Arizona·Data as of Q4 2025

Phoenix, AZ CAM Reconciliation Guide

Vacancy rates, property tax system, operating expense benchmarks, and market-specific CAM billing considerations for Phoenix, AZ commercial landlords.

Current Vacancy Rates

21.6%
Office Vacancy
5.5%
Retail Vacancy
9.2%
Industrial Vacancy

Source: CBRE/JLL Q4 2025 Market Reports

Average CAM per Square Foot

$9.75
Office /SF/yr
$7.00
Retail /SF/yr
$3.50
Industrial /SF/yr

Property Tax System

Assessment Authority

Maricopa County Assessor

Protest Procedure

File petition with County Assessor by September (informal) or State Board of Equalization by April. GPLET (government property lease excise tax) available for qualifying projects.

Effective Tax Rate

~0.8-1.2% effective rate (limited property value = 10% of FMV for commercial)

Key Submarkets

Tempe/ASU Research ParkScottsdale AirparkChandler/Gilbert Tech CorridorDowntown PhoenixDeer Valley/North I-17Mesa Gateway

CAM Billing Considerations

  • GPLET (government lease-excise tax) creates alternative tax structures for qualifying developments
  • Massive industrial pipeline — semiconductor and EV manufacturing
  • Extreme cooling costs are dominant CAM line item (summer peaks)
  • Water costs increasingly material as CAM pass-through
  • Arizona's dual valuation system (full cash value vs. limited property value)
Local BOMA Chapter

BOMA Phoenix

Market Context

Phoenix's extreme summer heat makes HVAC/cooling the dominant CAM expense. The GPLET program creates an alternative tax structure that complicates standard CAM reconciliation for qualifying properties.

Reconcile Phoenix, AZ Properties

CapVeri accounts for market-specific vacancy, local tax timing, and property-type-specific expense pools in your reconciliation.

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