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In the 20th and 21st centuries, Tempe has expanded as a suburb of Phoenix, and as a center of education and commerce.
Tempe is an inner suburb, located between the core city of Phoenix and the rest of the East Valley.
On his way to dedicate the dam, former President Theodore Roosevelt applauded the accomplishments of the people of central Arizona and predicted that their towns would be prosperous cities in the future.
Less than a year later, Arizona was admitted as the 48th state, and the Salt River Valley continued to develop.
Males had a median income of ,406 versus ,605 for females. About 7.5% of families and 14.3% of the population were below the poverty line, including 13.6% of those under age 18 and 5.1% of those age 65 or over.
US military service members and Hispanic workers were hired to grow food and animal feed to supply the fort, and less than a year later, had set up small camps near the river that were the first permanent communities in the Valley after the fall of the Hohokam.
(Phoenix was settled shortly afterward, by 1867–68.) The two settlements were 'Hayden's Ferry', named after a ferry service operated by Charles T.
The Tempe Land and Improvement Company was formed to sell lots in the booming town.
Tempe became an economic hub for the surrounding agricultural area. The completion of Roosevelt Dam in 1911 guaranteed enough water to meet the growing needs of Valley farmers.Many businesses that have originated in Tempe continue to thrive within city limits and beyond; companies such as Ahimsa Essentials, Huss Brewing Co., Carolyn's Classics, and Doctor Hummus.