It’s a great time to secure potentially lucrative investments in Northwest Arkansas because the region is undergoing fast-paced growth. However, since NWA is vast, with several big and small towns, which ones should you be looking into?
The best areas to invest in NWA are near major roads such as the I-49 bypass and Highways 412 and 612. These roads connect significant towns in the regions, so we can expect development along them. Moreover, towns like Farmington, Prairie Grove, and Pea Ridge show promising development.
I don’t have a crystal ball, so we can never be so sure. However, I’ll share the most up-and-coming areas to the best of my knowledge.
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Areas Near I-49 Bypass
The first one you should focus on if you want to invest in the area is the new I-49 bypass connected from Bentonville through Bella Vista up to Missouri. It’s a massive highway that cuts right through Bella Vista.
Whether you’re a developer or want to buy some residential land and hold onto it for a couple of years, you need to concentrate on this route. It will eventually be a high-growth, residential, and commercial space because any site connected to a major highway turns into prime real estate, as we know.
Initially, that area was just open land, so if you’re looking to invest there, know that many lands will be available for sale in the next couple of years, and you can hold on to it.
Areas Near Highway 612 and 412
Highway 612 and 412 are major highways connected in Northwest Arkansas, but U.S. 412 is the more established one. Between the 412 and Siloam Springs is a high-growth area that will become even more commercial soon.
The area will become more industrial versus residential because a lot of industry passes between Northwest Arkansas, Tulsa, Oklahoma City, and the whole corridor out in Oklahoma through the highway.
Most times, people will come down I-49 over to 412 and then cut through into Tulsa.
There’s a lot of connection between Oklahoma and Arkansas, a lot of handshakes, and millions of dollars spent back and forth because there’s a significant initiative to build out that area.
On top of that, Highway 612 used to be a dead-end highway built years ago, but now they are developing it to connect into XNA, Northwest Arkansas’s primary airport, and then drop down into 412.
Hence, it will be a bypass, so people don’t have to make an L-turn but do the whole “A equals bx2” thing. They will move right through on 612 over to 412, cutting out Springdale in the area, so know that anything around that section will be high-growth.
It will lean more toward commercial & industrial because people hardly want to build new subdivisions near highways. Overall, just know it will be high growth and good for investing.
Areas Near 112 Highway
The last road we need to discuss in this section is 112. It runs north and south, beside I-49, usually falling on 49’s west side. It goes from Bentonville down to Fayetteville.
They are looking to expand that area and make it easier to transport because not everyone wants to get on 49 to move back up and over.
Highway 112 cuts through certain areas jumping from Fayetteville to 412, from 412 to 612, and from 612 to Bentonville. It’s a lot, but they’re looking to expand it, so know that there will likely be many more residential sections there.
Areas near 112 will be low commercial as it will be easy access for people moving in and out.
Many homes have been built around Cave Springs, with 612 cutting through there. Therefore, people have built out some of the lands, but much discussion and funds are in place for the state to start developing 112 to make it a usable area versus what it is currently.
Farmington
Farmington has seen massive growth in the last couple of years, and it’s still one with a significant span of potential. There are still many lands needing development, both commercially and residentially. It will be a great place to invest in a few years because of the connection to Fayetteville.
Additionally, Farmington has an excellent school system, and it’s so close to Fayetteville that you sometimes won’t even know when you’re passing from Fayetteville to Farmington. It’s a much more affordable area to live next to Fayetteville versus Fayetteville proper.
Also, the connection point is super close to I-49. It takes around five to seven minutes from Farmington to 49, which will also drive the growth significantly.
There’s a major highway that runs through Farmington called MLK Main Street. It’s a five-lane route that directly connects Farmington to 49, and they are building a massive new addition to it near Fayetteville.
Hence, there’ll be loops and easy connections to ensure the junction point onto 49 happens for everyone’s easy access.
Also, Farmington’s close proximity to Fayetteville can also signal better housing projects in the area. To understand what I’m talking about, check out my article highlighting Horton’s new acquisition in Fayetteville and what it means for the housing market in NWA. In short, it’s good news!
Prairie Grove
Prairie Grove is definitely on that high-growth pattern and is feeding off Fayetteville and Farmington. Moreover, it has MLK running through it because of its proximity to Farmington.
