NAICS 23

Construction in Phoenix-Mesa-Chandler, AZ

Metro Market Score 55.5 (Challenging), ranked #251 of 342 metros. 11,892 establishments, 179,067 jobs.

Metro Market Assessment

Metro Market Score 55.5
Favorable 0-35
Moderate 35-48
Challenging 48-60
Difficult 60+
Challenging

ⓘ Lower is better. Relative to national construction average.

💰High-Cost Market📈Rapid Growth

Phoenix-Mesa-Chandler is a specialized hub for construction, with a location quotient of 1.45 and industry concentration in the lower half. Higher-than-average firm density means more competition for talent and customers, but also a deeper local supply chain and client pool.

Industry Concentration
88.0
LQ: 1.45
Rank #301 of 342 metros
Wage Competitiveness
85.1
$83,796 avg wage
Growth Trend
↑ 83.9
Employment growth index
Rank #56 of 342 metros
Wage Pressure
37.1
YoY wage change index

11,892 Construction Firms in Phoenix-Mesa-Chandler

11,892
Establishments
+4.4% YoY
179,067
Total Employment
+7.1% YoY
$83,796
Average Annual Wage
+5.8% YoY
1.45
Location Quotient
Above national avg

Phoenix-Mesa-Chandler vs Arizona Statewide

How this metro's construction market compares to Arizona overall. The state ranks #16/51 for entry risk.

Measure Phoenix-Mesa-Chandler AZ Statewide
Overall Score 55.5 Challenging 38.6 Moderate
Score Type Metro Market Score Entry Risk Score
Rank #251 of 342 metros #16 of 51 states

Metro and state scores use different methodologies (metro has 4 QCEW-based metrics; state adds BDS survival and momentum data). Direct score comparisons are approximate.

Other Industries in Phoenix-Mesa-Chandler

Healthcare and Social Assistance 43.6 Other Services 49.6 Accommodation and Food Services 55.9 Retail Trade 58.7 Real Estate and Rental and Leasing 60.1 Professional, Scientific, and Technical Services 62.3 Administrative and Support Services 66.5 Finance and Insurance 67.0 Information 73.1

Construction in Other Arizona Metros

Flagstaff 22.3 #12/342 Yuma 31.9 #51/342 Tucson 35.1 #65/342 Sierra Vista-Douglas 39.1 #100/342 Lake Havasu City-Kingman 41.2 #114/342 Prescott Valley-Prescott 50.1 #195/342

About Metro Market Score: A weighted composite of industry concentration (25%), wage competitiveness (25%), wage pressure (20%), and employment growth trend (30%). Lower scores indicate more favorable conditions. For Phoenix-Mesa-Chandler's construction sector, the industry concentration component (88.0) has the strongest pull on the composite. Metro scores use QCEW data only (no BDS survival data at metro level). Read full methodology →

Data Sources

Data period: 2024. Last updated: April 2026.