Piet Boon has a new look for north Scottsdale homes.
The Dutch designer and K. Hovnanian Homes are unveiling a line of contemporary semi-custom homes this weekend at Pinnacle Peak Place, a mile from of the city's iconic peak.
A four-bedroom model home opens Saturday in this gated community northeast of Pima and Happy Valley roads. Prices range from $700,000 to $820,000.
The interior of the 3,874-square-foot model home stands out with its stark white walls, modern lines and an abundance of disappearing glass walls and outdoor living space. That includes a reflecting pond in a breezeway, infinity-edge pool and a shower and soaking tub outside the master bathroom.
"The desert view is so incredible," Boon said in explaining the openness of his Arizona designs.
"It's so different with the boulders and cactus."
Boon is an interior and furniture designer based in Amsterdam, the Netherlands, with an international list of clients.
Boon joined with K. Hovnanian Homes, based in Red Bank, N.J., a year ago to create the builder's Line K of contemporary homes with its rollout in Scottsdale.
The result is a design that runs counter to the sameness of the Tuscan, Mediterranean and Spanish architecture so common in the gated communities across Scottsdale.
"We think there are people who are tired of Tuscan, tired of the traditional styles here," said Jack McSweeney, K. Hovnanian Homes Phoenix Group director of architecture.
It is a design that will appeal to younger buyers who are used to a more modern aesthetic as well as to Baby Boomers, he said.
The stonework and the exterior color schemes at Pinnacle Peak Place are similar to the surrounding homes but the sleeker lines and optional metal roof are less common for the area.
Pinnacle Peak Place was first developed in 2006 by the Pivotal Group Inc. and Geoffrey H. Edmunds & Associates Inc.
It was to include 80 homes on 124 acres.
In those boom times, the homesites were priced from $395,000 to $975,000, and homes of 4,000 to 6,000 square feet were offered at $1.5 million to $3 million.
Twenty-one homes were built, including a $3.3 million property in October 2007, but much of the community remains undeveloped.
K. Hovnanian Homes has 26 lots that it acquired earlier this year, McSweeney said.
It is offering three models with variations in floor plans.
All of them include four bedrooms, three-car garages and 31/2 or 41/2 bathrooms.
Prices start at $700,000 for a home of 3,305 square feet up to $820,000 for 3,874 square feet. Each lot is close to an acre in size.
Send real-estate news to peter.corbett@arizonarepublic.com. Follow him on Twitter @petercorbett1.
Line K debuts
What: K. Hovnanian Homes at Pinnacle Peak Place.
Where: 25851 N. 89th St.
Contact: 480-656-2789, khov.com or pietboon.com.
by Peter Corbett - May. 11, 2012 01:15 PM The Republic | azcentral.com
Builder rolls out Line K at Pinnacle Peak Place
Showing posts with label scottsdale. Show all posts
Showing posts with label scottsdale. Show all posts
Tuesday, May 15, 2012
Scottsdale builders seeing surge in new homes
Apartment development is the focus of Scottsdale's housing market, but builders based in the city say they are seeing a surge in new-home sales elsewhere in the Valley.
Builders acquired permits for nearly 2,500 single-family homes in the first quarter, up 74 percent from a year ago, said Greg Burger, publisher with RL Brown of the "Phoenix Housing Market Letter."
Maracay Homes reports that it sold 190 homes through April, more than double its activity a year ago. Plus, this year's $50 million in sales far exceeds last year's pace when Maracay sold $60.5 million for all of 2011.It's a big change for a new-home market that went from dormant to sluggish before the recent uptick.
"It hasn't been wine and roses the past few years," said Andy Warren,Maracay president since April 2009.
The number of building permits issued continued to grow in April and homebuilders are responding with new communities and floor plans.
Maracay Homes, with its offices at the Scottsdale Quarter, has four communities in Tucson and seven in the Valley in Buckeye, Chandler, Goodyear, Peoria and Queen Creek.
Maracay, the Arizona subsidiary of the Weyerhauser Real Estate Co., plans to open five more communities with a total of 414 home sites by the second quarter of 2013. Those developments are in Litchfield Park, Queen Creek, Gilbert, Chandler and in east Mesa at Eastmark on the former General Motors Desert Proving Ground site.
The builder has two more communities under contract with 135 home sites in Queen Creek and an additional 22 at Verrado in Buckeye.
"We've repositioned Maracay in the last two years to take advantage of the challenges in the economy," said Warren, who previously worked for Weyerhauser's Winchester Homes subsidiary in Bethesda, Md.
Maracay expects to sell 300 homes in the Valley this year and an additional 100 in Tucson, he said. The company's average home price this year is $260,000.
Home inventory declines
A shrinking inventory of resale homes has buyers turning to new homes, and builders are responding to the demand.
The current pace of 11,000 homes this year could slow because of a tighter supply of suitable home sites and as builders limit their sales because of shortages of subcontractors, said Burger.
Buyers are getting frustrated with failed bids for a shrinking inventory of resale homes and are turning to new homes, he said, adding that the price difference of new homes costing more than resale properties is narrowing in some neighborhoods.
