Back in February, BEX Research staff reached out to the City of Peoria to check on any updates with the Peoria Place master plan. Chief Business Attraction Officer David Valenzuela responded, saying Peoria Place was going through a purchase agreement, that it should be complete in April and that they could release more information then.
Earlier this week, we received that information, and it is, in the words of DATABEX Manager Lya Parrish, “a doozy.”
In response to a public records request, Peoria supplied us with 20 pages of documents related to a March 9th pre-application meeting the City had with global multifamily developer Greystar. Greystar intends to redo the entire scope of work for Peoria Place and invest “approximately one-half of a billion dollars to the Old Town area of Peoria.”
According to its website, Greystar is ranked as the largest developer by the National Multifamily Housing Council. Of its development and construction efforts, the company says, “Supported by Greystar’s business model and our unique ability to own, operate, and develop properties around the world, our team has an unmatched view of the industry.” Greystar boasts 65 offices in 16 countries around the world.
Original Plan Languished for Years
The original plan to redevelop Peoria Place dates back to at least 2017. The City’s vision, according to a March 2017 investment package, was to establish the area as a “Medically Centered Development,” and appropriate Planned Area Development zoning was put in place.
At the time, medically centered developments were viewed as something of a panacea for infill and redevelopment. Developers spent years trying to no avail to bring a medical redevelopment vision to life on the site of the Metrocenter Mall in Phoenix, for example. A similar proposal was once in place for Fiesta Mall in Mesa, but no progress has been made in years and new plans are under discussion.
Broken out into seven segments, the original Peoria Place plan consisted of:
- +/-15 acres of a Town Center/Mixed-use Commercial area;
- A +/-25-acre Medical Center;
- 2 areas of High-Density Residential consisting of eight acres (+/-285 units), and nine acres (+/-300 units);
- A +/- 27-acre Business Center, with 115.9KSF of multi-tenant business/office, 131KSF of multi-tenant light industrial, and 117KSF of single-tenant light industrial;
- 99 small-lot single-family homes on seven acres, and
- 11 acres of Continuum Care for independent living, assisted living and memory care.
The only project to actually arise from the plan was the 127.5KSF Valleywise Comprehensive Health Center – Peoria on 20 acres at the SEC of Cotton Crossing and Peoria Avenue. A PAD amendment to expand development potential was approved by Peoria City Council in June of 2020, but that was the last major action taken in regard to the site.
Massive Greystar Investment is Whole New Vision
The Greystar pre-application submittal shows a fully revised scope of work across the entire site. Broken down to its core elements, the company intends a mixed-use development featuring traditional luxury apartments, Build-to-Rent, residential over retail, and light industrial across the parcels.
The currently planned parcel breakdown is:
- Parcel 1: 4.62 acres, 160-unit multifamily development;
- Parcel 3: 24.47 acres, 384-unit multifamily development;
- Parcels 4 & 5: 27.27 acres, 243-unit Build-to-Rent development;
- Parcel 6: 28.56 acres, three light industrial buildings, ranging from 80KSF to 170KSF;
- Parcel 7: 17.54 acres, 384-unit multifamily development.
According to the conceptual site plan, the total acreage is slightly more than 105 acres, and 20 acres are dedicated to open space.
Given the extent of the new proposal, several changes to the existing entitlements will be required. Parcels 1 and 6 are planned for development under the current zoning. The business park portion of Parcel 6 is targeted to be the first phase of development and will be submitted for site plan review. Greystar will ask for a modification in the required parking ratio to accommodate light industrial uses.
The company will seek a minor PAD amendment for various parking requirement changes for Parcels 3, 4 and 5. The amendment will also shift the boundary between Parcels 3 and 4 to increase Parcel 3’s size from 13 acres up to 25 acres for traditional apartments and combine and reduce the overall size of Parcels 4 and 5 from 31 acres down to 27 for attached duplex and single-family Build-to-rent units.
Lastly, a major PAD amendment will be needed to change the planned use for Parcel 7 from Commercial Center to High Density Residential for traditional multifamily development of up to 25 units/acre.
Moving the proposal forward will require multiple administrative and City Council actions. The administrative components include:
- A site plan review for each parcel,
- Possible preliminary plat submittals and reviews,
- Building permits and civil improvement plans.
Council will be tasked with the rezoning and PAD amendments as well as the final plat review and approval.
As part of the process, a traffic impact analysis will be required, as will at least one neighborhood meeting.
No timelines for additional submittals, meeting requests or specific actions on the part of Greystar or the City have been announced.
Could The New Plan Jumpstart Old Town?
In its previous iteration, the languishing original vision for Peoria Place joined at least two other revitalization and redevelopment projects in the Old Town area that failed to launch.
After the City battled for years to finally demolish a vacant Smitty’s store at Grand Avenue near 85th Avenue, a mixed-use apartment and commercial plan was proposed. The developer changed the plan to multifamily-only when no commercial prospects could be lined up. Citing its desire for a true mixed-use, the City rejected the plan, and no new progress has been made on the Grand Commons redevelopment.
The City had also entered into a partnership with Vintage Partners to create a revitalized and rejuvenated walkable district in the Old Town area of 84th Avenue and Washington Street. Vintage Partners withdrew from the partnership last year, citing a variety of concerns and delays. Peoria issued an RFP to find a new development partner, but that request will remain open until November of this year.
Peoria, to its credit, has never let setbacks dissuade it from pursuing its desire for a revitalized Old Town. It issued an RFP last year to revitalize and renovate the Old Town Streetscape along 83rd Avenue from Monroe Street to Grand Avenue into a modern, walkable and accessible area that would support the improvements to come. After evaluating the submittals, Peoria chose Wood Environmental & Infrastructure Solutions, Inc. to complete a design concept report for the $6M project. The last update on the project, received December 1st, said the study, which has a one-year estimated timeline, had started. After it is completed and reviewed, the next steps will be the design and construction of the various recommended and prioritized improvements.
As we have seen several times in various parts of the Valley, sometimes, when economic development officials and other boosters refuse to give up on reinvigorating a seemingly moribund area, one grand project breaking loose and coming to life can trigger a Lazarus Phenomenon for the entire area.
It is entirely too soon to speculate what effect Greystar’s announcement and intent will have, or even if it will come to any fruition at all. Even if it does not, even if the worst outcome happens and no result is achieved, the mere expression of genuine and focused interest from a developer with more than $21B in equity under management shows there is more than just basic potential for a revitalized future in Old Town Peoria, and there is no telling what developmental ripple effects may follow.
