Author: Roland Murphy

NEWSFLASH: Construction costs keep going up. BREAKING NEWS: They’re going up more quickly and at higher rates in already hot markets like Phoenix. Add one more data point into the complex morass of economic data swirling around the good news/bad news currently making up Arizona construction and economic reporting. Rider Levett Bucknall has just issued its “North America Quarterly Construction Cost Report” for Q1 2022. Nationally, construction costs rose 8.04% over the course of 2021. Phoenix’s costs increased 8.57%, the fifth largest major-market increase in the country. This appears to be indicative of an overall trend for Phoenix and Arizona…

“Hot.” “Dense.” “Booming.” “Blazing.” “Robust.” “Diverse.” As a reporter, you’re trained to avoid adjectives in general and superlatives in particular. As an editor and columnist, you live for them. The Arizona Private Architecture/Engineering/Construction and Commercial Real Estate markets have certainly provided ample opportunity for superlatives bordering on hyperbole for the past several years. That frenetic pace, though, comes with its own set of challenges, particularly in terms of developing and maintaining perspective. A few years ago, back when I was just a reporter for AZBEX, I had to hunt for individual projects of sufficient note for front page write-ups. Now,…

As part of its ongoing efforts to expand and modernize its offerings and facilities serving one of the Valley’s fastest-developing areas, the Phoenix-Mesa Gateway Airport Authority has issued a Request for Qualifications seeking a consultant or team to create a campus plan for a new terminal on the airport’s east side. The full project description states: “Phoenix-Mesa Gateway Airport Authority is soliciting for a consultant/team to provide a campus plan to include building space programming, site layouts, costs estimates and financing options for a proposed new expandable commercial passenger terminal initially right-sized and located on the eastside of the Airport.…

The Town of Queen Creek’s on-again, off-again plan to sell 6.8 acres in its downtown core to a developer that will vitalize the area is back on again. The Town issued a Request for Proposals in 2019. Negotiations with developers continued through 2020, but the RFP was withdrawn in February 2021. The solicitation was reissued earlier this month. According to the Town’s project summary, “This property… is located in the redevelopment area, adjacent to the Library and Communiversity site. The location is desirable, strategic to the development of the Town Center, has access on Ellsworth Loop Road, and will provide…

Thompson Thrift Retail Group submitted plans last August for a 15-acre mixed-use development south of Dove Valley and east of Skunk Creek Wash in north Phoenix. The project features 226 multifamily units in a four-story development and 34KSF of commercial space divided into eight buildings. A public amenity area and pedestrian connections will integrate the site with Skunk Creek Wash, according to the pre-application narrative. As part of the development, Dove Valley Road will be improved to better accommodate traffic and allow for improved circulation. The narrative states, “The goal of this mixed-use development project is to integrate higher density…

True Craft Residential is the latest developer to step up into the ring with a new building proposal in Sedona. According to the Sedona Park project application submitted to the City’s Community Development Department, True Craft is requesting, “(A) zone change, minor community plan amendment, and development review for a mixed-use multi-family residential, commercial, and lodging development on approximately 40.8 acres located northwest of the intersection of SR-89A and Cultural Park Place.” The development components consist of: 647 residential units,A 195-room boutique hotel,A 15KSF “Culinary Collective,” andA 2KSF market. According to the project overview, the residential component will consist of…

Commercial real estate services firm Lee & Associates published its Q1 2022 North American Market Reports collection last week, and Phoenix performed well across all sectors tracked. Industrial Summarizing the Industrial sector, the report said: “Strong demand for industrial space throughout North America continued in the first quarter as vacancies fell to record lows and rent growth hit double digits. First quarter net absorption in the U.S. totaled 92.8MSF, which was up 25% year over year but down 35% from the 143MSF average of the last three quarters of 2021. Annualized rents rose 10.1% in the U.S. and the average…

Embrey Partners Ltd. is seeking a Planned Unit Development for a 9.5-acre parcel near the NWC of 12th Street and Greenway Parkway in Phoenix. The developer wants to construct a luxury apartment and townhome community – currently planned for 341 total units – with a maximum of 360 allowed under the requested standards. In the traditional multifamily portion, called The Flats, the planned unit count calls for 229 one-bedroom and 84 two-bedroom units. The Townhomes will consist of 14 2-bedroom and 14 three-bedroom layouts, for a total unit count of 341. Units will range in size from 528SF to 1,588SF,…

A new mixed-use residential project of multifamily and live/work could replace “a vacant and outdated service yard” on approximately six acres at the NWC of Priest Drive and 3rd Street in Tempe under a proposal from Creation RE/PE. The request submitted to the Tempe Development Review Commission asks for “a General Plan Land Use Map Amendment from Industrial to Mixed-Use and a General Plan Density Map Amendment from No Density to High Density Urban Core (more than 65 du/ac); a Zoning Map Amendment from GID to MU-4; a Planned Area Development Overlay (PAD) to establish development standards; and a Development…

Arizona’s seasonally adjusted unemployment rate decreased to 3.3% in March, down from 3.6% in February, according to the latest report published by the Arizona Office of Economic Opportunity. The national rate decreased to 3.6% from 3.8%. In March 2021, the state had a seasonally adjusted rate of 5.8%, and the national was 6.0%. The state had a net loss of 5,700 non-farm jobs over the month. “Historically (2012-2021), nonfarm employment has recorded a gain of 7,500 jobs in March.,” the report states. The private sector lost 4,500 in February, led by losses in Professional and Business Services, which dropped 2,700.…