"We're moving in a direction that new homes are coming into focus," Burger said. "Some builders have opened the flood gates and are selling as many homes as they can."
Shea Homes Arizona has seen its sales jump 40 percent so far this year over 2011.
The California-based company, with its Arizona division in Scottsdale, is averaging about eight home sales per week, up from five over the past two years.
"It's pretty refreshing," said Ken Peterson, Shea Homes Arizona vice president of sales and marketing.
Sales are on the upswing because consumers who lost homes to foreclosure or short sales are becoming eligible for loans, he said.
Few new homes locally
Nearly all of the new-home subdivisions are outside of Scottsdale, which has a limited amount of large land tracts for new communities.
Scottsdale issued 63 building permits for single-family homes in the first quarter, up from 33 a year ago but far below Gilbert with 697 permits and Phoenix with 347.
Pulte Homes and Lennar each are building about 200 homes at the gated Lone Mountain community just west of Scottsdale at 60th Street and Lone Mountain Road.
Pulte spokeswoman Jacque Petroulakis said the builder has seen its traffic and sales more than double in the past few months.
Retirees, move-up families and second-home buyers are part of the sales surge, she said.
Pulte, which launched sales at Lone Mountain in April 2010, has homes of 1,933 to 3,026 square feet for $298,990 to $369,990.
Utility-cost savings are a big selling point for the new-home market, with builders touting better insulation, construction techniques, and more efficient appliances and heating and cooling systems..
Builders are also offering garages large enough for recreational vehicles and stand-alone buildings for shops, studios or guest casitas.
New communities planned
Scottsdale-based Maracay Homes has seven Valley communities and four in Tucson. It plans to open these five communities with 414 home sites in the next two years:
Savannah in Litchfield Park, 70 homes with lots of 85 by 130 feet. Opening May 19.
Montelena in Queen Creek, 59 homes with lots of 90 by 140 feet. Opening fall 2012.
Lyons Gate in Gilbert, 46 homes with lots of 60 by 118 feet. Opening late 2012.
Vaquero Ranch in Chandler, 74 homes with lots of 60 by 120 feet. Opening second quarter 2013.
Eastmark in east Mesa, 165 homes with about half the lots at 55 by 115 feet and half the lots at 70 by 120 feet. Opening second quarter 2013.
by Peter Corbett - May. 10, 2012 03:22 PM The Republic | azcentral.com
Scottsdale builders seeing surge in new homes
Builders acquired permits for nearly 2,500 single-family homes in the first quarter, up 74 percent from a year ago, said Greg Burger, publisher with RL Brown of the "Phoenix Housing Market Letter."
Maracay Homes reports that it sold 190 homes through April, more than double its activity a year ago. Plus, this year's $50 million in sales far exceeds last year's pace when Maracay sold $60.5 million for all of 2011.It's a big change for a new-home market that went from dormant to sluggish before the recent uptick.
"It hasn't been wine and roses the past few years," said Andy Warren,Maracay president since April 2009.
The number of building permits issued continued to grow in April and homebuilders are responding with new communities and floor plans.
Maracay Homes, with its offices at the Scottsdale Quarter, has four communities in Tucson and seven in the Valley in Buckeye, Chandler, Goodyear, Peoria and Queen Creek.
Maracay, the Arizona subsidiary of the Weyerhauser Real Estate Co., plans to open five more communities with a total of 414 home sites by the second quarter of 2013. Those developments are in Litchfield Park, Queen Creek, Gilbert, Chandler and in east Mesa at Eastmark on the former General Motors Desert Proving Ground site.
The builder has two more communities under contract with 135 home sites in Queen Creek and an additional 22 at Verrado in Buckeye.
"We've repositioned Maracay in the last two years to take advantage of the challenges in the economy," said Warren, who previously worked for Weyerhauser's Winchester Homes subsidiary in Bethesda, Md.
Maracay expects to sell 300 homes in the Valley this year and an additional 100 in Tucson, he said. The company's average home price this year is $260,000.
Home inventory declines
A shrinking inventory of resale homes has buyers turning to new homes, and builders are responding to the demand.
The current pace of 11,000 homes this year could slow because of a tighter supply of suitable home sites and as builders limit their sales because of shortages of subcontractors, said Burger.
Buyers are getting frustrated with failed bids for a shrinking inventory of resale homes and are turning to new homes, he said, adding that the price difference of new homes costing more than resale properties is narrowing in some neighborhoods.
"We're moving in a direction that new homes are coming into focus," Burger said. "Some builders have opened the flood gates and are selling as many homes as they can."
Shea Homes Arizona has seen its sales jump 40 percent so far this year over 2011.
The California-based company, with its Arizona division in Scottsdale, is averaging about eight home sales per week, up from five over the past two years.
"It's pretty refreshing," said Ken Peterson, Shea Homes Arizona vice president of sales and marketing.
Sales are on the upswing because consumers who lost homes to foreclosure or short sales are becoming eligible for loans, he said.
