By Jennifer Conrad, Managing Editor
From Phoenix warehouses near Sky Harbor to Mesa’s aging hangars at Falcon Field, Arizona’s Opportunity Zones are turning forgotten spaces into engines of growth. Imagine ghost towns transformed into campgrounds, new businesses taking root in neglected areas, and cutting-edge tech hubs replacing abandoned factories. That’s the promise of Opportunity Zones—a program breathing new life into communities nationwide. I sat down with Tommy Dobczyk, an Opportunity Zone adviser, to learn how this initiative is reshaping Arizona’s future and why it deserves more attention.
What Are Opportunity Zones?
Created by the Tax Cuts and Jobs Act of 2017, Opportunity Zones (OZs) stimulate investment in low-to-moderate-income areas by offering investors significant capital gains tax benefits.
Fast Facts
- 168 Opportunity Zones in Arizona
- 84 in Maricopa County, 28 in Pima County
- 290 new residents move to Arizona daily
- Statewide housing deficit: ~56,000 units (2025)
In 2025, Congress made OZs permanent. The program preserved the 10-year tax-free appreciation benefit and introduced a rolling five-year deferral for new investments after 2026. Current designations stay in place until December 31, 2026, with a new statewide map taking effect January 1, 2027—a once-in-a-decade reset that will shape Arizona’s economic geography for years to come.
Bringing New Life to Ghost Towns
One of the most creative concepts is repurposing forgotten ghost towns into thriving campgrounds.
“During COVID, people craved outdoor experiences, but there weren’t enough quality spaces to go,” Tommy said. “We’re filling that gap by creating campgrounds with top-tier amenities. And while we’re at it, we’re creating jobs and boosting the local economy.”
Each campground employs 10 to 25 people and relies on local trades for construction. The result: recreational spaces that meet surging demand while reviving places once left behind.
Expanding the Vision: Infrastructure, Housing, Tech
Tommy stresses that OZs are not one-dimensional. “These zones can flex to meet the biggest needs of a community,” he explained.
- Public Infrastructure: Towns like Somerton and San Luis struggle with water, sewer, and road systems strained by seasonal visitors. OZs can unlock capital for long-overdue upgrades.
- Housing: Arizona faces one of the nation’s sharpest housing shortages. Build-to-Rent and infill housing projects in Phoenix, Mesa, and Glendale are helping close the gap.
- Tech + Industrial: In Mesa and Chandler, outdated industrial parks are being repurposed into data centers and logistics hubs, creating high-quality jobs and solidifying Arizona as a tech hub.
Case Studies in Action
- Phoenix Sky Harbor: A 2025 Clarion Partners industrial build broke ground in an OZ, expected to generate hundreds of jobs by 2026.
- Mesa Falcon Field: OZ capital is fueling new aerospace facilities, boosting Arizona’s growing aviation sector.
- Yuma Proving Grounds: With border access and logistics potential, the area is primed for OZ-driven industrial and defense investment.
Why Opportunity Zones Matter for Arizona
Arizona is among the fastest-growing states in the U.S. The state added 56,000 new residents between 2021 and 2022 and now averages 290 new arrivals per day.
But growth brings strain:
- Housing affordability crisis: Only 39% of median wage earners can afford a one-bedroom apartment, and just 25% can afford a two-bedroom.
- Housing deficit: The state is short more than 56,000 units as of early 2025.
- Soaring home costs: Median home prices hover around $451,000 in Maricopa County.
“For investors, the tax incentives are a huge draw,” Tommy said. “But for communities, the benefits go far deeper. We’re talking about more jobs, better housing, and an overall boost in quality of life.”
Overcoming Challenges and Looking Ahead
Despite the upside, OZs face hurdles:
- Awareness gap: “Not enough people know how this program works,” Tommy admitted. “From city officials to developers, there’s a real need for education to unlock the full potential.”
- Infrastructure bottlenecks: Rural and exurban tracts need significant water, road, and broadband upgrades to attract investors.
- Equity concerns: Without safeguards, some OZ projects risk displacing long-time residents.
The upcoming 2027 redesignation is a turning point. Communities that prepare now with strong prospectuses and shovel-ready projects will have the edge in attracting long-term capital.
The Takeaway: Investing in Arizona’s Future
Opportunity Zones are more than a tax strategy—they’re a blueprint for inclusive growth. “It’s not just about investing in land,” Tommy emphasized. “It’s about investing in people, communities, and Arizona’s future.”
As Arizona continues to grow, OZs will shape where and how that growth happens. For investors, developers, and community leaders, the message is clear: with redesignation on the horizon in 2027, the time to act is now.
