In Gilbert, AZ, construction cost ranges for commercial and residential projects have been influenced by broader Phoenix‑area trends. In Q2 2025, Phoenix construction costs rose approximately 4.4% year‑over‑year, slightly down from earlier in 2024, reflecting moderated inflation in materials and labor. Developers are increasingly turning to modular and prefabricated systems to manage cost risk and improve predictability.
Locally, Gilbert has seen a surge in building permits—around a 15% year‑over‑year increase—driven by master‑planned communities and infill development. This permit activity signals sustained demand, which can exert upward pressure on cost ranges, especially in high‑growth zones.
Compensation costs in the Phoenix‑Mesa‑Scottsdale metro area, which includes Gilbert, rose about 3.4% year‑over‑year as of March 2025, with wages and salaries increasing roughly 3.2%. Skilled trade labor remains in demand, and while availability is improving in some sectors, trade labor shortages continue to delay project timelines.
Equipment hire rates in Gilbert generally follow regional patterns. Daily, weekly, and monthly rental rates for heavy equipment are influenced by demand, availability, and project duration. Contractors often negotiate tiered rates based on rental duration and fleet utilization.
Gilbert’s FY2026 budget allocates significant funding toward capital improvements—streets, water, parks, and public safety—underscoring the town’s commitment to infrastructure. This investment supports construction activity but also competes for labor and equipment resources.
Master‑planned communities like Agritopia and Waterston Central continue to shape the local construction landscape, emphasizing energy‑efficient design, sustainability, and mixed‑use development.
