Lake Havasu City Market Analysis vs Other Markets in Arizona
Arizona has diverse commercial real estate markets with good opportunities for investment. While Lake Havasu City may not be the first market that comes to mind, it offers considerable growth potential. But how well does Lake Havasu CRE stack up with other markets in the state? Read on for brief comparisons with Phoenix, Tucson, and Scottsdale.
Comparing Lake Havasu City Market Analysis to Other Cities
Market Affordability
As the biggest city in the state, Phoenix commands some of the highest prices across all asset types. Entry into the market often requires significant capital, making it more attractive for institutional investors.
Tucson may be slightly more accessible than Phoenix, but the market remains competitive. High-end assets can still reach high valuations.
Scottsdale has a reputation for leisure and luxury. When you consider assets with tourism appeal, they can command some of the highest valuations in the state. However, high-end assets rarely sell, and the city is increasingly strict about new development.
By comparison, Lake Havasu City Market Analysis offers more accessible entry points than these cities. Asset prices are more attractive, and there is potential for higher capitalization rates relative to saturated areas.
Local Economy and Growth
Phoenix is among the most diverse economies in Arizona. Technology, healthcare, manufacturing, logistics, education, and finance all play significant roles in the economy. Immigration and corporate relocations have also spurred population and economic growth.
Tucson benefits from a stable economy driven by factors such as aerospace and defense, the University of Arizona, healthcare, and cross-border trade. Conversely, Scottsdale thrives on high-end tourism. It does well in hospitality, luxury retail, and healthcare.
While less diverse than Phoenix or Tucson, Lake Havasu City experiences reliable growth. Tourism is the key economic driver, but there is more to the city than that. Lake Havasu City is experiencing the highest rate of population growth among these cities. This population growth and local infrastructure investment enhance the city’s long-term trajectory.
Commercial Property Segments
Each of these markets offers varying commercial real estate (CRE) investment opportunities. Phoenix leads in diversity and scale when it comes to available assets. It provides numerous opportunities across multifamily, retail, office, and industrial sectors.
Tucson does well in aerospace and defense manufacturing. For investors, top opportunities include retail, multifamily, and office space.
Scottsdale is a market for luxury investment. Upscale hotels and Class A office space can do well. High-end retail focusing on the tourism experience can also be a good bet.
Lake Havasu City is another tourism-driven market. Hotels and resort communities are attractive investments. The growing population also supports increasing demand for retail, dining, and local services. Self-storage investing is becoming promising around Lake Havasu. The e-commerce industry is also shaping some local trends.
Are you interested in Lake Havasu commercial real estate? Shuffler Commercial Realty is ready to help you find the right investments. Reach out now to learn more about our CRE services.
