What's Hot

    Tax Bill Would Make LIHTC Permanent

    July 2, 2025

    Mesa P&Z Recommends Data Center Zoning Restrictions

    July 2, 2025

    Retail Center & Senior Residential Development Planned in Casa Grande

    July 1, 2025
    Facebook Twitter Instagram
    AZBEX
    NEWS TICKER
    • [July 2, 2025] - Tax Bill Would Make LIHTC Permanent
    • [July 2, 2025] - Mesa P&Z Recommends Data Center Zoning Restrictions
    • [July 1, 2025] - Retail Center & Senior Residential Development Planned in Casa Grande
    • [July 1, 2025] - New 108-Room Hotel, Conference Center Planned in S. Phoenix
    • [July 1, 2025] - State Government Shutdown Averted as Hobbs Signs Budget
    • [July 1, 2025] - Industry Professionals 07-01-25
    • [July 1, 2025] - Commercial Real Estate 07-01-25
    • [June 27, 2025] - Arterial Life Cycle Program Covers 20 Years of Street Development
    Facebook Twitter YouTube LinkedIn
    • Home
    • News
      1. View Latest
      2. Planning & Development
      3. Local News
      4. Classifieds
      5. Editorial Analysis
      6. Budgets & Funding
      7. Commercial Real Estate
      8. People on the Move
      9. Arizona Projects
      10. Legislation & Regulations
      11. Trends

      Retail Center & Senior Residential Development Planned in Casa Grande

      July 1, 2025

      New 108-Room Hotel, Conference Center Planned in S. Phoenix

      July 1, 2025

      Phoenix-to-Tucson Rail Study Advances

      June 27, 2025

      Kimpton Hotel Palomar Phoenix to See $5.5M in Renovations

      June 27, 2025

      Mesa P&Z Recommends Data Center Zoning Restrictions

      July 2, 2025

      Arterial Life Cycle Program Covers 20 Years of Street Development

      June 27, 2025

      $56M+ MAG Program will Enable $90M in Arterial Street Widening Projects

      June 24, 2025

      Ariz. Construction Shed 1,700 Jobs in May

      June 24, 2025

      Glendale Voters to Determine VAI Resort’s Fate

      May 16, 2025

      Legislation Would Effectively Strip NIMBYs of Referendum Tool

      February 11, 2025

      2025 Forecast Tries to Clarify an Uncertain Market

      February 7, 2025

      KOREPlex Buckeye Site Quietly Listed For Sale

      January 31, 2025

      State Government Shutdown Averted as Hobbs Signs Budget

      July 1, 2025

      Arterial Life Cycle Program Covers 20 Years of Street Development

      June 27, 2025

      $56M+ MAG Program will Enable $90M in Arterial Street Widening Projects

      June 24, 2025

      MAG Committee Info Details Upcoming Pavement Plans

      June 20, 2025

      Commercial Real Estate 07-01-25

      July 1, 2025

      Commercial Real Estate 06-24-25

      June 24, 2025

      Commercial Real Estate 06-17-25

      June 17, 2025

      Commercial Real Estate 06-10-25

      June 10, 2025

      Industry Professionals 07-01-25

      July 1, 2025

      Industry Professionals 06-24-25

      June 24, 2025

      Industry Professionals 06-17-25

      June 17, 2025

      Industry Professionals 06-10-25

      June 10, 2025

      Arizona Projects 06-27-25

      June 27, 2025

      Arizona Projects 06-20-25

      June 20, 2025

      Arizona Projects 06-13-25

      June 13, 2025

      Arizona Projects 06-06-25

      June 6, 2025

      Tax Bill Would Make LIHTC Permanent

      July 2, 2025

      State Government Shutdown Averted as Hobbs Signs Budget

      July 1, 2025

      Hobbs, Legislators Reach Water Use Compromise

      June 24, 2025

      Phoenix Delays Data Center Rezone Vote

      June 20, 2025

      Ariz. Construction Shed 1,700 Jobs in May

      June 24, 2025

      NABH Council Partnership Wants to Expand Workforce Pipeline

      June 17, 2025

      Project Abandonments Hit a Record in May

      June 13, 2025

      U.S. Construction Added 4,000 Jobs in May

      June 10, 2025

      Tax Bill Would Make LIHTC Permanent

      July 2, 2025

      Mesa P&Z Recommends Data Center Zoning Restrictions

      July 2, 2025

      Retail Center & Senior Residential Development Planned in Casa Grande

      July 1, 2025

      New 108-Room Hotel, Conference Center Planned in S. Phoenix

      July 1, 2025
    • AZBEX
      • Subscribe
      • Classifieds
      • Advertising
    • DATABEX
      • Webinars
      • Monthly Snapshot
    • Events
      • 2025 Mid-Year Update
    • About Us
      • Meet the Company
      • Meet the Sales Team
      • Meet the Editorial Team
      • Meet the BEXperts
    AZBEX
    Home » Legislation & Regulations » Legal Fight Rages over $1.8B Tempe South Pier Development
    Legislation & Regulations

    Legal Fight Rages over $1.8B Tempe South Pier Development

    BEX StaffBy BEX StaffAugust 30, 2022No Comments4 Mins Read
    Credit: azcentral.com
    Share
    Facebook Twitter LinkedIn Pinterest Email

    A legal fight over affordability concerns at the South Pier at Tempe Town Lake development, the appropriate extent of citizen involvement in project approval, Tempe’s unique affordable housing funding program and the issue of affordable housing, itself, is continuing to roil City policy and development efforts.

    Following City Council’s approval in March, affordable housing advocacy group Central Arizonans for a Sustainable Economy launched a signature drive to put the South Pier project on a Tempe ballot. CASE’s primary complaints are that there are no designated affordable housing units as part of the project and an allegation that there was not enough community involvement in the process leading up Council’s unanimous approval.

