Author: BEX Staff

By Roland Murphy for AZBEX A recent article at RealPage raises concerns about the pace of cooling in the Phoenix multifamily market and assigns the reasoning to some outlier-level data reviews that have not often been talked about. Market reviewer Jay Parsons noted no other market is decelerating as quickly as Phoenix in terms of rent growth, then he checks of four “jarring” statistics: Phoenix occupancy rates have fallen every month in the five-month period ending in August and are now at 94.4%, the lowest rate since 2017;The lease renewal rate in July 2022 was just 47.2%, down from 56%…

Groundbreakings 1. eegee’s has broken ground on its second Mesa location. The new restaurant at Southern and Country Club is expected to open in the spring. 2. Work has begun at Sight Logistics Park in Tempe with the demolition of an existing office building on the Harl Avenue site. Completion is expected in Q3 2023. Progress Reports 3. The final leg of Maricopa’s median beautification project on SR347 has begun. One southbound leg will be closed north of Cobblestone Farms Drive until Oct. 21. The project runs from the Union Pacific overpass to Maricopa’s northern city limit.

By BEX Staff for AZBEX Nicola Wealth Real Estate and Hopewell Development have acquired two industrial development sites in metro Phoenix. The two sites total 32 acres and have capacity for six buildings totaling 486.2KSF. The first is a 17.79-acre property in north Mesa adjacent to Falcon Field Airport. The site is located south of the North Loop 202 freeway and “will deliver much-needed modern multi-tenant industrial product for small to mid-bay users,” according to a joint press release. When completed, Falcon202 Commerce Park will provide three buildings totaling 264.5KSF. CBRE’s Mike Parker handled the purchase and will be managing…

A plan to redevelop 28 acres at Phoenix Sky Harbor International Airport into facilities for air cargo took a step forward earlier this month. The Business and Development Subcommittee of the Phoenix Aviation Advisory Board recommended in favor of a staff recommendation to repurpose the 28-acre site. The matter will now move to the full Board. The total site in question is 40 acres. Staff recommended reserving the 28 acres on the west side of the parcel and leaving a determination for the remaining 12 acres for a later date. The project discussion came about because of a growing need…

After working for 18 months to acquire the property, Thompson Thrift Retail Group recently paid $9.3M for a 50-acre-plus site at the NEC of 99th Avenue and McDowell Road where it plans to build a $150M mixed-use multifamily and retail site. The 65KSF retail portion will be anchored by a Sprouts Farmers Market. No other tenants have been named, but Thompson Thrift representatives say the commercial buildings will range from 3.5KSF to 14.6KSF and are currently approximately 70% pre-leased. Groundbreaking is tentatively scheduled for next summer, and Sprouts representatives have said they expect to open the store by end of…

The Regional Transportation Authority in Pima County is facing a funding shortage that could leave projects approved by voters in 2006 without the means to complete them. Only Tucson-based projects remain to be funded, and Tucson must either provide $150M of its own money or set the amount in projects in the next 20-year plan. That plan – RTA Next – could go to the ballot in 2024. The current plan expires in June of 2026. In the original RTA plan, voters authorized $1.6B in projects under a half-cent sales tax. RTA Next will continue the program with another $2B…

Arizona is scheduled to receive $109.5M under the Infrastructure Investment and Jobs Act this year to improve water systems. While that’s far less than the $1.4B state officials say is needed, it is far more than some states will receive. The allocation consists of $50.9M to replace lead pipes, $13.6M to deal with PFAS contamination and $32.3M for other projects. The state will also receive $12M under a base grant from the Environmental Protection Agency. The Water Infrastructure Finance Authority of Arizona has received 34 applications from local governments totaling more than $1.4B in water projects in this fiscal year.…

By Roland Murphy for AZBEX Add one more large-scale industrial development to the nearly $2B and 19MSF in Buckeye’s planning and development pipeline. Merit Partners is requesting a site plan approval for Merit Buckeye Industrial Park – a 414KSF building and 136.5KSF outdoor storage yard near the SEC of Turner and Baseline roads. The site lies approximately one mile west of SR 85. As Carefree Partners VP Scott Phillips discussed at the BEX Companies Leading Market Series September Session: Commercial Real Estate Hot Spots, the area around I-10 and SR 85 is a key industrial development zone both in terms…

A new retail center may be going up in Gilbert’s Morrison Ranch community. Fred Meyer Stores, Inc. paid $4.6M in August of 2016 for a 21-acre property at the NEC of Power and Elliot roads. Fred Meyer is an affiliate of Kroger Company, the parent company of Fry’s Food Stores. Gilbert officials say Fry’s is planning a 120KSF store that will anchor the Morrison Ranch Commercial Center development. No other tenants have been announced. The Gilbert Planning Commission is expected to discuss the proposal in its Oct.5 meeting. (Source)

With an enrollment increase of 148% in the last 10 years, and student population increase of 33% expected in the next five, the Queen Creek Unified School District finds itself unable to build new facilities fast enough to accommodate demand. The District has built five new schools in the last five years and has two more in development. Stills it says nine of its 14 schools will be nearing or exceeding capacity in the 2023-2024 school year. QCUSD has requested nearly $40M from the School Facilities Oversight Board, which it will combine with local funds and $198M in bond funding,…