Albuquerque Growth, Today & Beyond
BIG Things coming to Albuquerque!
By Thomas Mortensen
Associate Broker – Allen Sigmon Real Estate Group
505.263.3159 | firstname.lastname@example.org
When was the last time you saw the kind of growth the Albuquerque Metro Area is experiencing right now? Never? Over the past year, Albuquerque has had multiple large companies announce new investments in our community. The sheer volume of investment is difficult to keep track of and to put into perspective. Below you will find a list of all the large companies coming to or expanding in the Albuquerque Metro area. We are certain there will be more as “growth begets growth.”
Orion is owned by Thea group and they specialize in building satellite networks that track data. Their future location will be just north of the Sunport, and their building is estimated to be 4 million SF, with construction starting in 2023. The estimated cost of the project is between $8-$10 billion dollars. We believe this is the largest commercial investment ever made in NM, at least in our memory. Thea estimates there will be 1000 permanent jobs, to begin with.
Netflix just finalized an additional deal in Albuquerque and they are now committed to $2 billion in projects. The newest deal will add up to 10 new stages, post-production services, production offices, mills, backlots, and training facilities, wardrobe suites, a commissary to support meals and craft services, and other flex buildings to support their productions. Upon completion, Netflix’s Albuquerque location is expected to be one of the largest high-tech and sustainable film production facilities in the world.
Netflix Currently utilizes over 2000 production vendors and hired over 1600 cast and crew members, and they have already spent $200 million locally. Netflix appears to be firmly anchored in New Mexico!
Lionsgate/ NBC Universal
Lionsgate/ NBC Universal has recently acquired a downtown studio complex.
The company has committed to spending $500 million in direct production over the next 10 years. The total economic impact is estimated to be $1.1 billion and creates over 800 direct and indirect jobs annually.
Intel’s $3.5 billion investment in New Mexico will create 700 new jobs in the next three years and establish the Rio Rancho campus as the company’s domestic hub for advanced semiconductor manufacturing. In addition to 700 new high-tech jobs at Intel, the investment will bring 1,000 construction jobs with construction happening later this year. The investment is also expected to impact about 3,500 jobs in the surrounding area. Intel has been a fixture in Rio Rancho and it is exciting to see them investing in this facility again!
Facebook is asking to build 6 new buildings in the near and distant future. Two of the building will be built in the next two years, totaling $800 million in investment.
The Los Lunas data center started service in 2019 and reportedly represents an investment of over $1 billion in New Mexico. It provided 1,100 construction jobs at its peak and currently supports 300 jobs.
Along with Amazon’s five-story, 2.5 million-square-foot fulfillment center, Amazon is also building a 270,000-square-foot sorting center at the same campus. Amazon expects to have 1000 full-time employees, starting at $15 an hour
What does this mean for you and how can you make a buck from it?
Overall we have $15-17 billion of new investment planned for the Albuquerque Metro area with over 4000 permanent jobs and thousands of construction jobs. This is HUGE for a market the size of Albuquerque! We are expecting a large amount of commercial and residential developments to happen in order to support this large amount of investment/growth. We will expect to see more speculative warehouse developments to be built in the next year. These warehouses will help relieve the extremely tight industrial market. We would also expect to see the occupancy rates in the Albuquerque office market continue to increase along with rental rates. With all the new jobs, the new residents are going to need a place to live so we see continued robust growth in the local residential market. As we go forward, keep your eye on large vacant tracts of land as they continue to disappear.
We can’t remember a time when growth prospects have looked so promising. We are here to help you with any commercial real estate questions or projects that you may have in mind. So give us a call!
About the Author
Thomas Mortensen Associate Broker 505.263.3159 Thomas@AllenSigmon.com
Thomas is a fifth-generation New Mexican, born and raised in the Albuquerque area. He attended public schools and graduated from Cibola High School in 2008.
Thomas found his passion for real estate early in life. As a student at BYU-Idaho, Thomas interned for Allen Sigmon and also worked the following year as an intern for Keller Williams in Idaho. He was an apartment manager during his junior and senior years of college.
After graduation, Thomas spent 2 years as an analyst for Honeywell. Thomas then returned to work as a broker for Allen Sigmon Real Estate Group, where he is today.
Thomas has quickly excelled as a commercial real estate broker. He has honed his skills representing clients such as Jiffy Lube, New Mexico Radiant Heating Supply, New Mexico Boys and Girls Ranch, Presbyterian Medical Group, Rio Rancho Public Schools, Triumph Motorcycles, Mighty Auto Parts, William Scotsman, and multiple Real Estate investors, large and small.