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Commercial real estate in Phoenix — A view of a city with tall buildings

Actively acquiring in Maricopa County

Sell your commercial property in Phoenix

We buy commercial real estate across Maricopa County, as-is, for cash. Direct principal, no listing, no commission.

Phoenix at a glance

Metro population
5.2M
Job growth
+0.9%
Transfer tax
None
Eff. property tax
0.44%

Data current as of

Market conditions

What's actually happening in Phoenix

Our read

Phoenix is several markets at once. The north Valley is being reshaped by TSMC's semiconductor campus and the suppliers following it, including Amkor, which is building a packaging plant in Peoria. The southwest Valley is big-box distribution. Scottsdale and the East Valley are office, flex, medical and retail.

For an industrial seller, the practical point is that a vacant or short-term-leased building competes with newer product a buyer could lease up instead, and gets priced against it. A leased building with real term remaining is a different conversation, because the buyer is paying for an income stream rather than for lease-up risk.

Office is the product type we underwrite most conservatively here, on what the space will actually re-lease for rather than on in-place rent. We publish vacancy and cap-rate figures only when we have a source we can cite, so you will not find one here that we cannot back up.

An empty road in the middle of the desert

Our read · Phoenix

“Phoenix is several markets at once.”

Photo: Tyke Jones

Valuation

What your Phoenix property is worth

How we price it

The honest version: your building is worth its net operating income divided by the cap rate a buyer will accept, and almost everything else is a negotiation about that second number.

What moves you within the range is the lease: how much term is left, who stands behind it, whether the rent is above or below what the space would lease for today, and whether the escalations are real. A short lease with a franchisee guarantee prices at the wide end. A long corporate-guaranteed lease with meaningful bumps prices at the tight end, and if that is what you own, you should argue for it and we will listen.

Arizona helps on the expense side. A sale does not reset taxable value, so your buyer's tax line looks like yours. We show you the NOI we used and the cap rate we applied, so you can see exactly where we landed and why.

Capital markets today

10-yr Treasury
5.24%
4.12% a year ago
SOFR
3.87%
4.2% a year ago
30-yr mortgage
7.28%
6.3% a year ago
CRE loan delinquency
1.53%
1.57% a year ago
CRE prices, YoY
6.58%
-2.7% a year ago

Sources: FRED DGS10, 2026-10-01 · FRED SOFR, 2026-10-01 · FRED MORTGAGE30US, 2026-10-01 · FRED DRCRELEXFACBS, 2026-04-01 · FRED COMREPUSQ159N, 2026-01-01

Arizona tax & legal

Arizona charges no real estate transfer tax, just a $2 fee per deed. On a $4M sale, Florida's 0.70% documentary stamp tax would cost $28,000.

Transfer tax
None
Property tax (eff.)
0.44%
1031 conformity
Yes
Closing
Title state

Phoenix property tax vs. the 50 states

  • Metro Phoenix
  • Arizona
  • Other states
  • Median state
  • Effective property tax rate

    0.29%1.88%

    0.44%

    Lower than 48 of 50 states

Effective rates as cited on each state's page; every state's sources include Tax Foundation.

View all states as a table
StateEffective property tax rate
Metro Phoenix0.44%
Arizona0.48%
Texas1.40%
Florida0.78%
Alabama0.37%
Alaska0.94%
Arkansas0.56%
California0.70%
Colorado0.50%
Connecticut1.54%
Delaware0.54%
Georgia0.79%
Hawaii0.29%
Idaho0.50%
Illinois1.88%
Indiana0.76%
Iowa1.33%
Kansas1.21%
Kentucky0.74%
Louisiana0.55%
Maine0.98%
Maryland0.92%
Massachusetts1.00%
Michigan1.19%
Minnesota1.00%
Mississippi0.58%
Missouri0.89%
Montana0.61%
Nebraska1.44%
Nevada0.50%
New Hampshire1.50%
New Jersey1.88%
New Mexico0.63%
New York1.30%
North Carolina0.66%
North Dakota0.92%
Ohio1.36%
Oklahoma0.79%
Oregon0.81%
Pennsylvania1.26%
Rhode Island1.12%
South Carolina0.49%
South Dakota1.00%
Tennessee0.52%
Utah0.48%
Vermont1.51%
Virginia0.78%
Washington0.75%
West Virginia0.51%
Wisconsin1.32%
Wyoming0.53%

Statutes

  • Ariz. Const. art. IX, § 24
  • A.R.S. § 11-1132
  • A.R.S. § 11-1133
  • A.R.S. § 42-13301
  • A.R.S. § 42-13302

Arizona is one of the friendliest states in the country to sell commercial property in, and most sellers do not realize it.

