Phoenix, AZ Office Overview
The Phoenix market includes the Scottsdale, Chandler, and Tempe submarkets. With a metropolitan population of over 4.5 million people, the economy is continuously growing, particularly within education, technology, and tourism.
As of mid-2017, the market encompasses over 55 million square feet of existing office space in properties larger than 50,000 square feet. As both the capital and the most populous city in Arizona, the city continues to see strong demand from a variety of business sectors.
Phoenix, AZ Office Inventory Description
Arizona State University is one of the main drivers of the economy in Phoenix and has helped to attract numerous technology and telecommunications companies. With an annual gross metropolitan product of nearly $209 billion, the demand for space is significant. Over 49% of the office space in Phoenix is Class A, while Class B properties bring another 49% to the market.
Downtown Phoenix is on the rise for Class A office space, and home to prime properties such as Cityscape, One and Two Renaissance Square, and Chase Tower. Intel, State Farm Insurance, and Boeing are just three of the many large employers that drive demand for office space.
Phoenix, AZ Commercial Inventory Breakdown
Office Spaces
Total: 70,882,205 SF
By square footage range:
- 50k to 100k SF: 17,444,451 SF / 24.61% of total office
- 100k to 500k SF: 43,375,636 SF / 61.19% of total office
- 500k to 1M SF: 5,172,118 SF / 7.3% of total office
- > 1M SF: 4,890,000 SF / 6.9% of total office
By class:
- Class A: 27,127,498 SF / 38.27% of total office
- Class B: 31,196,338 SF / 44.01% of total office
- Class C: 1,569,911 SF / 2.21% of total office
Top 10 Largest Office Buildings
in Phoenix
| Office building | Address | Sqft | Year built |
|---|---|---|---|
| Chase Tower | 201 North Central Avenue, 85004 | 733,922 | 1973 |
| USAA Phoenix Campus | 1 Norterra Drive, 85085 | 644,756 | 2003 |
| CenturyLink Tower | 20 E Thomas Road, 85012 | 586,403 | 1988 |
| Cityscape | 1 East Washington Street, 85004 | 568,000 | 2010 |
| 201 East Washington Street | 201 East Washington Street, 85004 | 567,164 | 2001 |
| Phoenix Operations Center Campus | 1825 East Buckeye Road, 85034 | 540,000 | 1989 |
| Central Arts Plaza | 1850 North Central Avenue, 85004 | 515,816 | 1990 |
| Two Arizona Center | 400 North 5th Street, 85004 | 512,852 | 1989 |
| One Renaissance Square | 2 North Central Avenue, 85004 | 503,205 | 1987 |
| Freeport - McMoRan Center | 333 North Central Avenue, 85004 | 499,000 | 2009 |
Largest Office Properties Recently Completed
in Phoenix
| Office building | Address | Sqft | Year built |
|---|---|---|---|
| Norterra West II | 25800 North Norterra Pkwy, 85085 | 150,000 | 2021 |
| Wexford Innovation Center | 850 North 5th Street, 85004 | 227,113 | 2020 |
| Bell 17 Business Center 5 | 2001 West Phelps Road, 85023 | 101,058 | 2020 |
| Helios Education Foundation Headquarters | 4747 North 32nd Street, 85018 | 65,000 | 2020 |
| 755 East Willetta Street | 755 East Willetta Street, 85006 | 31,746 | 2020 |
| 5520 East Washington Street | 5520 East Washington Street, 85034 | 28,000 | 2020 |
| Valleywise Community Health Center - 5650 South 35th Avenue | 5650 South 35th Avenue South, 85021 | 26,000 | 2020 |
| 2025 West Northern Avenue | 2025 West Northern Avenue, 85021 | 26,000 | 2020 |
| American Express Desert Ridge - Building 4 | 18850 North 56th Street, 85050 | 300,000 | 2019 |
| Block 23 at CityScape | 101 East Washington Street, 85004 | 295,402 | 2019 |
Phoenix, AZ Green Office Space
Of the Top 30 Green Office Markets in the U.S., Phoenix ranks #21 for energy efficient office buildings. While just over 3% of the properties larger than 50,000 square feet are LEED-Certified, over 7% rank as Energy Star Certified and over 9% are recognized as green buildings.
