Aug. 16, 2024
CHANDLER, Ariz. — During the Aug. 15 Chandler City Council meeting, Chandler’s Economic Development Director Micah Miranda updated the Mayor and Council on economic trends, stats, successes and opportunities the city is facing and its vision for the future.
Below are highlights of the briefing:
- Chandler’s Economic Development team is proactively working to identify future opportunities to bring additional businesses to the city. With the economy continuing to evolve (such as businesses closing and new businesses opening in those former locations), Chandler has positioned itself as a premier city for business.
- It’s still too early to know the impact of Intel’s recent layoffs announcement, however, the company’s multibillion-dollar investment into two new manufacturing facilities in Chandler remains promising.
- Chandler continues to receive numerous accolades, one of the recent notable ones from Financial Times-Nikkei Investing in America ranks Chandler as the #16 Best City for Foreign Direct Investment in the nation and #1 City in the State of Arizona. This, along with the other top accolades, speaks highly of the community we’ve built and our economy’s resiliency.
- Chandler has a 49% higher education attainment rate, ranking higher than both the state and national average. In fact, as Chandler’s population continues to increase, so does its educational attainment, which directly impacts residents’ household income and quality of life.
- Twenty-seven percent of Chandler’s workforce are in high-tech industries — compared to 15% in the East Valley and 10% nationwide.
- Chandler remains focused on targeted industry clusters that will drive the city into the future and provide stability with high-waged employment. Those employment industries are: Automotive Technology; Aviation & Aerospace; Advanced Business Services; Healthcare; High-Tech Manufacturing; and IT & Software. Chandler also plans to aggressively drive expansion opportunities within the healthcare industry — and by doing so, will continue to diversify its employment base.
- Over the past several years under the direction of the Mayor & Council, Chandler has seen major expansions and investments from national companies. They include Intel, Insight, and Comtech, to name a few. In addition, Chandler residents are thrilled about recent retail additions, including SCHEELS, Trader Joe’s (opening later this year) and Andretti Indoor Racing & Games.
- Chandler still has potential for future development with existing space for retail (17 million square feet), office (11.7 million square feet) and industrial (28.6 million square feet) projects.
- Chandler’s retail vacancy rate for retail space is currently at 4.7% - well below the city’s five-year average. The vacancy rate is expected to fall under four percent due to additional redevelopment projects.
- Chandler’s office vacancy rate is currently at 19.6%. As the need for office evolves with more hybrid/remote work opportunities, staff is working with the development community to reposition available product.
- Chandler’s medical office vacancy rate is 4.6% and is an area of opportunity. This will be key as Chandler’s population continues to age and more medical services will be in demand.
- Chandler’s industrial vacancy rate is 5.7% — this type of building is essential to cater to the needs of those targeted industry clusters such as manufacturing and the semiconductor industry.
- Chandler’s unemployment rate is at 3% — according to economists, anything under 4% is considered “virtually none.” Workforce development remains essential to keep unemployment rates low.
- Chandler’s population is still growing, however, it also continues to age. These demographic shifts could have future impacts on the city and the local economy. Potential challenges for the city include: labor force availability; consumer spending habits; school enrollment; changing service expectations; and the sustainability of revenue streams.
- For Chandler to remain a community with strong economic vitality, staff is envisioning new ways to stay on target as the economy continues to evolve. Goals for the community, economy, positioning of the city and future development include:
- Market Chandler as the premier community destination in the country for young families and professionals, highlighting Chandler’s educational excellence, cultural and recreational amenities and public safety.
- Consider opportunities for targeting new industry clusters.
- Globally position Chandler as a top-of-mind destination — seek opportunities beyond the U.S.
- Support development projects to allow Chandler to compete for modern projects including mixed-use development, vertical growth, infrastructure investments and the expansion of hotels to meet business needs.
For additional information on the city’s Economic Development Division and its work, visit Chandler Economic Development or connect with the division on LinkedIn.
Media contact:
Stephanie Romero
Public Information Officer, City of Chandler
480-782-2231