Scottsdale is highly focused on proactively attracting its targeted industries. In Scottsdale, we don’t wait for our phone to ring. We are strategic, deliberate and focused on driving diverse businesses to Scottsdale that will continue to grow and sustain our economy.”

Rob Millar, Economic Development director

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Twitter: @mrosequist_

Economic prosperity is shining bright in Scottsdale, officials say, as the Valley of the Sun continues to attract and retain businesses resulting in thousands of new jobs.

It has been five years since Scottsdale adopted an economic development strategic plan in February 2015, and officials say 6,000 new jobs has been one of many outcomes. Additionally, 32 new companies have been recruited or retained.

“Since approval of the plan there has been a direct economic impact to the City of Scottsdale of $34.7 million with nearly 6,000 new jobs added to our community,” Economic Development Director Rob Millar said.

“Over the past five years we have met with 448 companies to discuss how the City of Scottsdale can best support their businesses. Also over the last five years Scottsdale has seen a steady and consistent rise in high-wage occupations across our targeted industry sectors.”

New jobs in fiscal year 2019-20, year to date, include Choice Hotels, General Assembly and thredUP. The year prior, 14 new companies opened their doors in Scottsdale, including Airobotics, AZCOWORK, Zillow Group, Lemonade, Spring Venture Group, Nationwide Insurance and vCore.

Fiscal year 2017-18 saw 12 businesses recruited or retained, including Acronis, Connection Wireless, JDA, Lime, Paradox, Turo and LevRose.

“The prevalent factor driving business decisions is the availability of highly-skilled labor,” Mr. Millar said. “In addition to labor, the availability and affordability of real estate, low operating costs and quality of life rank very high in evaluating Scottsdale as a place to grow their business.”

Independent records show from 2018 to March 1, 2020, within the bounds of the City of Scottsdale, the housing marketplace saw a $122 million gain in overall sales volume --- from $279 million to $401 million --- as price per square foot sits at $291, which is up from $243 two years prior.

The average price sold of a single-family home in Scottsdale is $908,319, which is up from $657,256 two years prior.

Moreover, Scottsdale’s Economic Department reports there is a 5.9% vacancy rate for retail; 10.8% vacancy rate for office space; and 3.9% vacancy rate for industrial.

Of the 14 jobs attracted or retained in fiscal year 2018-19, the average wage was reported to be $68,633.

A second quarter report for fiscal year 2018-20 shows the average wage of the six jobs created or retained is significantly higher, at $91,891.

“Scottsdale is highly focused on proactively attracting its targeted industries,” Mr. Millar said. “In Scottsdale, we don’t wait for our phone to ring. We are strategic, deliberate and focused on driving diverse businesses to Scottsdale that will continue to grow and sustain our economy.”

Target industries for Scottsdale include:

• Business and finance occupations: 28% increase over last five years, with an expected increase of 12% in the next five years;
• Healthcare practitioner occupations: 20% increase over last five years with an expected increase of 17% in the next five years;
• Computer-related occupations: 34% over last five years with an expected increase of 15% in the next five years; and
• Management occupations: 29% over last five years with an expected increase of 11% in the next five years.

“A growing trend we are hearing from companies is the desire to be located in an urban environment,” Mr. Millar says. “Employees are telling their employers that they want to live and work near where they work so their employees can live and work in the same general area. The more traditional model of living in the suburbs and driving into the city to work is shifting, and companies and the market are responding.”

Looking to the future, Mr. Millar says the economic development department is updating its strategic plan to remain competitive.

“Scottsdale is currently updating its Economic Development Strategic Plan to ensure our economy remains competitive, agile in an ever-changing world economy and strategically positioned to attract the best of the best in companies and talent,” he said.