Big Companies Go Anywhere But Tucson
In recent years, cities across the southwestern United States have been experiencing significant growth and economic development, thanks in large part to investments from major businesses. Reno, Las Vegas, Phoenix, El Paso, and Albuquerque have all seen a surge in business activity that has spurred job creation and economic revitalization. Yet, amid this regional boom, Tucson, Arizona, remains conspicuously absent from the list of cities attracting big-name investors.
Reno: Tesla's Transformative Presence
Tesla Factory Reno, NVReno, Nevada, has been transformed by the presence of Tesla’s Gigafactory. This massive facility has not only created thousands of jobs but has also attracted a slew of suppliers and related businesses to the area. The resulting economic boost has positioned Reno as a burgeoning tech hub.
Las Vegas: Hospitality and Sports Hub
A’s Stadium Las Vegas, NVLas Vegas continues to thrive as a premier destination for hospitality and entertainment. The city's proximity to Los Angeles has made it an attractive location for overflow businesses, and recent developments include the planned relocation of the Oakland A's baseball team. Las Vegas’s robust hospitality industry, coupled with its growing sports presence, ensures a steady influx of investment and tourism dollars.
Phoenix: Tech and Manufacturing Giant
TSMC Factory Phoenix, AZPhoenix, Arizona, is becoming a powerhouse in tech and manufacturing. Major companies like TSMC, LG, and Intel have established significant operations in the area, contributing to a thriving economy. These investments have led to a surge in job opportunities and have solidified Phoenix’s status as a leading city for innovation and technology.
El Paso: Institutional Industrial Expansion
Instituional Industrial Real Estate Development El Paso, TXEl Paso, Texas, has seen remarkable growth, particularly in its industrial and warehousing sectors thanks to the on-shoring and near-shoring trend. Amazon’s presence in the city, along with numerous new warehouse and institutional industrial developments, has turned El Paso into a critical logistics hub. This influx of businesses has significantly bolstered the local economy.
Albuquerque: Netflix's Mini Hollywood
Netflix Studios Albuquerque, NMAlbuquerque, New Mexico, has recently garnered attention with Netflix’s billion-dollar investment in production studios. This investment has significantly boosted Albuquerque's profile in the film industry, earning it the moniker of a "mini Hollywood." Iconic productions such as "Stranger Things," "Breaking Bad," "Avengers," and "Logan" were all shot in New Mexico, showcasing the state's growing appeal to major film and TV productions. The resulting economic impact has been substantial, creating jobs and boosting the local economy.
Albuquerque's Growth Mirrors Other Successful Cities
Albuquerque's growth is reminiscent of the transformations seen in other cities like Reno, El Paso, and Phoenix, which experienced significant economic boosts when big companies invested in them. Reno attracted Tesla, El Paso benefited from onshoring and reshoring efforts, and Phoenix has become a tech hub with companies like Intel and TSMC establishing a presence there.
Tucson: A Place to Avoid?
Tucson, AZIn stark contrast to these success stories, Tucson has struggled to attract similar big-name investments namely due to it’s poor infastructure and lack of amenities. The city has yet to see a transformative investment that could catalyze economic growth and job creation.
Why is Tucson Lagging Behind?
There are several factors that may be contributing to Tucson's inability to attract major investments:
Economic Strategy: Tucson may need to reevaluate its economic development strategy to better appeal to large businesses.
Infrastructure: Tucson virtually has close to no infastructure besides the I-10.
Lack of Retaining Talent: In the workforce, Tucson has a lack of skilled talent despite having the University of Arizona. Most graduates flock to other MSAs with a more thriving environment.
Despite the success stories of Tucson’s surronding cities, Tucson, has lagged behind in attracting big-name investments. While cities like Reno, Las Vegas, Phoenix, El Paso, and Albuquerque continue to thrive with the influx of big businesses, Tucson remains at a laughing stock. The results paint a picture of businesses picking any other Southwest MSA than do business in Tucson. Is it possible Tucson could be the next to boom like its surrounding cities? Or is Tucson a place to avoid due to its nature as a failed city?