Few new homes locally
Nearly all of the new-home subdivisions are outside of Scottsdale, which has a limited amount of large land tracts for new communities.
Scottsdale issued 63 building permits for single-family homes in the first quarter, up from 33 a year ago but far below Gilbert with 697 permits and Phoenix with 347.
Pulte Homes and Lennar each are building about 200 homes at the gated Lone Mountain community just west of Scottsdale at 60th Street and Lone Mountain Road.
Pulte spokeswoman Jacque Petroulakis said the builder has seen its traffic and sales more than double in the past few months.
Retirees, move-up families and second-home buyers are part of the sales surge, she said.
Pulte, which launched sales at Lone Mountain in April 2010, has homes of 1,933 to 3,026 square feet for $298,990 to $369,990.
Utility-cost savings are a big selling point for the new-home market, with builders touting better insulation, construction techniques, and more efficient appliances and heating and cooling systems..
Builders are also offering garages large enough for recreational vehicles and stand-alone buildings for shops, studios or guest casitas.
New communities planned
Scottsdale-based Maracay Homes has seven Valley communities and four in Tucson. It plans to open these five communities with 414 home sites in the next two years:
Savannah in Litchfield Park, 70 homes with lots of 85 by 130 feet. Opening May 19.
Montelena in Queen Creek, 59 homes with lots of 90 by 140 feet. Opening fall 2012.
Lyons Gate in Gilbert, 46 homes with lots of 60 by 118 feet. Opening late 2012.
Vaquero Ranch in Chandler, 74 homes with lots of 60 by 120 feet. Opening second quarter 2013.
Eastmark in east Mesa, 165 homes with about half the lots at 55 by 115 feet and half the lots at 70 by 120 feet. Opening second quarter 2013.
by Peter Corbett - May. 10, 2012 03:22 PM The Republic | azcentral.com
Scottsdale builders seeing surge in new homes
Monday, May 7, 2012
CityScape developer snaps up Borgata
RED Development has added to its recent acquisitions by purchasing the Borgata of Scottsdale shopping center for $9.15 million from Macerich Co.
The Borgata at Scottsdale Road and Rose Lane is a specialty center built in 1981 to resemble the Italian village of San Gimignano. It offers 94,000 square feet of retail space, including the Blanco Tacos and J. Alexander's restaurants and the Dolce Salon and Spa.
"We are very pleased to have acquired this well-situated and high-quality property in Scottsdale, a tremendous market for retail performance," said Mike Ebert, RED managing partner.
RED Development, based in Phoenix, has been actively acquiring property in addition to developing CityScape in downtown Phoenix.
Last month, RED Development and Cole Real Estate Investments teamed up to buy Macerich's 50 percent stake in the Chandler Village Center and Chandler Festival power centers for $45.8 million.
RED also bought the Shops at Prescott Gateway and the Aspen Place at the Sawmill retail center in Flagstaff within the past year.
The Borgata acquisition is part of RED's growth strategy, Ebert said.
"We look forward to working with the unique retailers and restaurants at the property and applying RED's creative approach to the future of the real estate," he said.
The Borgata has vacancies, but RED Development declined to disclose its occupancy rate at the time of the sale. The deal closed earlier this week.
It did not include the nearby Shops at Hilton Village, on the opposite side of Scottsdale Road from the Borgata, which Macerich also manages. Macerich, of Santa Monica, Calif., is the parent company of Westcor, the Valley's largest mall developer and operator. Company executives could not be reached for comment.
by Peter Corbett - May. 4, 2012 04:29 PM The Republic | azcentral.com
CityScape developer snaps up Borgata
The Borgata at Scottsdale Road and Rose Lane is a specialty center built in 1981 to resemble the Italian village of San Gimignano. It offers 94,000 square feet of retail space, including the Blanco Tacos and J. Alexander's restaurants and the Dolce Salon and Spa.
"We are very pleased to have acquired this well-situated and high-quality property in Scottsdale, a tremendous market for retail performance," said Mike Ebert, RED managing partner.
RED Development, based in Phoenix, has been actively acquiring property in addition to developing CityScape in downtown Phoenix.
Last month, RED Development and Cole Real Estate Investments teamed up to buy Macerich's 50 percent stake in the Chandler Village Center and Chandler Festival power centers for $45.8 million.
RED also bought the Shops at Prescott Gateway and the Aspen Place at the Sawmill retail center in Flagstaff within the past year.
The Borgata acquisition is part of RED's growth strategy, Ebert said.
"We look forward to working with the unique retailers and restaurants at the property and applying RED's creative approach to the future of the real estate," he said.
The Borgata has vacancies, but RED Development declined to disclose its occupancy rate at the time of the sale. The deal closed earlier this week.
It did not include the nearby Shops at Hilton Village, on the opposite side of Scottsdale Road from the Borgata, which Macerich also manages. Macerich, of Santa Monica, Calif., is the parent company of Westcor, the Valley's largest mall developer and operator. Company executives could not be reached for comment.
by Peter Corbett - May. 4, 2012 04:29 PM The Republic | azcentral.com
CityScape developer snaps up Borgata
Solis site goes for $30 million
An 11-acre redevelopment site for a planned hotel and condominiums in downtown Scottsdale was sold last week at a trustee sale for $30 million.
