Author: BEX Staff

Sales Transactions 1. Sunroad Enterprises purchased Parcland Crossing, a 383-unit multifamily community at 800 W. Willis Road, Chandler, for $125M. CBRE’s Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch of Phoenix Multifamily Institutional Properties represented the seller, PrivatePortfolio Group. 2. A partnership between Highgate and Rockpoint Group purchased the Scottsdale Plaza Resort at 7200 N. Scottsdale Road, Scottsdale, for $90.75M, from Scottsdale Plaza Resort LLC. 3. Tides Equities purchased Palm Valley, a 264-unit multifamily community in Goodyear, for $71.8M. CBRE’s Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch of Phoenix Multifamily Institutional Properties represented the seller, Avanti Residential.…

By Tasha Anderson for AZBEX  More luxury residential units are being planned for the Kierland area in Phoenix.  Developer, Mill Creek Residential, is looking to build Modera Kierland, a seven-story luxury multifamily and retail development located at the SWC of Paradise Lane and Scottsdale Road. A Planned Unit Development application was recently submitted for the project on June 25th.  Modera Kierland is proposed to comprise up to 435 dwelling units with two distinct living arrangements, including traditional urban apartment units and larger homes for families, people who work from home and older down-sizers. The project also proposes to have a restaurant and retail space at…

By Anchor Health Properties   In collaboration with Intuitive Health and HonorHealth, Anchor Health Properties has recently commenced a local, long-term development and expansion initiative.   Through the addition of strategically located facilities in and around Phoenix, Anchor, Intuitive, and HonorHealth are focused on improving the health and well-being of the community by providing convenient and easily accessible care in customer service-led environments that are patient- and family-centered.   As a strategic real estate partner for Intuitive’s growing pipeline of build-to-suit hybrid provider-based combined emergency department/urgent care facilities across the United States, Anchor led key leadership from Intuitive and HonorHealth through a site selection and community engagement process resulting in identification and control of centrally positioned retail locations with…

By Kidder Mathews and AZBEX Staff  The Phoenix Industrial market continued to set records in the Second Quarter, with the Kidder Mathews Phoenix Industrial CRE Market Update reporting record highs in net absorption, rental rates and construction activity, and record lows in vacancy rates.  There is currently 23.5MSF of construction underway in the area, fueled largely by the pandemic-related surge in e-commerce, and net absorption hit a high of 5.9MSF.  Triple-net rental rates surged to a new high of $0.66/SF, placing Phoenix among the top 15 markets for rent growth, but allowing it to maintain favorable affordability compared with California.  In the near-term, Industrial in…

By Kidder Mathews and AZBEX Staff  Kidder Mathews, in its recent Phoenix Office CRE Market Update for Q2 2021, reported the Phoenix office market continues to see record office sublease availability.  Rental rates also reached a record high in the Second Quarter, hitting $28.08/SF on a full-service basis. Year-over-Year sales transactions hit 2.6MSF, more than doubling over the period.  The report notes lease volume also improved YoY and over the quarter, even though demands remained weak when compared to pre-pandemic levels.   Even though the construction pace has slowed, the pipeline has still delivered record volumes YoY. Even though the supply delivered this year…

Awards & Accolades  1. DWL Architects + Planners, Inc. (DWL) received the AIA Twenty-Five Year Award for the Burton Barr Central Library designed in collaboration with William Bruder Architects. Opened in 1994, the 280KSF five-story building is partially situated over a major interstate highway tunnel and to this day features the largest reading room in Arizona, 43KSF. At the project’s inception in 1989, the joint venture design team was faced with the challenge of creating a symbolic yet functional cornerstone for downtown Phoenix’s Margaret T. Hance Deck Park and a gateway to the City’s newly designated Downtown Arts District redevelopment. The library simultaneously changed the City’s skyline and created a featured destination in the downtown Phoenix landscape.  Groundbreakings …

By Tasha Anderson for AZBEX  Scottsdale-based developer, The Wolff Company, is proposing to build a high quality, garden-style multifamily community at the NWC of 34th Way and Bell Road in Phoenix.  The approximately 12.78-acre site, which is zoned Planned Shopping Center (PSC), currently houses the Harkins North Valley 16 movie theater, which has served the North Phoenix community for nearly twenty years since its construction in 2001.   The Wolff Company recently submitted a request to the City of Phoenix to rezone the property to R-3A and is looking to redevelop the site into the 278-unit, two- and three-story development, known as Wolff 34th & Bell.  The project will contain several three-story buildings…

A $200M plan to fund water project in regions lacking proper supplies appears likely to pass the Arizona Legislature.  The funding is intended to aid water supply and conservation projects and help meet long-term water needs.   Proposed as part of the Fiscal Year 2022 budget, the Senate approved the measure on June 22nd. It has not yet been taken up in the House.   The legislation would create a Drought Mitigation Board and establish a $200M Drought Mitigation Revolving Fund.  Democrats opposed the measure, calling it insufficient and expressing concerns it could hasten groundwater depletion. It was also opposed by the Sierra Club Grand Canyon Chapter. (Source) 

Every state and the District of Columbia saw increases in their real gross domestic product in Q1 2021 versus Q4 2020. Data from the U.S. Bureau of Economic Analysis, shows a range of 10.9 in Nevada to 2.9 percent for DC.  Nationwide GDP growth on a seasonally adjusted annual rate grew 4.3 percent in Q4, compared to 6.4 percent in Q1.  Leading contributors included durable goods manufacturing, and professional and other services.   The Southwest region experienced a real GP increase of 4.8 percent.   Nationally, 15 of the 22 industry groups monitored were shown to have contributed to the increases. (Source) 

By Associated Builders and Contractors  National nonresidential construction spending declined 0.7 percent in May, according to an Associated Builders and Contractors analysis of data published by the U.S. Census Bureau. On a seasonally adjusted annualized basis, nonresidential spending totaled $784.5B for the month.  Spending fell on a monthly basis in 11 of the 16 nonresidential subcategories and is down in every category except sewage and waste disposal year over year. Private nonresidential spending fell 1.1 percent in May, while public nonresidential construction spending declined 0.3 percent. Nonresidential construction spending is down 7.1 percent on a year-over-year basis.  “There is a significant gap between elevated levels of contractor confidence and still poor nonresidential construction industry outcomes,” said ABC Chief Economist Anirban Basu. “Recent months…