Author: BEX Staff

Even with homebuilding in the Phoenix area projected to hit its highest levels in nearly a decade-and-a-half, and multifamily building hovering near records, the Valley’s nearly insatiable demand continues to send prices and rents soaring out of reach for many potential residents. Key to the rising cost equation are shortages in construction materials and skilled labor, which push out delivery times and raise prices. The Biden Administration has set a goal of spending $300B to increase the national affordable housing supply by more than two million units. Affordable housing is just one of a broad array of social spending goals…

Giving Back 1. The Arizona Coyotes, the Global Sport Institute at Arizona State University (ASU), and the J. Orin Edson Entrepreneurship + Innovation Institute at ASU, have announced new program partners for the upcoming Arizona Coyotes Venture Challenge, Mortenson and DLA Piper. The Arizona Coyotes Venture Challenge will provide a launchpad for aspiring entrepreneurs while keeping the Coyotes on the forefront of new sport-related innovation. The call for applications will open September 13th, 2021, and close on October 24th, 2021, it will culminate with a hybrid virtual/live pitch competition in early December 2021 at ASU Demo Day. Company News 2.…

Sales Transactions 1. A Delaware-based entity managed by Greenberg Traurig paid $125M for the former Chrysler Proving Grounds in Wittmann. The seller of the land was iStar. The most interesting aspect of the blockbuster deal for the 5,458 acres is that some reports say Apple is behind the entity, which means the site is likely to become the primary testing grounds for the Apple Car. 2. Decron Properties purchased Broadstone Grand, a 300-unit multifamily community at 1003 W. Washington Street, Phoenix, for $106.5M. The seller was undisclosed. 3. Bridge Investment Group purchased The District at Fiesta Park, a 321-unit multifamily…

By Tasha Anderson for AZBEX On September 16th, The Pinal County Planning and Zoning Commission will hear a request for a new photovoltaic solar power plant to be located southeast of the City of Eloy in unincorporated Pinal County. Boulevard Associates, LLC, an affiliate of NextEra Energy, is requesting an amendment to the Pinal County Comprehensive Plan, to redesignate approximately 1.3 acres from Medium Low Density Residential, Medium Density Residential, High Density Residential, General Commercial and General Public Facilities/Services to Green Energy Production and General Public Facilities/Services. The project, known as the Eloy Valley Solar Project, is proposed to include…

Mesa City Council has granted the necessary zoning changes, site plan and other requests necessary for the AirPark 202 industrial project to proceed. Plans call for a nearly 1.5MSF development on 100 acres at the SEC of Warner and Sossaman roads. The six building business park proposed by LaPour Partners and Scottsdale Investment Management will focus on warehouse and manufacturing uses. Ware Malcomb is the design firm. Engineering services are provided by TLCP Structural Inc. Mechanical, electrical and plumbing engineering is through Sazan Group. Studio DPA is the landscape architect. (Source)

Hines has finalized its purchase of 1.8 acres in Tempe for the development of 250 Rio, a proposed 216KSF, 14-story mixed-use office project. The luxury office space and a parking structure will be built between the Ash Avenue alignment and Rio Salado Parkway. Hines has said it intends the project to be a “signature development.” Hines self-represented in the transaction. Tom Adelson of Newmark Night Frank and Troy Barron of Weston Commercial Realty represented the seller. (Source)

By CBRE Phoenix saw the second-most data center leasing activity in North America in the first half of 2021, according to CBRE’s latest North American Data Center Trends Report. Phoenix had 20.0MW of net absorption in H1 2021, a 70 percent year-over-year increase. The market also saw the highest percent growth among primary markets, adding 28.7MW of new inventory in the opening half of 2021, up 12 percent from the second half of last year. This was largely due to three providers bringing capacity to market. Phoenix providers leased more space and power in Q2 than any other quarter in the previous…

Valley Partnership’s first in-person event since the start of the pandemic featured a discussion on the state and challenges of homebuilding in the Greater Phoenix market. KASA Development President Jim Belfiore noted demand is down 31 percent from its May high, but speculative inventory has dropped 78 percent year-over-year and prices have risen 29 percent. He predicted as many as 35,000 permits could be issued by the end of 2021. HilgartWilson Principal Ron Hilgart noted the lack of available labor is a primary drag on the rate of construction, leading to delays. Lennar SVP Jeff Gunnerson said a home that…

Awards & Accolades 1. ENR Southwest published its 2021 Best Projects Award winners. The Arizona projects that received an award are: SRP Project Administration Building (PAB) Betterment Projects, Tempe: Excellence in Safety, Award of Merit & Renovation/Restoration, Award of Merit Tres Rios Water Reclamation Facility Nutrient Recovery Project, Tucson: Excellence in Sustainability, Award of Merit PHX Sky Train Stage 2 MSF, Phoenix: Airport/Transit, Best Project Prescott Regional Airport Passenger Terminal: Airport/Transit, Award of Merit Sahuarita Regional Library: Cultural/Worship, Best Project Valleywise Health Medical Center Central Utility Plant and Site Upgrades, Phoenix: Energy/Industrial, Award of Merit Police Property and Evidence Room…

By Tasha Anderson for AZBEX  The single-family rental community trend is continuing to grow across Arizona with no plans on slowing down anytime soon.  These projects are meant to provide residents with a more single-family feel by being developed horizontally rather than vertically, with detached units, and providing benefits such as private backyards, while still including central amenities.  Thomas Brophy, research director for Colliers International, said in a recent Phoenix Business Journal article dated July 22nd, 2021, that, “There currently are more than 5,300 units now under construction around the region, adding to the 4,800 existing units in metro Phoenix. By the end of 2022, inventory…