There is no real estate transfer tax, and the state constitution bars new ones (art. IX, § 24). The only transfer charge is a $2 fee per deed under A.R.S. § 11-1132, which is included in the county recording fee. For comparison, Florida's documentary stamp tax of 0.70% would cost $28,000 on a $4M sale.

Arizona also does not reassess to market value on sale. Property is taxed on its limited property value, which can rise no more than 5% a year (A.R.S. § 42-13301), and a sale is not one of the events that resets it. That matters less to you than to your buyer, but it matters to your price: a buyer underwriting a California asset has to model a property tax step-up, and a buyer underwriting yours does not. Maricopa County's effective property tax rate is 0.44%.

Arizona conforms to federal 1031 treatment, so a properly structured exchange defers state tax as well as federal.

What this means

If you're selling in Phoenix

  1. No transfer tax to budget for

    Arizona charges no real estate transfer tax, so the largest single closing-cost line in many states does not apply here. On a multimillion-dollar sale that is real money staying with you.

  2. Closes through title, no attorney required

    A title or escrow company handles closing, title insurance, and recording. That usually means a faster close and one less party to coordinate.

  3. 1031 exchange defers state tax too

    Arizona conforms to federal like-kind exchange treatment, so a properly structured 1031 defers both. You must have a qualified intermediary in place before closing — it cannot be arranged afterward.

  4. How the sale affects assessed value

    No. Arizona taxes property on its limited property value, which can rise no more than 5% a year (A.R.S. § 42-13301). A sale is not one of the events that resets it; a change in use, major new construction, or a parcel split or combination is (A.R.S. § 42-13302).

Demand drivers

The Phoenix economy

Population

5.2M

Pop. growth

+1.1%

Job growth

+0.9%

Unemployment

4.9%

Net domestic migration

+22,256

Housing permits YTD

23,023

Permits vs last year

-9%

Median household income

$90K

How Metro Phoenix compares

  • Metro Phoenix
  • Arizona
  • Other states
  • Median state
  • Job growth, year over year

    -0.9%+1.6%

    +0.9%

    Higher than 39 of 50 states

  • Population growth

    -0.3%+1.5%

    +1.1%

    Higher than 46 of 50 states

  • Unemployment rate

    2.0%5.1%

    4.9%

    Higher than 44 of 50 states

  • Median household income

    $59K$105K

    $90K

    Higher than 38 of 50 states

View all states as a table
StateJob growth, year over yearPopulation growthUnemployment rateMedian household income
Metro Phoenix+0.9%+1.1%4.9%$90K
Arizona+0.6%+0.9%4.9%$81K
Texas+1.1%+1.3%4.4%$80K
Florida+0.6%+0.8%4.5%$78K
Alabama+1.1%+0.6%3.4%$67K
Alaska+1.3%+0.1%4.3%$96K
Arkansas+0.6%+0.6%3.9%$62K
California+0.8%-0.0%5.1%$100K
Colorado+0.2%+0.4%4.0%$97K
Connecticut+0.9%+0.4%5.1%$96K
Delaware+0.1%+0.9%4.7%$88K
Georgia-0.1%+0.9%3.2%$80K
Hawaii+0.2%-0.1%2.7%$101K
Idaho+0.9%+1.4%3.6%$81K
Illinois+0.2%+0.1%4.7%$83K
Indiana-0.5%+0.6%3.3%$72K
Iowa+0.0%+0.3%3.2%$76K
Kansas+0.5%+0.4%3.8%$76K
Kentucky-0.1%+0.5%4.7%$65K
Louisiana+1.6%+0.1%4.2%$61K
Maine-0.1%+0.5%3.2%$76K
Maryland-0.2%+0.3%4.1%$103K
Massachusetts+0.2%+0.2%4.3%$105K
Michigan+0.2%+0.3%5.0%$72K
Minnesota+1.4%+0.6%4.4%$87K
Mississippi+0.4%+0.1%3.4%$59K
Missouri+1.1%+0.4%3.5%$72K
Montana-0.9%+0.6%3.2%$75K
Nebraska+0.2%+0.6%2.9%$76K
Nevada+1.3%+0.9%4.8%$81K
New Hampshire+0.2%+0.5%2.8%$100K
New Jersey-0.2%+0.4%4.3%$104K
New Mexico+1.6%-0.1%4.7%$68K
New York-0.0%+0.0%4.3%$86K
North Carolina+1.3%+1.3%3.5%$74K
North Dakota+0.5%+0.8%2.2%$78K
Ohio+0.2%+0.3%3.3%$72K
Oklahoma+0.7%+0.6%4.3%$66K
Oregon-0.8%+0.2%5.1%$85K
Pennsylvania+0.6%+0.1%3.7%$78K
Rhode Island+0.1%+0.4%3.7%$84K
South Carolina+1.6%+1.5%4.1%$72K
South Dakota+0.2%+0.9%2.0%$77K
Tennessee+0.5%+0.9%3.4%$72K
Utah+1.0%+1.0%3.5%$97K
Vermont-0.3%-0.3%2.6%$83K
Virginia-0.9%+0.7%3.6%$92K
Washington+0.4%+0.9%4.9%$99K
West Virginia-0.3%-0.1%4.0%$61K
Wisconsin+0.6%+0.3%3.2%$77K
Wyoming+0.8%+0.3%3.0%$76K

Greater Phoenix has about 5.2 million residents and is growing 1.1% a year. Over the latest year it gained a net 22,256 residents from other states, and median household income is $90,133.