AZ-Waters Edge LLC submitted the only bid and will take title of the land northeast of Scottsdale and Camelback roads, said attorney Lawrence Petrowski of Stinson Morrison Hecker LLP, the trustee.
Scottsdale Canal Development LLC, which started assembling the property along the Arizona Canal in 2006, had planned a 240-room Solis Scottsdale hotel and 140 condos on a site that now includes a SRP substation.
"It's a huge disappointment," said Mark Madkour, Scottsdale Canal Development principal. "It was a huge amount of effort, time and money."
Madkour and his investors lost millions of dollars on what was to be a $600 million project.
IMH Financial Corp. of Scottsdale foreclosed on the property in May 2011. AZ-Waters Edge is affiliated with IMH Financial.
Scottsdale Canal Development also lost ownership of a site at 68th Street and Indian School Road it had intended to use for the relocated Salt River Project substation, Madkour said. It paid $7 million for the property.
Westcor gets new deadline
Westcor has again deferred its lease payment until May 31 for 112 acres of state trust land northeast of Scottsdale Road and Loop 101.
The Valley mall developer owed the Arizona State Land Department $2.2 million by April 30 for the site, which has long been planned for a regional mall.
Westcor made $1.26 million in lease payments through 2010 but deferred its payments in January and December 2011. In April 2008, Westcor bid $32 million for the site to secure a 99-year lease.
State Land Commissioner Maria Baier has the discretion to defer lease payments for up to five years.
by Peter Corbett - May. 4, 2012 03:10 PM The Republic | azcentral.com
Solis site goes for $30 million
AZ-Waters Edge LLC submitted the only bid and will take title of the land northeast of Scottsdale and Camelback roads, said attorney Lawrence Petrowski of Stinson Morrison Hecker LLP, the trustee.
Scottsdale Canal Development LLC, which started assembling the property along the Arizona Canal in 2006, had planned a 240-room Solis Scottsdale hotel and 140 condos on a site that now includes a SRP substation.
"It's a huge disappointment," said Mark Madkour, Scottsdale Canal Development principal. "It was a huge amount of effort, time and money."
Madkour and his investors lost millions of dollars on what was to be a $600 million project.
IMH Financial Corp. of Scottsdale foreclosed on the property in May 2011. AZ-Waters Edge is affiliated with IMH Financial.
Scottsdale Canal Development also lost ownership of a site at 68th Street and Indian School Road it had intended to use for the relocated Salt River Project substation, Madkour said. It paid $7 million for the property.
Westcor gets new deadline
Westcor has again deferred its lease payment until May 31 for 112 acres of state trust land northeast of Scottsdale Road and Loop 101.
The Valley mall developer owed the Arizona State Land Department $2.2 million by April 30 for the site, which has long been planned for a regional mall.
Westcor made $1.26 million in lease payments through 2010 but deferred its payments in January and December 2011. In April 2008, Westcor bid $32 million for the site to secure a 99-year lease.
State Land Commissioner Maria Baier has the discretion to defer lease payments for up to five years.
by Peter Corbett - May. 4, 2012 03:10 PM The Republic | azcentral.com
Solis site goes for $30 million
Tuesday, May 1, 2012
Scottsdale development projects
Scottsdale is experiencing a surge of new development projects either planned or under construction.
Among the more high-profile are a $135 million Blue Sky apartments near Scottsdale Fashion Square and the Optima Sonoran Village condominium complex southeast of Camelback and 68th Street. Developers are hoping to construct a total of 5,700 apartment units in at least 18 projects citywide. Nearly two-thirds of the proposed units are downtown and along McDowell Road.
Blue Sky -- Construction is expected to start this summer on the $135 million, 13-story apartment complex on Scottsdale Road just north of Camelback Road and across from Scottsdale Fashion Square.
Mark-Taylor -- Mark-Taylor Residential Inc. is planning 536 apartment units at 74th Street and McDowell Road, the old Los Arcos site. The city in September also agreed to sell the apartment developer 3.74 acres of city-owned land nearby for the complex.
Maravilla Scottsdale --The resort-style senior community is scheduled for completion in May just west of the Fairmont Scottsdale Princess resort. Plans call for 217 residences, including 36 assisted-living units and 24 memory-care units.
Scottsdale Retail Plaza --The City Council just cleared the way for development of the new beach club in the downtown-entertainment district south of Camelback Road and east of Scottsdale Road. Plans include an indoor/outdoor pool club in the center, a building with restaurant and bar space on the western side and a three-tenant building intended for restaurant and bar use on the eastern side.
Reata Ranch -- Developer Taber Anderson wants to build up to 35 lodge units, 75 cabins, 120 casitas and 100 villas at the guest ranch, which could include stables and hiking and equestrian trails into the nearby McDowell Sonoran Preserve.
