Arizona will throttle new housing near Phoenix due to groundwater overuse and a multi-decade drought worsened by climate change.
Homebuilding around Phoenix just got trickier.
Groundwater has long been pumped by farmers and rural residents in Arizona with little oversight. Hobbs and other state officials recently vowed to take more steps to protect the state’s groundwater supplies. Because the rule largely affects cities and towns outside Phoenix and larger cities in the metro area, Sorenson said developers would likely “weigh whether they want to continue to buy relatively cheap land … and incur the cost of developing a whole new water supply versus purchase land that is probably more expensive without the boundaries of a designated city.”
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