Author: BEX Staff

Source: Marcum LLP  The Marcum Commercial Construction Index for the first quarter of 2020 reports an industry suffering the adverse effects of COVID-19.  Construction employment fell by nearly one million jobs from March to April 2020, a decrease of 12.8 percent. The industry’s unemployment rate increased from 6.9 percent in March to 16.6 percent in April, the highest level since early 2012.   The index is produced by Marcum’s National Construction group.   “Typically, construction is protected in the early months of a recession, as months of backlog acquired over prior periods allow contractors to continue working even as the broader economy slows down. That was not the case this time around,” wrote Anirban Basu, author…

Groundbreakings  1. Pinal County has broken ground on their new 52KSF, five-story Attorney’s Office Building. This new facility will consolidate all County Attorney’s and their staff under one roof that are currently located in multiple properties around the county. The project is expected to be complete around July 1st, 2021. DLR Group is the architect and FCI Constructors, Inc. is the general contractor.  2. JLL Capital Markets announced that it has arranged construction financing and joint venture equity for the development of Cabana on 99th, a 286-unit, garden-style multi-housing project at NWC of 99th and Missouri Avenues. The 172.5KSF is expected to be complete in 2021.  Progress Reports  3. Willmeng Construction, Inc. and developer Trammell Crow Company recently…

By Tasha Anderson for AZBEX  A new mixed-use development is being proposed approximately one mile from Westgate Entertainment District at the SEC of Glendale and 83rd Avenue.  Planning consultant, Jon M. Froke Urban Planning, LLC, on behalf of property owner, Rightstart Subsidiary, LLC, recently submitted preliminary plans to the City of Glendale and is requesting to rezone the approximately 8.23-acre vacant site from Neighborhood Shopping Center to Planned Area Development in order to allow general commercial and high-density residential uses. They are also requesting a General Plan Amendment from Planned Commercial to Corporate Commerce Center.  The intended mixed-use development, dubbed G83 Plaza, is proposed to complement the nearby Westgate Entertainment District and surrounding…

Budget News  Scottsdale CARES Act Allocation Estimated at $29M  More than $29M in CARES Act funds may soon be coming to Scottsdale. The municipality has a planned conversation on June 16th to discuss and provide direction for funding of city programs and key funding areas, and amounts of funding for those programs and key funding areas; contingent on the city receiving federal CARES Act funds from the state. (Source: Scottsdale Independent)  Gilbert Could OK Budget That Increases Spending  The Town of Gilbert’s budget-makers project $178.9M in revenue to its general fund, which is $244K less than the $179.1M in annual revenue expected when this…

By Mara Knaub for Yuma Sun  Yuma officials are not giving up the dream. The city is again applying for a federal grant to convert the historic Hotel Del Sol into a multimodal transportation hub.  City Council unanimously adopted a resolution supporting the application for a Better Utilizing Investments to Leverage Development Transportation Discretionary Grants program to complete the development of the transit center.  The city has long presented the project as an effort to provide the community with alternate methods to get to and from school, work and daily events as well as a way to create opportunities for economic revitalization in the region.   According to a staff report,…

By Erin Brassey for The Glendale Star  Peoria Unified School District will ask voters to approve a 13 percent budget override and $125M bond in November.  The 13 percent override will continue to provide important funding for the district, said Michelle Myers, PUSD’s CFO.  Voters approved the current 13 percent override in 2015. But an increase to 15 percent narrowly failed last fall.  PUSD voters first approved a 10 percent override in 1996 and renewed it in 2001, 2006 and 2012. In 2015, voters approved a 13 percent override. The authorization lasts for seven years and phases out over the last two years…

Awards & Accolades  1. Ranking Arizona published the Top Ten Best Places to Work in Commercial Real Estate in Arizona. They are:  Colliers International  CBRE  Ryan Companies US  Canyon State Electric  DAVIS  JLL  Cawley Architects  MSA Engineering Consultants  LGE Design Build  Agave Environmental Contracting  Boards & Commissions  2. The Arizona Association for Economic Development (AAED) has announced its new officers for 2020-2021.  Mignonne Hollis, AZED Pro, executive director of the Arizona Regional Economic Development Foundation in Sierra Vista, is AAED’s new president. Lori Collins, deputy economic development director for the City of Mesa is the organization’s president-elect. Wendy Bridges, AZED Pro, business development manager for the City of Avondale, is vice president. Skip Becker, AZED…

Sales Transactions  1. The Carlyle Group purchased four older Mesa mobile home parks for a total of $230M. Carlyle, through its Delaware CPI LLC, purchased these parks:  Citrus Gardens at 4065 E. University Drive for $80M.  El Mirage at 305 S. Val Vista Drive for $60M.  Mesa Shadows at 317 S. Higley Road for $46M.  Aspenwood at 245 S. 56th Street for $44M.  2. Cush Enterprises purchased the Perimeter Parkview Corporate Center, a two-story, 105KSF Class A office asset at 8377 E. Hartford Drive, Scottsdale, for $30M. Chris Toci, Chad Littell, Tim Whittemore, Greg Mayer, and Patrick Schrimscher of Cushman and Wakefield’s Phoenix office represented the seller, The Roxborough Group.  3. An international investor paid…

By Rebekah Morris for AZBEX  Two major indicators of construction market activity have come out for March/April 2020 and both are surprisingly positive. Total statewide construction activity is now available for March 2020, and it shows no signs of the COVID-19 economic slowdown, which took effect in the middle of the month. Additionally, statewide construction employment for April 2020 has been released (AZBEX May 22, 2020). While Arizona construction employment did lose 4,200 jobs for the month, statewide construction employment decreased year over year by only 500 jobs.   In the April 2020 BEX Leading Market Series discussion regarding the overall Economic Impacts of COVID-19, Dr. George Hammond, Director…

Policy & Stimulus News  Queen Creek Extends Permit, Planning Deadlines  The Town of Queen Creek has announced that all Building, Planning, and Engineering permits, plans, and approvals with expiration dates between 5/1-12/31, or that have approval dates prior to 12/31, have been automatically extended for an additional 1-year at no cost. Additional flexibility can be applied to active development applications and can be approved by the Development Services Director. In addition, all town buildings are now open to the public, but online service access continues 24/7. (Source: Rose Law Group Reporter)  Economic News  NREI Advice, Predictions on CRE  National Real Estate Investor has published a set of slides featuring advice and predictions from…