“There is a greater need for massive distribution centers,” he says. “But that does not make up for the whole retail market.”

Office space is also influenced by the online world, he said, as there is less of a need for office space because many of the areas formerly held for files and file cabinets are now stored digitally. Also, many workers are now working from home.

And, while some of the other areas of the nation are doing well, it is because they are well-positioned in the sweet spot of prospering industries: Oil and gas; ports; and multi-family residential.

However, he said he does see an opportunity for Arizona to re-energize support for a land port of rail or trucks to handle the potential for cargo unloaded in a Pacific port such as Acapulco and transported through Arizona.

“Arizona and particularly the Phoenix area has the potential to come back strong again,” he said. “Not only do you have an attractive climate for retirees and cheap land, there is also a big enough population to attract industry.”

Corporate relocations that could spur new investment and construction are faced with impediments that would only improve when improvements are made to the “political climate,” he says. Such political changes — that would boost public education and make folks forget SB 1070, for example — would go along way to improving the state’s image.

He also says construction spending increases everywhere should be taken with a grain of salt since costs and productivity have increased substantially and that declining wages and demanding productivity increases rather than hiring new workers will eventually prove unsustainable.

“You can’t keep increasing the amount of hours individuals are working. Eventually, you have to add new people,” he said.