor
Mesa is not just making headlines; it’s rewriting them. Coworking Cafe just released its annual study and named the City of Mesa the #1 city among large cities in the United States for economic growth. These rankings highlight impressive performance in the job market, investing in its infrastructure, entrepreneurship, and community development.
Why Mesa is Leading the Way
Mesa leads the list of large cities in the United States. Driven by impressive gross domestic product (GDP) growth of 38%, 2% employment growth, and an uptick in infrastructure of 34% between 2018 and 2022. Mesa’s focus on its economy has attracted numerous technology and manufacturing companies, bolstered the city’s GDP, and created high-quality jobs. The city’s investment in infrastructure, including transportation, has made it a more attractive place for businesses and residents.
More than half a million people call Mesa home, making it the 36th largest city in the U.S., more significant than Miami, Minneapolis, and Atlanta, the second-largest city in the Phoenix-Mesa metro area and the third largest in Arizona. Within a 30-minute drive, a workforce population of 1.3 million fuels this economic powerhouse, showcasing the city’s potential and strength.
Impact on the Real Estate Market
Mesa’s economic success and growing job markets signal a positive outlook, which means that more people are looking to relocate to the city, driving up demand for housing. The expansion of the tech sector is particularly notable, bringing in a wave of professionals seeking quality living spaces. Ongoing city development projects create new real estate opportunities, making it an exciting time for professionals to explore Mesa’s market.
Mesa’s success is mirrored in the broader Metro Phoenix area, which has seen a 34.26% increase in infrastructure and 37.82% GDP growth. This makes it a prime location for residential and commercial real estate investments. As more people and businesses move to the area, the demand for quality housing and commercial spaces rises.
Virgin Galactic’s New Facility: A Game Changer for Mesa
Virgin Galactic’s new spaceship manufacturing facility adds to Mesa’s explosive growth. The facility in Mesa will be the site for the final assembly of its next-generation Delta spaceships, scheduled to start early in 2025. An initial team of technical operations and manufacturing personnel has already begun preparing the facility to receive and install tooling, which is expected to arrive at the end of 2024. Next year, the facility will receive significant subassemblies, including the wing, the fuselage, and the feathering system, as the team scales to build the first two ships of the Delta fleet. The multi-use facility includes two hangars equipped with multiple bays, designed for maximum flexibility in building and testing space vehicles.
Mesa’s Real Estate Market Snapshot, July 2024
As of July 2024, the real estate market in Mesa shows promising trends. The median list price for single-family homes is $550,000, with new listings averaging $492,000. Homes spend an average of 56 days on the market, and inventory has increased to 794 listings. The price per square foot stands at $280, indicating a solid market with significant buyer interest.
Supply and Demand
The increase in inventory to 794 listings shows a healthy supply of homes, which meets the growing demand driven by Mesa’s economic growth. This balanced inventory level indicates that while plenty of homes are available for buyers, the market is balanced, providing a stable environment for buyers and sellers to make confident decisions.
Price Trends
The median list price of $550,000 and the median new listing price of $492,000 suggest that while home prices rise, they are still accessible to new buyers. This price trend reflects the city’s economic health and the increasing desirability of Mesa as a residential location. Buyers can expect a good return on their investment as property values continue to appreciate.
Market Stability
The average of 56 days on the market indicates a balanced pace, with homes selling neither too quickly nor languishing unsold for extended periods. This stability benefits buyers and sellers by providing a reasonable completion timeframe without undue pressure.
Economic Growth
The 38% GDP growth and 2% employment increase are the primary drivers of housing demand. As more businesses establish themselves in Mesa and more jobs are created, the influx of residents seeking housing continues to rise.
Infrastructure Improvements
Improved roads, public transit options, and community facilities make Mesa an appealing living place, contributing to increased property values. These improvements support the city’s long-term growth and sustainability, making it a prime location for real estate investments.
Tech Sector Expansion
The influx of tech companies into Mesa creates a market for quality housing. As the tech sector grows, the demand for modern, well-equipped homes rises, driving further development in the housing market. It provides a steady stream of high-income residents who fuel the demand for upscale housing, making Mesa a secure investment destination.
Virgin Galactic’s Facility
The new spaceship manufacturing facility is expected to bring more jobs and economic activity, boosting demand for residential properties. The presence of a high-profile company like Virgin Galactic adds to Mesa’s attractiveness as a destination for skilled professionals. This facility enhances the city’s economic prospects and provides new real estate development and investment opportunities.
Mesa’s economic environment and strategic initiatives make it a hotspot for real estate opportunities. Combining economic growth, job creation, infrastructure enhancements, and developments like Virgin Galactic’s facility underscores Mesa’s potential as a prime location for real estate investments.
