Since 2020, Taiwan Semiconductor Manufacturing Co. has generated significant buzz—along with development—in the Northwest Valley. Although the company’s $165 billion investment is the headline-grabbing number, the story goes far beyond TSMC itself, extending into the company’s supply chain vendors, the people, and the cultural aspects of international commerce in the Greater Phoenix area.
The Real State recently sat down with Jill Yen JD, MRED, and R.O.I. Vice President – Commercial Division, who represents numerous Asian clients throughout the Valley, with a particular focus on North Phoenix.
Real State: Can you tell us a bit about your observations of how TSMC has transformed the North Valley?
Jill Yen: The growth that North Phoenix is experiencing is just astronomical. TSMC originally announced that they were going to build three or four semiconductor fabs, and then it became six, and now probably over 10—and that’s in addition to two packaging and testing facilities and one research and development facility that was announced earlier this year when TSMC purchased an additional 900 acres just south of the 303.
RS: How has that impacted TSMC’s suppliers?
JY: We’re not just seeing companies come and take up space that’s already there. They are fueling the next two or three decades of growth. Companies that might have been sitting on the fence a few years ago can now see that everything has reached critical mass, which shifted them from short-term planning to mid-to-long-term planning. Now, instead of leasing for three to five years, it makes sense to buy land and build their own warehouse that can be used for a decade or more.
RS: What are the main challenges you’re seeing, and what are the opportunities that go along with addressing them?
JY: There are quite a few, but the first is housing. North Park, just south of the 303, should help fill in the critical housing shortage with a mix of single- and multi-family housing units. Along with that, the other is shopping. Phoenix’s primary Asian retail infrastructure is all in the East Valley, more than an hour away, during peak traffic times. So, what I’m seeing is that the next wave of investment and development is going to be focused on providing those amenities within convenient distance.
RS: What are some of the other initiatives that are bringing visibility to potential Taiwanese companies and investors?
JY: The Greater Phoenix Economic Council has been a huge influence in the TSMC project, along with fostering economic ties with Taiwan and other Asian countries in general. R.O.I. recently joined as an investor in GPEC to increase our connections in that space. The other game-changer has been direct flights between Phoenix and Taiwan on Starlux and China Airlines. People are more aware of Phoenix as a destination, and it makes it easier for them to come see in person what it’s all about.