Although Prairie Grove has experienced considerable growth, it has seen less development than Farmington. Part of the reason is its longer distance to 49 and Fayetteville.
Hence, sometimes, when people have jobs at Tyson, JB Hunt, Walmart, or some startups, they don’t want to live in Prairie Grove because it is farther. Regardless, many businesses exist in Fayetteville, Springdale, and Rogers, and the distance to those areas is more favorable.
Therefore, with all the improvements, Prairie Grove is undoubtedly looking to grow exponentially in the next couple of years.
Around XNA: Cave Springs
Cave Springs also has a high growth pattern. The asterisk is that Cave Springs is connected to XNA, so there’s been a lot of development in that whole junction in the last couple of years. There are many new roads, and talks about even more passing through, like the 112.
Hence, many lands have been bought up and developed to some extent, but many outreaching areas could still see improvement.
Cave Springs is not at the top of my list, but there’s so much talk about Cave Springs with several expensive homes.
It will gear more toward commercial growth because of the influx of airplanes and people coming through, so always remember that there’s a lot of development happening in Cave Springs around the 612 and XNA area.
Pea Ridge
The next on this list is one of my personal favorites. I love Pea Ridge and think it will be a high-growth area, as it’s already seeing that because Walmart has placed its drone delivery service there, one of the core locations.
Beyond that, it’s right next to Bentonville. One easy road connects them, and it takes about 10 to 12 minutes to drive between, depending on where you end up.
However, the proximity favors Pea Ridge as it will feed off Bentonville.
Also, it is close to Bella Vista, so you get the best of both worlds between Bella Vista trail systems, Bentonville trail systems, and Bentonville downtown.
There’s a lot of development happening now, but there’ll be more to come in the future, so if you’re looking to invest, remember Pea Ridge.
Siloam Springs
Siloam Springs is definitely on the upswing because 412 has attracted much attention. Of course, John Brown University has been there for a while, but 412 has brought so much business to the town.
There’s a lot of development there now. Home prices are low, but I’m confident they will rise in the next few years.
Hopefully, they’ll fix the roundabout that goes around Siloam Springs in the future, even though I’ve yet to hear of any plans. I’m sure they’ll be working on it.
Once 412 is completed to cut through Siloam Springs and then go around it as a highway versus how it is now, it’ll eventually lead to the Oklahoma Turnpike, a major road, and the city will grow exponentially.
One of the caveats of Siloam Springs is its distance to Northwest Arkansas, even though it’s part of it. If you work in Springdale, it’s not a problem, but if you want to enjoy some things like Bentonville, it will be challenging until they fix a major route between both towns.
I’m sure they will do that in the 5 to 10-year plan, but Siloam Springs lacks that connection to Bentonville and Fayetteville. Fayetteville’s easier to get to than Bentonville, but know it’s a little hike than you would expect in Northwest Arkansas.
Gravette
Let’s round off this article with “Phillip’s big bets.” They are my best guesses for growth in the next five years, and the first one we’re talking about is Gravette.
Gravette is right off the new section of I-49; hence it is easily accessible to land, Bentonville, and Bella Vista. If it retains that proximity to 49, it will grow exponentially in the next couple of years.
I’m sure its lands will be developed and sold out, with new subdivisions and commercial space. Hence, Gravette will do very well.
West Fork
My second big bet, West Fork, is also connected to I-49. It sits about 7 to 10 minutes south of Fayetteville, making it easy to access.
I think there will be more development in West Fork, with more land being bought in the next couple of years. However, the problem with West Fork is that you start getting mountainous in southern Fayetteville, so finding flat, developable land around West Fork’s outskirts is difficult.
I wonder if West Fork will have its growth like Gravette will because the latter is flatter, more usable, and more developable, whereas West Fork is more tree-occupied and mountainous.
However, I bet West Fork will grow because it’s more affordable and smaller-sized. Besides, people from Fayetteville might want to go south into the mountains.
Conclusion
If you’re interested in investing in NWA, the following areas have picked up the pace better than most others:
- Farmington
- Pea Ridge
- Prairie Grove
- I-49 bypass
- Cave Springs
This Northwest Arkansas map can be handy if you’re not a local, as I’ve discussed where the locations are in great detail.
Also, if you want to keep up with all the latest NWA news, check out my article highlighting 5 new things coming to the area.