Optima Sonoran Village -- Initial site work began last fall on the 10-acre property southeast of Camelback Road and 68th Street, with the first phase of 210 units expected to be finished by September 2013. The project primarily is a condominium development, with rental units available.
by Beth Duckett - Apr. 27, 2012 08:53 AM The Republic | azcentral.com
Scottsdale development projects
Among the more high-profile are a $135 million Blue Sky apartments near Scottsdale Fashion Square and the Optima Sonoran Village condominium complex southeast of Camelback and 68th Street. Developers are hoping to construct a total of 5,700 apartment units in at least 18 projects citywide. Nearly two-thirds of the proposed units are downtown and along McDowell Road.
Blue Sky -- Construction is expected to start this summer on the $135 million, 13-story apartment complex on Scottsdale Road just north of Camelback Road and across from Scottsdale Fashion Square.
Mark-Taylor -- Mark-Taylor Residential Inc. is planning 536 apartment units at 74th Street and McDowell Road, the old Los Arcos site. The city in September also agreed to sell the apartment developer 3.74 acres of city-owned land nearby for the complex.
Maravilla Scottsdale --The resort-style senior community is scheduled for completion in May just west of the Fairmont Scottsdale Princess resort. Plans call for 217 residences, including 36 assisted-living units and 24 memory-care units.
Scottsdale Retail Plaza --The City Council just cleared the way for development of the new beach club in the downtown-entertainment district south of Camelback Road and east of Scottsdale Road. Plans include an indoor/outdoor pool club in the center, a building with restaurant and bar space on the western side and a three-tenant building intended for restaurant and bar use on the eastern side.
Reata Ranch -- Developer Taber Anderson wants to build up to 35 lodge units, 75 cabins, 120 casitas and 100 villas at the guest ranch, which could include stables and hiking and equestrian trails into the nearby McDowell Sonoran Preserve.
Optima Sonoran Village -- Initial site work began last fall on the 10-acre property southeast of Camelback Road and 68th Street, with the first phase of 210 units expected to be finished by September 2013. The project primarily is a condominium development, with rental units available.
by Beth Duckett - Apr. 27, 2012 08:53 AM The Republic | azcentral.com
Scottsdale development projects
Friday, April 20, 2012
Proposed Solis property slated for trustee sale
The proposed Solis project (formerly Waterview) on Camelback Road east of Scottsdale Road.
A vacant downtown Scottsdale property that was cleared for a luxury hotel and condominiums is scheduled for a trustee sale next week.
A development group headed by Mark Madkour of Scottsdale Canal Development had plans to build the 240-room Solis Scottsdale hotel and 140 condominiums on the 10.57-acre property.
But the lender foreclosed on the property and Scottsdale Canal Development filed for Chapter 11 bankruptcy last fall.
The site northeast of Scottsdale and Camelback roads and east of the Arizona Canal has been vacant for nearly three years. Madkour's group tore down aging apartments along 73rd Street to prepare the property for development.
Madkour said Scottsdale Canal Development might bid at the trustee sale.
"We still feel we are the best one to move forward with this project," he said. "There's been interest in the northern portion for multifamily development but that doesn't help the situation."
Scottsdale Canal Development had an ambitious $600 million project pegged for the site with a 72-foot hotel, underground parking, six condo buildings, walking paths and two bridges over the canal. The company also planned to move a Salt River Project electrical substation from the site to a spot northeast of 68th Street and Indian School Road.
Most of the opposition centered on relocation of the substation.
Vacant site an eyesore
Tony Viti, who lives north of the site in Villa Monterey Unit 1, said he hopes the property gets developed but he is not sure he will ever see it.
"It doesn't look good," he said. "It's just sitting there with some graffiti on the fences."
Still, the vacant property is an improvement over the apartments that had been on the site, said Viti, who is vice president of the Villa Monterey Unit 1 homeowners association.
"We had all kinds of people walking through our neighborhood," Viti said. "We had guys sleeping back by the canal."
Investors hesitant to buy in
Scottsdale Canal Development defaulted on a series of loans for the project.
Boulder Capital is owed more than $12 million, according to U.S. Bankruptcy Court records.
Madkour said he is trying to line up other investors for the project.
"We have three strong candidates that could come in and help us with a joint venture," he said.
"It's been extremely challenging," Madkour said. "We didn't walk away because we really believe in the project...I firmly believe in the location."
Madkour said he has been trying to lure investors over the past two years but they are hesitant.
"Arizona is just so tarnished by this imploded real-estate market," he said. "It really is on a black list for some people."
by Peter Corbett - Apr. 19, 2012 12:29 PM The Republic | azcentral.com
Proposed Solis property slated for trustee sale
Apartments to replace vacant medical offices in Scottsdale
A vacant medical plaza is set to be demolished to make way for a 264-unit apartment complex northwest of Scottsdale Road and Lincoln Drive.
In January, the Scottsdale City Council approved a zoning change to allow the mixed-use development, named Broadstone on Lincoln. The Development Review Board this month approved the site plan, architecture and design of the complex.
