That’s the question we’ll be answering in real time—because that’s exactly what TSMC (Taiwan Semiconductor Manufacturing Company) is doing right now.
They’re not just building one plant. They’re building six new facilities plus a full research and development center, making this one of the largest private investments in U.S. history.
And the ripple effects? Already massive.
Current Impacts
Jobs & Economic Growth:
Tens of thousands of jobs are being created—directly in high-tech manufacturing and indirectly through construction, logistics, and services. Every one of those workers needs housing, restaurants, schools, and stores.
Residential Pressure:
Submarkets like North Phoenix, Peoria, and Anthem are feeling it first. Demand for housing is soaring, and developers are sprinting to keep up.
Industrial Demand:
Suppliers and semiconductor-adjacent companies are scrambling for space near the fabs, igniting competition for industrial parks and zoned land.
Infrastructure Strain:
Roads, utilities, and (yes) water are under pressure. Local governments are fast-tracking upgrades—but demand could easily outpace readiness.
Submarkets to Watch
North Phoenix & Deer Valley • Peoria & Surprise • Anthem & Northern Suburbs
When this level of investment hits, it doesn’t just move a neighborhood—it shifts the entire region. These areas will feel the impact first but the entire Phoenix Metro area and the State of Arizona will feel the full effect of this massive project in the years to come.
Opportunities for CRE Stakeholders
Investors:
Industrial and mixed-use projects near TSMC’s orbit will see long-term upside. The key? Get positioned early—land values are already climbing.
Developers:
Think master-planned communities and live/work concepts that attract top talent.
Municipalities:
The cities that streamline zoning, permitting, and infrastructure will capture the biggest wins.
Risks to Watch
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Water & Sustainability – Chip fabs are water-intensive; supply and cost are long-term concerns.
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Labor Shortages – Skilled trades and technicians are already stretched thin.
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Infrastructure Bottlenecks – Roads, power, and utilities need heavy investment.
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Regulatory Delays – Environmental and community reviews could slow timelines.
Looking Ahead
The Valley is fast becoming a critical player in the global semiconductor supply chain.
In the next 5–10 years, expect:
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A boom in multifamily and workforce housing
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Rapid industrial corridor growth
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More mixed-use and retail development
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Strong investor confidence around quality, well-located assets
Phoenix’s semiconductor story is just getting started — and the opportunity curve is steep.
For commercial real estate professionals, success will come down to anticipating infrastructure needs, navigating regulations, and positioning assets in the path of growth.
Want to explore how TSMC’s expansion could reshape your investment strategy?
Let’s talk. The Solex team is helping investors and developers find their edge in one of the fastest-growing markets in the country.