A prime example is Gainey Office Center I, which is LEED-Certified Gold. As tenants, as well as national and global investors seek out green office assets, the trend will continue to grow.
The 2017 National Green Building Adoption Index looked at commercial office properties in 30 major U.S. markets and found that, including EPA Energy Star-labeled buildings, the percentage of green certification has increased from below 5% in 2005 to 38% as of mid-2017.
Phoenix, AZ's Top Office-Using Sectors
As a home to four Fortune 500 companies and numerous education, technology and health care corporations, there is strong demand for Class A office space in all parts of Phoenix.
- Education –Arizona State University and Maricopa County Community College attract cutting edge high-technology businesses.
- Technology – Honeywell Aerospace, Intel, Avnet, Invision Technology, and Sky Touch Technology are all located here.
- Health Care – The health care industry in Phoenix is a major contributor to the economy, with world-class facilities such as the Mayo Clinic, Phoenix Children's Hospital, Barrow Neurological Institute, and the Arizona Heart Institute.
- Corporate Headquarters –Avnet Freeport-McMoRan, Republic Services, and Honeywell's Aerospace Division.
Frequently Asked Questions
How much does office space cost in Phoenix, AZ?
The average office rental rate in Phoenix, AZ is $23.63 per square foot. Asking prices vary based on the property’s location, overall rating, amenities, proximity to restaurants, cafes and entertainment venues, as well as public transport, airports and highways. Check Phoenix Office Market Trends for more stats.
What is the size of available office spaces in Phoenix, AZ?
The Phoenix, AZ office market can accommodate various businesses, sporting a range of office space availabilities. The average size of office space availabilities is 150,043 square feet. If you’re just starting out as a company or as an entrepreneur, the smallest available office space in Phoenix, AZ is 86 square feet, while the maximum rentable space on the market now is 300,000 square feet.
How do I get office space in Phoenix, AZ?
Start your search for office space in Phoenix, AZ by using our filters that allow you to find the best space for your business needs. Filter listings by location, property size, available space or lease rate. Property pages will offer details about an office building’s rating, year built, availabilities, price per square foot and more. After drawing up a shortlist, make sure you contact the listed broker(s) to schedule a viewing and begin the negotiation process for your lease contract.
How many office listings are available in Phoenix, AZ?
There are 949 office listings on the Phoenix, AZ market. See all available office spaces for rent.
Where to rent an office space in Phoenix, AZ?
Popular Phoenix neighbourhoods with available office spaces include Encanto Village, Deer Valley Village and North Mountain Village.
What other property types are available for lease in Phoenix, AZ?
In addition to traditional office spaces, commercial real estate listings on our platform also include coworking & shared office space options, retail spaces, industrial buildings, warehouses, distribution facilities, and more.
Phoenix Demographics
Population
- Total Population1,633,017
- Male Population(49.8 %) 813,775
- Female Population(50.2 %) 819,242
- Median Age33.80
Income/Financial
- Average Household Income$80,628
- Median Household Income$57,459
- Median Income Under 25$36,207
- Median Income 25-44$59,284
- Median Income 45-64$66,389
- Median Income Over 65$45,289
News
Coworking spaces are well known for building strong communities inside their walls. However, these flexible workspaces can also impact their wider community. The local economy often benefits from a coworking space. Without them, many suburbs and mid-sized urban areas would shrink as workers move...
Following the great financial crisis of 2008, the U.S. has been experiencing one of the longest economic expansions in history. Production and consumption continue to climb higher and, as a result, industrial property construction continues to increase, as well. In particular, industrial propert...
Andrea Davis, leading expert in the commercial real estate industry, has over 20 years of industry experience in helping thousands of businesses find their dream office. She is a regular speaker at Phoenix Business Relations and Women of Influence and has been featured in numerous publications i...