Bryan Cluff, project coordinator for the city, said this will be one of the first multifamily complexes under construction in Scottsdale.
"The only other one I think may be ahead of it would be Optima Sonoran Village on Camelback Road," he said. "They're moving forward as well. Optima Sonoran Village does have (construction) permits for Phase 1 and that portion of the project is under construction."
Broadstone on Lincoln is among 18 apartment projects that would add about 5,700 apartments citywide.
The property is owned by Cam-8 LLC and the developer is Alliance Residential Holdings. The plan calls for multilevel apartment buildings and one story of retail along Scottsdale Road.
The apartment complex includes six buildings totaling 225,562 square feet on 5.3 acres. The overall project is 7.5 acres. The site of the future Ritz-Carlton is just west of the property in Paradise Valley.
The development excludes the 48,000-square-foot lot at Scottsdale and Lincoln, which houses two separate commercial office buildings.
The property was zoned for commercial use in the early 1970s and was developed with multiple office buildings, which now are vacant and deteriorating.
The developer hasn't yet submitted construction documents to obtain construction permits for the apartment complex, Cluff said.
Once the existing buildings have been demolished, construction will begin on the new apartment buildings, said Jason Morris, a zoning attorney representing the project.
"We're moving on to construction drawings and we're doing that right now," he said. "Construction is to begin later this year. It will be built all at once. We will open while construction is still occurring. All of the units will be phased in."
The apartment complex will be set back from Scottsdale Road,
The first units should be ready for occupancy in either the first or second quarter of 2013, Morris said. The complex will have luxury units supported by an underground parking structure, he said.
Building heights will be greater just west of Scottsdale Road, while heights will be lowest on the north side of the property, according to the Development Review Board application. The maximum building height will be 48 feet.
This will be the first multifamily residential development in the immediate area, Morris said. The location is intended to attract a "social" resident who frequents area retail, restaurants and other development.
The retail portion of the project, two one-story buildings along Scottsdale Road, will be under a separate Development Review Board application, he said.
"The retail won't take as long to build as the residential, so it's very possible that it could come out of the ground together with the residential," Morris said.
Nearby residents expressed concern to the council about the complex this year, saying it was too dense and would increase traffic congestion in the area.
"I think we're able to communicate answers to the majority of their concerns," Morris said.
by Edward Gately - Apr. 20, 2012 09:44 AM The Republic | azcentral.com
Apartments to replace vacant medical offices in Scottsdale
In January, the Scottsdale City Council approved a zoning change to allow the mixed-use development, named Broadstone on Lincoln. The Development Review Board this month approved the site plan, architecture and design of the complex.
Bryan Cluff, project coordinator for the city, said this will be one of the first multifamily complexes under construction in Scottsdale.
"The only other one I think may be ahead of it would be Optima Sonoran Village on Camelback Road," he said. "They're moving forward as well. Optima Sonoran Village does have (construction) permits for Phase 1 and that portion of the project is under construction."
Broadstone on Lincoln is among 18 apartment projects that would add about 5,700 apartments citywide.
The property is owned by Cam-8 LLC and the developer is Alliance Residential Holdings. The plan calls for multilevel apartment buildings and one story of retail along Scottsdale Road.
The apartment complex includes six buildings totaling 225,562 square feet on 5.3 acres. The overall project is 7.5 acres. The site of the future Ritz-Carlton is just west of the property in Paradise Valley.
The development excludes the 48,000-square-foot lot at Scottsdale and Lincoln, which houses two separate commercial office buildings.
The property was zoned for commercial use in the early 1970s and was developed with multiple office buildings, which now are vacant and deteriorating.
The developer hasn't yet submitted construction documents to obtain construction permits for the apartment complex, Cluff said.
Once the existing buildings have been demolished, construction will begin on the new apartment buildings, said Jason Morris, a zoning attorney representing the project.
"We're moving on to construction drawings and we're doing that right now," he said. "Construction is to begin later this year. It will be built all at once. We will open while construction is still occurring. All of the units will be phased in."
The apartment complex will be set back from Scottsdale Road,
The first units should be ready for occupancy in either the first or second quarter of 2013, Morris said. The complex will have luxury units supported by an underground parking structure, he said.
Building heights will be greater just west of Scottsdale Road, while heights will be lowest on the north side of the property, according to the Development Review Board application. The maximum building height will be 48 feet.
This will be the first multifamily residential development in the immediate area, Morris said. The location is intended to attract a "social" resident who frequents area retail, restaurants and other development.
The retail portion of the project, two one-story buildings along Scottsdale Road, will be under a separate Development Review Board application, he said.
"The retail won't take as long to build as the residential, so it's very possible that it could come out of the ground together with the residential," Morris said.
Nearby residents expressed concern to the council about the complex this year, saying it was too dense and would increase traffic congestion in the area.
"I think we're able to communicate answers to the majority of their concerns," Morris said.
by Edward Gately - Apr. 20, 2012 09:44 AM The Republic | azcentral.com
Apartments to replace vacant medical offices in Scottsdale
Scottsdale City Council clears way for beach club
The Scottsdale City Council this week cleared the way for development of a new beach club in the city's entertainment district.
