How Greater Phoenix Compares
Greater Phoenix has a highly favorable business climate where wages for key industry occupations average less than competitor markets. In addition, power costs in Greater Phoenix are significantly less than California markets.
Cost of Doing Business:
Greater Phoenix vs. Los Angeles, San Francisco, New York and London
|
|
Greater
Phoenix |
Los Angeles |
San Francisco |
New York |
London |
|
Labor |
|
|
|
|
|
|
Mean Wage |
$40,110 |
$47,600 |
$60,430 |
$54,850 |
$75,410 |
|
Workers Compensation |
$1.73 |
$4.13 |
$4.13 |
$3.15 |
$0.40 |
|
Unemployment Insurance |
$140.00 |
$238.00 |
$238.00 |
$289.00 |
N/A |
|
Unionization Rate |
10.4% |
18.4% |
20.1% |
23.3% |
N/A |
|
|
|
|
|
|
|
|
Real Estate |
|
|
|
|
|
|
Commercial Lease Rates |
|
|
|
|
|
|
Office per s/f |
$29.56 |
$36.33 |
$54.95 |
$86.00 |
$153.06 |
|
Industrial per s/f |
$10.00 |
$8.35 |
$14.00 |
$12.00 |
$31.00 |
|
Median Home Price (NSA, 000s) |
$205.10 |
$418.90 |
$615.70 |
$452.50 |
$948.46 |
|
|
|
|
|
|
|
|
Utilities |
|
|
|
|
|
|
Electric* |
|
|
|
|
|
|
Commercial |
$34,907 |
$49,184 |
$47,082 |
$82,429 |
$53,788 |
|
Industrial |
$117,750 |
$166,500 |
$126,900 |
$280,350 |
$201,706 |
|
Natural Gas |
|
|
|
|
|
|
Commercial |
$13.27 |
$6.41 |
$9.70 |
$13.41 |
$12.82 |
|
Industrial |
$11.14 |
$5.38 |
$8.42 |
$14.21 |
$12.05 |
* Office - 1,000kw/400MWH; Industrial - 5,000kw/1,500MWH
Sources: Research Institute of America, All States Tax Handbook, 2006; Oregon Dept of Consumer and Business Services, 2005; National Compensation Survey October 2007 (Phoenix - Mesa – Scottsdale) April 2007 (Los Angeles – Long Beach – Riverside, CA); Federation of Tax Administrators, State Tax Rates 2006, Various state revenue departments, 2006.unionstats.com; Bureau of National Affairs, Union Membership and Earnings Book, 2007; CB Richard Ellis Local Reports Worldwide 2008 QII. Means Construction Index, 2007; Local real estate contacts, 2006; National Association of Realtors—Median Sales Price of Existing Single Family Homes for Metropolitan Areas 2008 Edison Electric Institute, 2006; Energy Information Administration, 2006; Local utility providers, 2006; Research Institute of America, All States Tax Handbook, 2006; Oregon Dept of Consumer and Business Services, 2005; Forbes Best Places for Business and Careers 2008