The composition of the growth matters more than the pace. TSMC's north Phoenix campus and Intel's Chandler fabs have pulled a semiconductor supply chain into the metro, and that tenant needs different real estate from the call centers and back-office users Phoenix has long attracted: high-power industrial, clean flex, and technical office.

Banner Health is the largest employer in Maricopa County, which underwrites a deep medical office market. Amazon, Walmart and Arizona State University round out the top of the list.

The labor market is steady rather than tight: unemployment is 4.9%, and the metro added jobs at 0.9% over the past year. On the residential side, residential permits are down 9.0% year to date.

Largest employers

  • Banner HealthHealthcare48,869
  • AmazonE-commerce & logistics40,000
  • WalmartRetail37,979
  • Arizona State UniversityHigher education35,754
  • Fry's Food StoresGrocery20,000
  • HonorHealthHealthcare16,969

Industries driving demand

  • Semiconductors

  • Healthcare

  • Logistics

  • Financial services

Sources: U.S. Census Bureau, Population Estimates Program, Vintage 2025 · U.S. Bureau of Labor Statistics, Local Area Unemployment Statistics, August 2026 · U.S. Bureau of Labor Statistics, Current Employment Statistics (total nonfarm, YoY), August 2026 · U.S. Census Bureau, Building Permits Survey (residential units, year to date), January–August 2026 · U.S. Census Bureau, American Community Survey 1-Year Estimates, 2024

Submarkets

The Phoenix submarkets

Map of Metro Phoenix with 4 submarkets marked: Deer Valley, Southwest Valley / Loop 303, Scottsdale Airpark, Tempe / Chandler
Metro Phoenix
  1. 01

    Deer Valley

    North Phoenix industrial corridor along I-17, the established industrial area closest to TSMC's campus.

  2. 02

    Southwest Valley / Loop 303

    Big-box distribution along the Loop 303 and I-10 corridors.

  3. 03

    Scottsdale Airpark

    Employment center around Scottsdale Airport with office, flex, retail and medical office.

  4. 04

    Tempe / Chandler

    East Valley office and flex, including the tech corridor around Intel's Chandler campus.

Recent activity

What we've underwritten in Phoenix

Anonymized from our own pipeline. These are cap rates we actually underwrote, not survey averages.

Gas Station — A gas station at night with no people around

Gas Station · Q1 2026

6.40%cap

Underwrote a corporate-guaranteed fuel center in the Deer Valley corridor. 14 years remaining, double-walled tank system, clean Phase I.

Warehouse — White building

Warehouse · Q2 2026

6.15%cap

Acquired a 92,000 SF distribution building off Loop 303. 32-foot clear, in-place rent roughly 12% below market at close.

Car Wash — Grayscale photo of black car

Car Wash · Q4 2025

6.90%cap

Sale-leaseback with a regional express operator. Two-site portfolio, 20-year absolute NNN, 10% bumps every five years.

Property types

What we buy in Phoenix

Each property type has its own underwriting playbook: how we value it, what we check in diligence, and who it backfills to.

Process

How selling to Dizposition works

The full process
  1. Day 0

    01

    Send us the property

    Address, asset type, and the lease if there is one. That is enough for us to start.

  2. 02

    We underwrite it

    Our underwriting runs the income against current Phoenix market pricing and the cost of capital. No lowball anchor.

  3. 10 minutes

    03

    You get a firm offer

    In 10 minutes, with the math shown. You will know exactly how we got there.

  4. As fast as 30 days

    04

    Close on your timeline

    As fast as 30 days, or as slow as you need. We are the principal, so the date is yours.

FAQ

Selling commercial property in Phoenix

Do I pay transfer tax when I sell commercial property in Arizona?

No. Arizona does not levy a real estate transfer tax, and its constitution bars new ones (art. IX, § 24). The only transfer charge is a $2 fee per deed under A.R.S. § 11-1132, included in the recording fee. There is no percentage-based tax the way there is in Florida or New York.

How do you set a cap rate on a Phoenix retail building?

We start from the lease, not from a market average. Remaining term, tenant credit and guarantee, rent relative to what the space would lease for today, and the escalation schedule decide where a building lands. In Arizona the buyer's tax line follows your limited property value rather than the sale price, so the income we capitalize is close to the income you actually produce. We show you the NOI and the cap rate we used, line by line.

