Author: BEX Staff

A potential makeover for downtown Glendale could include an extensive reworking of Glendale City Hall as leaders push to make the area into a revitalized entertainment destination. The modernization and revitalization proposal, known as Downtown Campus Reinvestment Project, would include renovations to City Hall, Council Chambers, Murphy Park, the Murphy Park amphitheater and a parking garage. Estimated costs for the project are: City Hall: $39.75M, Amphitheater: $10.5M, Parking Garage: $4.29M, Council Chambers: $4.1M, Murphy Park: $4.5M, and Continuity of Operations: $6.84M. Glendale would need to come up with approximately $49M more money than it allocated in the adopted Fiscal Years…

Research from Arizona State University’s Morrison Institute of Public Policy has examined the issue of Arizona affordable housing and possible solutions for the worsening problem. Most potential policy changes face heavy opposition in addition to the ongoing problems of Not-In-My-Backyard neighborhood resistance and ongoing political repercussions. An Arizona Department of Housing estimate says the state needs an additional 270,000 living units with rents and mortgage payments lower than the current prices. A new affordable tax credit is expected to help the situation. Over the next several years, the credit is expected to prompt $160M in new affordable housing development. Other…

Northmarq’s Q3 2021 Greater Tucson Multifamily Report shows rents remained on a “steep upward trajectory,” as vacancy dipped 30 basis points during the quarter to settle at 4.1%. Q3 rents surged 6.1% following 8.5% spike in Q2. Year-over-Year, rents are up 21.5% and ended the quarter at $1,053/month. Property sales also saw significant gains, increasing 20% over Q2. Prices are up year-to-date, reaching a Q3 average of $97,300/unit. The average CAP rate is 5%. So far in 2021, the development sector has delivered 1,325 new units to market. A nearly equal number, 1,346, is under construction. (Source)

Water managers for the State of Arizona and the Central Arizona Project last week signed a commitment with officials from Nevada, California and the U.S. Department of the Interior to cut 500,000 acre-feet/year in water drawn from Lake Mead over the next two years. The reduction will be funded through $200M in monies intended to pay users leaving water in the reservoir system. Half the funding comes via the newly passed federal infrastructure package. Tribal water users are a key factor in the reductions, and they have already agreed to contribute a minimum of 180,000 acre-feet toward the goal. In…

Giving Back 1. The Terracon Foundation announced the award of a $10K grant to the University of Arizona College of Engineering to help support Geotechnical and Civil Engineering student stipends. A $3,500 local community grant was also awarded to Tucson Clean and Beautiful, Inc. to help support the Youth Environmental Leadership & Action Mentoring Program. Awards & Accolades 2. Brycon has been recognized as one of the Best Places to Work by the Phoenix Business Journal in the ‘large’ category. Boards & Commissions 3. AZCREW has elected its officers and directors for 2022. The 2022 leadership consists of: Heather Fox…

Sales Transactions 1. CBRE Global Investors (CBRE Investment Management) has closed on a 50-acre, three-building industrial site known as Fairway 10 in Avondale for $126M. The buildings total 718KSF and were built this year at the SWC of I-10 and Avondale Boulevard. 2. Davlyn Investments recently closed escrow on the $114.38M purchase of Trevi, a 290-unit apartment community in Chandler near the Loop 101 and Loop 202 freeways. The seller was represented by JLL’s Charles Steele, John Cunningham and Mike Higgins. JLL’s Charles Halladay and Rick Salinas sourced the debt, which was provided by New York Life. 3. Decron Properties…

By Roland Murphy for AZBEX Another new luxury multifamily development may take the place of an under-utilized office development next to Kierland Golf Club under an initial submittal to the City of Phoenix. Icon Kierland, planned for the SWC of Kierland Boulevard and Marilyn Road, would deliver 370 units on 6.12 gross acres. Building heights would reach 70 feet with a gross density of 60.45 dwelling units/acre. In the submitted project narrative, prepared for developer RD Kierland (Related Group) by Snell & Wilmer, LLP, the site is described as being currently occupied by a two-story office development. By creating a…

By Roland Murphy for AZBEX We have recently spent a great deal of time and space in this magazine detailing the rise in opposition to dense, tall development around the Valley, particularly in Scottsdale (AZBEX Dec. 7, Dec. 3, Nov. 30). A recent article in Scottsdale Progress, however, shows one aspect of the fight we did not cover: The fact that Phoenix keeps approving high, dense projects right on Scottsdale’s border, particularly in the north Valley. Over the past several months, Phoenix City Council approved RD Kierland (also known as Manor Kierland) – a 360-unit development near Greenway Parkway and…

The Wickenburg Town Council recently approved an application for development review for an 86-room Cobblestone Hotel and Suites development. The hotel will be built along U.S. 60, with access off El Recreo Drive and Bass Road. Groundbreaking is planned for early 2022. Council approved a rezone and planned area development request for the $13M project earlier this year. (Source)

California-based industrial developer Contour is moving into the Valley in a big way with three major projects on the board totaling nearly 3.6MSF. The land for Buckeye 54 was acquired in a joint venture with Shopoff Realty Investments last month. The team paid $6.5M for 54 acres at the SEC of Rainbow Road and Southern Avenue where they plan to build an $80M, 900KSF warehouse development. Details are scarce on the second Buckeye project other than it is expected to total 1.2MSF when completed. On the other side of the Valley, Contour received zoning approval from Mesa City Council for…