More Storage and RV Parking Coming to Tempe

By Adrienne St. Clair for Arizona Builder’s Exchange

Hines is continuing its expansion into the high-end storage market with a planned 700 unit “mini-warehouse” and self-storage project — complete with RV parking — in Tempe.

Traditionally known for office space development, the firm submitted a request for a use permit to the city back in June to build the project on an irregularly shaped, four-acre vacant parcel at the intersection of Priest Drive and Commerce Drive.

Self-storage expert Denise Nunez, senior VP at NAI Horizon, said Hines came to the self-storage business late in the game in Arizona.

“There’s a lot of building going on,” she said.

Nunez said that as of right now, there are 74 proposed facilities and 18 under construction across metro Phoenix, and “that number seems to keep going up.”

She said the self-storage market is becoming oversaturated and profitability is running thin. But Nunez also noted a lot of factors play into how well a facility will do in a given area. “Hines is a very sophisticated business,” she said. “I’m sure they’re doing their due diligence.”

Hines’ new 83KSF building will be single-story and no taller than 18’. It will consist of integral colored masonry, metal paneling and siding, and windows. The RV parking will be located on the northern part of the site. The spaces will be covered, shaded by canopy structures. In addition to 27 RV parking spaces, the property will include 17 standard parking spaces.

Hines’ use permit request to build in the Planned Commercial Center Neighborhood zoning district of Tempe was approved by the Development Review Commission, though the developer must adhere to a few conditions. First, if there are any modifications or additions, the proposal must be reviewed again by the city. Any complaints from the public may require an additional public hearing, as determined by city staff. Finally, intensification or expansion of the project will require a new permit altogether.

The approval will become void if development hasn’t begun or an application for a building permit has not been submitted within 12 months — or other stipulated time — of original approval from the city.

According to city documents, the developer guarantees the new Hines mini-warehouse and storage facility will not be a major disruption to other businesses in the area.

The firm has other plans to start construction on a 96.5KSF storage facility in Litchfield Park this October.