Phoenix had an estimated 1.67 million residents in 2025, reinforcing its position as the fifth-largest city in the United States and a major driver of regional economic growth. 

However, there’s a challenge: Arizona’s increasing population and building needs are moving faster than the systems that approve development. Here’s why this matters, and how zoning clarity can resolve costly issues before they arise.

Why zoning clarity matters before a project even begins

The nature of the architecture, engineering and construction (AEC) industry is complex, involving many stakeholders and numerous steps. All too often, developers buy land before they’re able to confirm whether the project they’re envisioning will be approved.

This happens for a variety of reasons. One is timing. Projects typically must complete an entitlement process that can take six months to a year (or longer), before construction permits can even be requested. In the meantime, developers are evaluating site feasibility and digging into zoning rules that determine what can be built.

These early decisions carry significant weight. Developers must assess whether land can support a grocery store, housing development, logistics facility, or another type of project long before they can receive definitive answers from local planning departments. When zoning information is difficult to access or interpret, those early decisions become far more uncertain than they need to be.

Development teams are often trying to answer very basic questions early in the process. Is the intended use even permitted on this parcel? How long might a rezoning take? What conditions could affect the project before construction even begins? When those answers are difficult to obtain, teams are forced to make uninformed decisions.

Answers often arrive too late in the development process

In order to minimize risk, development teams need answers quickly. But there are constraints that make this difficult. While the municipalities do excellent work with the resources available to them, planning departments are facing growing pressure from rising development demand.

This is true in Arizona and across the country. The U.S. Bureau of Labor Statistics estimates about 3,400 openings for urban and regional planners each year, many created by retirements or turnover. Local governments broadly report staffing shortages that affect their ability to deliver services such as permitting and development review.

With staffing gaps, growing demand for development reviews and extreme regulatory complexity, it’s no wonder that cities are stretched thin. Planning teams are working to balance community oversight, economic development and regulatory compliance, all while responding to a steady stream of new project proposals. 

At the same time, development proposals themselves are becoming more complex. Mixed-use projects, infrastructure coordination and community input all add additional layers to the review process. Even well-resourced planning departments are working within systems that were not designed for the pace of growth many cities are experiencing today.

The challenge affects far more than developers. Brokers, architects, engineers, lenders and municipal staff all rely on the same information to move projects forward efficiently.

Uncertainty creates risk for developers and cities alike

This deeply entrenched system, while designed for a reason, creates significant risk for developers. Land has to be purchased, before it is fully clear whether a project will receive approval. Developers have to hire planners, architects, engineers and attorneys, long before the final outcome is known.

In some cases, developers may spend substantial time and resources moving a project through early planning and entitlement stages only to learn that zoning limitations prevent the project from moving forward as originally envisioned.

Those early investments are rarely small. Engineering studies, architectural plans, legal reviews and feasibility analyses all take time and money. By the time those efforts are complete, a development team may have already committed significant resources simply to determine whether a project can progress.

The uncertainty also affects other stakeholders involved in the process, including brokers, lenders and planning staff. When early answers are difficult to obtain, everyone involved spends more time navigating questions that could potentially be resolved much earlier.

Upfront insight allows developers to make go or no-go decisions before significant resources are committed.

Looking ahead

Arizona’s growth is unlikely to slow in the coming years. As new residents arrive and businesses continue expanding in the region, the need for housing, retail, infrastructure and services will only increase.

Improving access to zoning information can help everyone involved in the development process make better decisions earlier. When developers understand site feasibility sooner, they can move forward with greater confidence. When planning departments receive clearer proposals from the outset, they can focus their time on reviewing projects that are more likely to succeed.

As Arizona continues to grow, clearer pathways from site selection to approval will help ensure that development keeps pace with opportunity.

Ali Fakih is a Phoenix-based civil engineer and the CEO of SEG and AIAEC.