Phoenix is a city on the rise when it comes to real estate, with values in the city rising steadily over time. According to Redfin, the average sales price of a home in Phoenix, Arizona is $350,000, which is a large increase of 17% over the past year. While many cities have sustained real estate growth over the course of the past year, due in part to high buyer demand and low inventory, Phoenix’s growth stands apart from the pack.
“The downtown population has doubled in the last five years and is expected to double again over the next five…”
According to a Zillow report, Phoenix was the number one big city in America in terms of home value and rent growth. Part of this growth comes from Phoenix’s burgeoning luxury market, and that market will not be slowing down after the recent announcement of a new luxury community in Phoenix beginning its development.
Hines, an international real estate firm, announced in January their plans for a massive luxury residential high-rise in the middle of downtown Phoenix. This resident is slated to be called Adeline, and it is a 25-story, 379-unit luxury, and it broke ground in 2021 with the expectation that they’ll begin leasing in the Fall of this year.
Adeline is touted by Hines for its location in a walkable area of downtown Phoenix, its 360-degree skyline view, and its top-notch indoor and outdoor amenities. The building is going to be 480,000 square feet and intends to attract professionals working in downtown Phoenix, as well as anyone looking to enjoy the vibrancy of Phoenix’s high-energy downtown area.
Some of the amenities that residents moving into Hines can expect to be available to them are an outdoor Junior Olympic-sized swimming pool, a 2,800-square foot training center, and numerous other features including conference rooms, community kitchens, and a dog spa. While prices haven’t been released yet, because it is a luxury community located in the heart of downtown, they’ll likely be competitively high.
Phoenix Mayor Kate Gallego was quoted in Hines’ release that announced their development saying “The downtown population has doubled in the last five years and is expected to double again over the next five. Ensuring an adequate housing supply for new downtowners is crucial to ensuring our city’s success. Adeline will help residents make a home in our downtown.” With housing supply being a problem in big cities across America, luxury developments like Adeline that provide high-quality living in large supply for wealthier citizens are essential to addressing the lack of available homes.
Phoenix has become one of America’s premier cities, with a red-hot real estate market that matches the warm Arizona sun. As they sustain growth, it’s extremely important that they have more home options to offer residents to the city, new and old. Massive developments like Adeline, which add 379 units to the heart of downtown, are an important step in this direction and present a great luxury option for buyers.