Two applications related to the proposal submitted by property owner Shawn Yari gained council approval Tuesday despite initial objections from other businesses in the area.
Two nearby property owners -- PS Investment LLC and Shoeman LLC -- had filed legal protests to force a 6-1 supermajority council vote for approval of the applications.
However, both protests were dropped before the council's meeting, which meant the council could approve the applications with a simple majority.
"Shoeman rescinded their protest," said Tim Curtis, city planning director. "They said they spoke with the applicant and were convinced that this was a good project. PS didn't meet the land area and location requirements for a legal protest."
Yari plans to develop Scottsdale Retail Plaza on the block that now houses Myst nightclub on Shoeman Lane and Suede restaurant/bar on Indian Plaza.
The council approved applications to rezone two strips of land within the site from parking to commercial use, and to abandon a public alley right-of-way to remove one of two alleys on the site.
Demolition of the existing buildings, including Myst and Suede nightclubs, could begin within a few weeks, said David Leibowitz,Yari's spokesman.
"We're trying to meet an end-of-the-year deadline (for completion)," he said.
The complex will include an indoor/outdoor pool club in the center, a separate building with restaurant and bar space on the western side, and a three-tenant building intended for restaurant and bar use on the eastern side. The complex also could include some retail space.
The complex will encompass an entire block with the exception of the southwestern corner, which now houses the Swiss Consulate.
Councilman Bob Littlefield was the only council member to vote against the applications. Councilman Ron McCullagh was absent.
Adding more bars to an already crowded bar district doesn't qualify as economic development, Littlefield said.
"How about we crack down on the problem bars and get rid of them?" he said.
Mayor Jim Lane and all other council members said the project will be positive for the entertainment district and downtown.
Vice Mayor Linda Milhaven said she's "thrilled" about the project, that it will be better than what's there now and that it will attract a different clientele.
Jason Morris, a zoning attorney representing Yari's Triyar Entertainment, said the complex will be a "better version of what exists today" and will attract Scottsdale's "premiere clientele."
No other zoning change is required because all of the proposed uses already are permitted on the site, he said.
"We are not talking, despite all the rhetoric, about some vast change," he said.
But critics of the area's bar scene and problems associated with weekend crowds said the project will only aggravate the situation.
Bill Crawford, president of the Association to Preserve Downtown Scottsdale's Quality of Life, said this project will "smash" any hope that nearby residents will have any peace and quiet. He has been an outspoken critic of Yari and his developments.
"Why won't this council listen to the voters and protect our quality of life?" he said. "This is the deal that's going to change everything. It's going to increase our parking problem, it's going to punish the neighbors with noise and it's going to increase crime."
However, Casey Cutter, who also lives nearby, said the entertainment district is important to the city because it "brings in young professionals." He said noise emanating from the district is not an issue for him.
"I sleep very soundly at night," he said.
by Edward Gately - Apr. 19, 2012 08:27 AM The Republic | azcentral.com
Scottsdale City Council clears way for beach club
Wednesday, April 11, 2012
Scottsdale's SkySong set to lease two new buildings
SkySong, the Arizona State University Scottsdale Innovation Center, this week kicks off pre-leasing for two office buildings that will be the only sizable office construction this year in south Scottsdale.
SkySong now includes two multistory office buildings totaling about 300,000 square feet. The buildings are about 98 percent occupied and house a workforce of more than 1,000 people.
Two new office buildings, totaling about 290,000 square feet, are being planned west of the existing buildings and east of Scottsdale Road. The construction cost of the four-story buildings, SkySong III and IV, is $60 million.
The mission of the mixed-use, 42-acre development, at the southeastern corner of Scottsdale and McDowell roads, is to be a job creator and entrepreneurial hub. Plaza Cos. is the developer of the project in partnership with the ASU Foundation and USAA Real Estate Co.
"With that kind of focus, this project has experienced an above-market leasing velocity because this is where we believe companies want to come," said Sharon Harper, president and CEO of Plaza Cos. "We want to continue the development of the project in a reasonable fashion."
Scottsdale's Development Review Board is expected to consider the project at its May 17 meeting. Construction could begin on the first building when enough space has been pre-leased, she said. The financing is in place, she said.
"We're still in a very slow economic environment in Arizona, although we believe there are some markers for change, but they will come slowly and we will be cautious," Harper said.
The partners stand ready to respond with still more buildings for firms looking for 500,000 square feet or more to locate in Scottsdale, she said. The foundation has agreed to build 1.2 million square feet of office space in phases over 24 years.
"We're competing with Austin, Texas, and San Francisco, and some of the cities that are considered the major tech centers," said Nate Summer, ASU's assistant vice president of real-estate and development. "We have now an offering that's comparable or exceeds anything that they can put forward, and that's a really unique and special capacity for the city of Scottsdale to have."
