Estimated read time: 5-6 minutes
ST. GEORGE — St. George is no longer a hidden gem in the desert. As the city expands, so do its challenges, from water shortages to rising housing costs and growing traffic.
Once a sleepy desert town, it now is one of America's fastest-growing cities.
"The secret is out," said long-time St. George resident Amy Palmer.
The airport is expanding. There are new developments, including dozens of new restaurants, shops and new businesses like Amazon and a second Costco.
"A second Costco is huge for Washington County," said Chad Thomas, St. George City economic development director.
And the population is surging as well — from around 50,000 in 2000 to over 103,000 today.
"Every month, it's just new records," Thomas said
He said the growing city has become a hotspot for travelers, entrepreneurs and remote workers.
"As they say here in the city of St. George, people come for the beauty, but they stay for the community," Thomas said.
Palmer often asks people what brings them to her little hometown. She understands why people are staying, but there are downsides to that popularity.
"With growth comes a lot of pain points," Thomas said.
Housing prices have jumped over 64% since the COVID boom to an average of $573,000.
"It's crazy. It's big houses on top of each other," Palmer said.
Those who can afford to buy are often from out of state.
"Indiana was the No. 3 spot for most people coming to St. George," said local real estate agent and podcaster Robert Macfarlane.
He said people come with money to spend.
"About 40% of the home sales in Washington County are cash," Macfarlane said.
Younger home buyers are being priced out.
"I have two younger boys and my daughter. They're in a townhome. My other two, they're like — I don't know if we can afford to, based on wages and the prices of even a starter home," said Palmer.
Carol Hollowell runs Switchpoint, a nonprofit helping people on the edge of homelessness.
"I would definitely consider it a crisis," she said.
She said housing affordability isn't just impacting young families, it's pushing students, seniors, veterans and others to the brink.
"There's a lot of vacation homes that sit empty for most of the year, but it takes those houses off the market," Hollowell said. "So there's a massive shortage of rentals."
Residents like Somer James may have to wait two to three years for subsidized housing.
"It was hard to find housing here," James said.
A single mom of three, she became homeless after fleeing domestic violence.
She said having a home for her and her children would mean a lot.
"Oh, that would make me cry. That would be awesome," James said.
Hollowell said while affordable housing projects are in the pipeline, the need is outpacing the progress.
"I could build another 1,000 to 1,200 units right now in Washington County and still not meet the need," she said.
City leaders are racing to keep infrastructure ahead of growth, with new zoning, water conservation efforts and smarter planning.
The challenge is convincing developers to invest in affordable housing projects instead of resorts and bigger homes and limited land availability.
Utah Gov. Spencer Cox is urging cities like St. George to reduce regulations to allow for smaller housing zones and residential lots.
"We hosted a housing summit last year to really talk about that. The city is looking at any opportunities we can to help make our processes smoother," Thomas said.
As more people settle in the desert, it's putting a strain on another resource: water. St. George just experienced its driest winter in more than 100 years.
"We're getting nervous about it because we are going to be entering into the summer months where it's a lot hotter and drier," said Zachary Renstrom, the general manager for the Washington County Water Conservancy District.
He said the county is already using 90% of its reliable annual water supply. But the Water Conservancy District is working on solutions.
"Moving forward, we have a very robust plan to add several new reservoirs for that very issue," Renstrom said.
That new infrastructure comes at a cost exceeding $1 billion.
Renstrom said the community will also need to reuse and conserve the water they already have.
"The new homes that are being built today are significantly more water efficient than the ones previously, even 20 years ago," he said.
Water isn't just a lifeline for residents, it's the foundation for future economic growth.
"We just got recently ranked (the) No. 1 city to start a business in all of America, which is a great thing for us," Thomas said.
St. George has seen a 25% increase in jobs over the last five years. That's definitely the upside to all this growth.
Leaders said building a local tech economy may be key to creating jobs and affordable housing. That vision is taking shape at Tech Ridge — a 180-acre mixed-use technology park built on the site of the old airport.
Brad Buhanan is the director of community engagement at Tech Ridge.
"Someone could live up here and spend their whole time up here," Buhanan said. "Especially once we get our things like a corner grocery store, all of those aspects are things that I think people want."
Right now, the big draw is the Dragon Tail's staircase Tech Ridge just installed.
"There's 333 stairs. They're about 12 feet wide," Buhanan said.
It's a place to take in the gorgeous view and test your endurance and see just how much St. George has grown.
Palmer remembered simpler times.
"Back in the day, it was dirt roads everywhere out there. Now, there's a lot of sitting in traffic lights," she said.
As the community navigates the growing pains of Southern Utah's surge, Palmer and Thomas remain optimistic.
"We're trying to not only respect our heritage but build for our kids and our grandkids," Thomas said.
Palmer adds, "For the most part, growth is good and you can't stop it, you know."
