Land prices in the Buckeye area of Phoenix, AZ, are increasing rapidly. In one recent example, Arizona Land Consulting brokered the acquisition of a 36-acre parcel of land in a Buckeye opportunity zone for $7.1 million on behalf of a 1031 exchange buyer. Within 24-hours, the buyer received multiple offers from multifamily developers to buy the back portion of the site above the buyer's purchase price.

"The price of commercial land is going up exponentially. Properties that were sold at $2 a foot in Buckeye earlier this year are now getting offers at $12 a foot. Demand is very strong and viable land options are limited, and we're seeing a lot of demand from out of state developers and builders," Anita Verma-Lallian, founder of Arizona Land Consulting, tells GlobeSt.com.

Like the other trends in Phoenix, population growth is behind the appreciation of land. "Migrations to Phoenix from other cities are causing a high demand for commercial land. There's a low inventory of existing homes, and the supply chain for homes is running very slow," says Verma-Lallian. "Only 17% of land in Arizona is private, so there isn't much inventory of commercial land, especially as there is a lack of sites with infrastructure. Low interest rates are also fueling demand."