Will my property be reassessed when I sell?

Not because of the sale. Arizona taxes on limited property value, which can rise no more than 5% a year under A.R.S. § 42-13301, and a sale is not one of the events in § 42-13302 that resets it. That matters to your buyer's underwriting and therefore to your price.

Do I need a broker to sell to you?

No. We buy directly and we will pay a broker if you have one. Selling without one saves the commission but you should understand what you are giving up in price discovery.

Does Arizona follow federal 1031 exchange rules?

Yes. Arizona conforms to Section 1031, so a properly structured exchange defers state income tax on the gain as well as federal. The 45-day identification and 180-day closing deadlines are federal and apply the same way.

Who handles a commercial real estate closing in Arizona?

Arizona is a title state: a title or escrow company typically runs the closing, with attorneys optional. We open title with a national underwriter as soon as terms are agreed.

Is demand for commercial property growing in Phoenix?

Phoenix's population is growing 1.1% a year and over the latest year it gained a net 22,256 residents from other states. Employers added jobs at 0.9% over the past year, with unemployment at 4.9%, and residential permits are down 9.0% year to date. Those are the inputs behind tenant demand; what they mean for your property depends on its submarket and lease, which is what we underwrite.

How long does it take to sell a commercial property to Dizposition?

You get a firm written offer within 10 minutes of sending us the property. If you accept, you can close in as little as 30 days — most of that is title work and your own timeline. There is no listing period, no marketing, and no waiting on a buyer's financing contingency.

Can I sell my property as-is?

Yes. We are the buyer, so there is no lender requiring repairs and no inspection contingency to renegotiate against you. Deferred maintenance, a failing roof, an aging tank system — we price it into the offer rather than asking you to fix it first.

Can I sell with a tenant in place?

Yes, and in most cases a tenant makes the property more valuable to us, not less. We will ask for the lease, a rent roll, and any estoppel certificates. You do not need to deliver the property vacant.

What if my lease is short-term or about to expire?

Short remaining term is one of the main reasons owners come to us. A conventional buyer needs lease term to get financing, which is why short-dated assets sit on the market. We underwrite the real estate and the backfill prospects rather than the remaining term alone.

What if the property is vacant?

We buy vacant assets. Pricing shifts from an income approach to what the building and land are worth to the next user, which is a different calculation — but it is one we do routinely rather than one that disqualifies the property.

What documents do I need to get an offer?

The address and the lease are enough to start. To finalize, we will want the rent roll, the last two years of operating statements, the title commitment, any existing survey, and any environmental reports you already have. You do not need an appraisal or a broker package.

How do you determine your offer?

We underwrite in-place income against what the space would re-lease for, adjust for capital needs and any environmental tail, and apply a cap rate supported by comparable transactions. We show you the inputs. If you disagree with an assumption, we would rather argue about the assumption than about the number.

What are typical seller closing costs?

Title and escrow fees, any transfer or recording tax owed in your state, prorated property taxes, and payoff of any existing debt. Because we are the buyer, there is no commission and no marketing cost. Transfer tax varies significantly by state and is often the largest single line.

Will I owe capital gains tax when I sell?

Usually yes, on the gain above your adjusted basis, and depreciation recapture is taxed separately from appreciation. State treatment varies. This is a question for your CPA before you sign, not after — the structure of the sale can change the answer.

Can I do a 1031 exchange?

Yes. A 1031 exchange lets you defer federal capital gains by reinvesting in like-kind property, subject to a 45-day identification window and a 180-day closing window from the date you sell. You must have a qualified intermediary in place before closing — it cannot be arranged afterward. Most states conform to federal treatment, but a few do not.

Can I sell if I am behind on payments or facing foreclosure?

Yes, and speed is the reason to move early rather than late. We can close on a defined date, which is what a lender or a receiver generally needs to see. Send us the payoff figure and any notices you have received.

Can I sell a property I inherited or that is in probate?

Yes. Probate sales take longer because the court timeline governs, not ours, and multiple heirs need to agree on the price before anything can close. We are used to working around both. Inherited property also generally receives a stepped-up basis, which can change the tax math substantially.

What if there is environmental contamination?

Send it anyway. Environmental history is one of the most common reasons a conventional sale falls apart, and it is one of the reasons owners call us. We price the remediation and the residual liability into the offer rather than walking away at the Phase II.

Is there any cost or obligation to get an offer?

None. There is no fee, no listing agreement, and no obligation to accept. If our number does not work for you, you keep the underwriting we showed you and we part ways.

10-minute offer

Ready to sell in Phoenix?

Send us the address and the lease. You'll have a firm offer, with the math shown, in 10 minutes.