    CASE collected thousands of signatures from Tempe residents in support of a referendum, but the City rejected the petition, alleging the project and its approval did not meet the criteria for a public referendum.

    Tempe’s argument was rejected by the Maricopa County Superior Court, but the judge also rejected the petition, saying the way it was organized did not meet state rules.

    Both the City and CASE are appealing the decisions.

    In addition to taking issue with CASE’s legal methods, Tempe officials argue the project and payments from South Pier Tempe Holdings – the project developer – contribute far more to addressing overall affordability in Tempe than would the designation of some percentage of the project’s units as affordable.

    Tempe implemented a program known as Hometown for All last year. The program takes contributions from developers to fund dedicated and permanent affordable housing efforts.

    A referendum on South Pier would likely end up as an indirect referendum on the program, as well, which Mayor Corey Woods has said is far more effective than negotiating with or requiring developers to dedicate a set percentage or number of units as affordable in their developments to qualify for development incentives, such as Government Property Lease Excise Tax programs.

    A GPLET is in place for South Pier that would save the development from paying property taxes for an eight-year term.

    Officials also say the associated costs with developing affordable housing at Town Lake make the notion unrealistic, as there are extra fees assessed to developers and the City would lose the economic benefits associated with attracting new businesses, since most affordable housing developers are non-profits.

    The goal of the Hometown for All program was to navigate away from all those associated issues. Funds developers donate go from the City to non-profit developer Tempe Coalition for Affordable Housing, which then uses the money to develop hundreds of permanent affordable housing units to revitalize blighted or vacant properties. In addition, Tempe contributes half of the project permitting fees it collects to the program.

    South Pier’s developer is donating $10M to Hometown for All, which will more than double the program’s funds. The company is also paying for other improvements and program funding, including a $12M pedestrian bridge, $5M to municipal transit, and $250K to local schools.

    In all, the approximately $27M in public donations will total roughly $2M more than the tax breaks the developer will receive under the incentive agreement.

    CASE, however, says the public benefits are insufficient and that the tax breaks associated with the project must include dedicated affordable housing units.

    Along with the absence of affordable units on site, CASE has alleged since as far back as March there was insufficient opportunity for public engagement. CASE representatives cited the fact the developer did not give a full presentation about the project during the initial public hearing in February.

    Alleged lack of engagement and input was a key factor behind the petition and referendum drive.

    Tempe, however, claims the approval and agreement are administrative issues, rather than legislative matters that would qualify for referendum consideration.

    The Court disagreed with that claim, but it also said the forms CASE submitted did not follow state requirements, even though CASE says the form template was provided to it by the City.

    With both the Court’s decisions currently under appeal, CASE will have the option to recreate its petition on the correct forms if Tempe’s claim is denied.

    If CASE wins in court, future development agreements could also become subject to referendum, which could threaten the Hometown for All program if donations began to routinely encounter delays from putting the matters before the public

    The City may also be concerned about the delay and resulting economic impacts of delaying the South Pier project, itself, which could hold back or even prevent millions in development.

    Court watchers expect rulings on both appeals in the next several months. (Source)

    affordable housing apartments/condos CASE Central Arizonans for a Sustainable Economy City of Tempe Corey Woods Government Property Lease Excise Tax GPLET Hometown for All hospitality Maricopa County Superior Court master plan Mixed-Use petition drive Private Public referendum restaurants retail South Pier at Tempe Town Lake South Pier Tempe Holdings Tempe City Council Tempe Coalition for Affordable Housing
    Share. Facebook Twitter Pinterest LinkedIn WhatsApp Reddit Tumblr Email

    Related Posts

    Tax Bill Would Make LIHTC Permanent

    July 2, 2025

    Retail Center & Senior Residential Development Planned in Casa Grande

    July 1, 2025

    New 108-Room Hotel, Conference Center Planned in S. Phoenix

    July 1, 2025

    Leave A Reply Cancel Reply

    You must be logged in to post a comment.

    Our Picks

    Tax Bill Would Make LIHTC Permanent

    July 2, 2025

    Mesa P&Z Recommends Data Center Zoning Restrictions

    July 2, 2025

    Retail Center & Senior Residential Development Planned in Casa Grande

    July 1, 2025

    New 108-Room Hotel, Conference Center Planned in S. Phoenix

    July 1, 2025
    Stay In Touch
    • Facebook
    • Twitter
    • LinkedIn
    • YouTube
    Don't Miss
    Federal

    Tax Bill Would Make LIHTC Permanent

    July 2, 20250

    By National Council of State Housing Agencies (On June 16), Senate Finance Committee Chairman Mike…

    Mesa P&Z Recommends Data Center Zoning Restrictions

    July 2, 2025

    Retail Center & Senior Residential Development Planned in Casa Grande

    July 1, 2025

    New 108-Room Hotel, Conference Center Planned in S. Phoenix

    July 1, 2025

    BEX serves architecture, engineering and construction firms as well as all the ancillary product and service categories that market to them. These include manufacturing representatives, public agencies and private real estate organizations, specialty subcontractors and services providers related to our industry.

    Our Picks

    Tax Bill Would Make LIHTC Permanent

    July 2, 2025

    Mesa P&Z Recommends Data Center Zoning Restrictions

    July 2, 2025

    Retail Center & Senior Residential Development Planned in Casa Grande

    July 1, 2025
    Contact Us

    Phone: 480-709-4190
    Address: P.O. Box 12196 Tempe, AZ 85284
    Email: sales@azbex.com

    Type above and press Enter to search. Press Esc to cancel.