The Valley's office market, including Scottsdale, still is suffering from the recession, with about 25 percent of office space vacant, said Craig Coppola, founding principal of Lee & Associates Arizona. The firm handles leasing for SkySong.
The office market literally "fell off a cliff" in 2008 and has shown very little improvement, he said. However, SkySong has bucked the trend by continuing to lease space despite the sluggish market, he said.
Before the recession, the office market was gaining more than 1 million square feet of office occupancy each year, Coppola said. The market was at a standstill last year after losing 1.2 million square feet of occupied space in 2010, he said.
"From our perspective, the value proposition of SkySong is obviously very successful," Coppola said. "The environment at SkySong is completely unique to the traditional office market with the ASU relationship, and so tenants have obviously leased more space there."
More than 70 companies are housed at SkySong and the ASU SkySong incubator. Those include high-tech and non-high-tech companies, and the complex has become a magnet for education-related firms, Coppola said.
One company has signed a lease to occupy one floor of the first new building, and "we need one more floor" leased to begin construction, he said.
"We have some activity in place, a short list of highly interested tenants," Coppola said. "But unfortunately we do need pre-leasing like everybody else in town, and we're looking for somebody to sign on the dotted line and then we can get going."
Jerry Noble, of CBRE Brokerage Service, said demand is growing for larger office space, as much as 50,000 square feet. Most of the vacancies are in smaller spaces. That could help new complexes that get financing to start construction, he said.
"For the first time in several years, users are looking for 50,000 square feet or more ... on the east side of (the Valley)," he said. "They don't have as many options as they once had and that trend is going to continue."
Overall, the office market is picking up, with more leasing activity taking place, Noble said. Also, rents are starting to increase, particularly in south Scottsdale, because of constraints on bigger and better office space, he said.
Beyond its 1,000-plus workforce, SkySong continues to bring in people from around the world, Summer said. Next week, SkySong is hosting the Education Innovation Summit, he said.
"We are bringing in 500 people who are CEOs and senior leadership from well over 100 very significant education-technology companies," he said. "These are international companies, companies from all over the country and local companies. It puts Scottsdale on the map, at the nexus of education and educational technologies."
During the recession, when other companies were contracting and disbanding, companies at SkySong were growing and the trend continues today, Summer said.
"We've had companies start with one person and be at 13,000 square feet of space with 45 people here and 100 people in the United States," he said. "We're able to leverage that and talk to more companies and attract more students to the project. It's attracting the kind of technology-development companies ... that might otherwise have not paid attention to ASU and Arizona."
SkySong has become the destination for many events. About 5,000 visitors use space at the complex for events every month, Summer said.
by Edward Gately - Apr. 11, 2012 08:51 AM The Republic | azcentral.com
Scottsdale's SkySong set to lease two new buildings
Friday, April 6, 2012
Developer seeking state land for 2 Scottsdale auto lots
A developer hopes to acquire more than 29 acres of state trust land for two car dealerships on Scottsdale Road just south of Loop 101.
Diversified Partners of Scottsdale submitted preliminary plans to the city last week for two car lots, with one dealership housed in a 90,000-square-foot, two-story building. A second building is not mentioned in the plans.
The 29.37-acre site southeast of Scottsdale Road and Union Hills Drive is scheduled to be sold at auction at 10:30 a.m. May 15 at the Arizona State Land Department.
The minimum bid is $10.2 million, or $348,051 per acre.
Walt Brown Jr., Diversified Partners CEO, said he expects other bidders for the state land.
"We have been talking to banks, talking to hotels that want to be there," Brown said. "We are trying to work our way through it."
No specific car brand has been identified for the development, he said.
But Diversified's plans submitted to the city include architectural drawings labeled Lexus Scottsdale.
The site is one of the first targeted for development within an area of state trust land called Crossroads East. It includes about 1,000 acres between Scottsdale and Hayden roads from Princess Drive north to the southern edge of Grayhawk.
"If we're successful, we plan to put it in production within a year or year and a half," Brown said. "It sure is great real estate."
The site's proximity to the Loop 101 and nearby shopping centers with great tenants make it an ideal location, he said.
Development will require some major drainage improvements including a channel for storm water set back at least 50 feet from Scottsdale Road, Brown said, adding that its unclear how much the work will cost.
It will be similar to a drainage channel on the west side of Scottsdale Road for a series of car dealerships in Phoenix.
Cadillac dealer owns nearby site
A Lund Cadillac dealership was approved in 2002 for a site northeast of Scottsdale Road and Union Hills Drive.
Lund still owns the land, but its plans, approved by the Scottsdale Development Review Board in 2003, have expired, said Greg Bloemberg, a city planner.
Lund Cadillac did not return calls seeking comment about its plan for the site.
Apartment plans advance
TDI Real Estate Holdings, of Irving, Texas, has submitted plans to the Scottsdale Development Review Board for the second phase of its apartment project at One Scottsdale, northeast of Scottsdale Road and Loop 101.
The project, which surfaced in October, would include 677 apartments on 24 acres at the northeastern edge of the 120-acre One Scottsdale site.
The Henkel North America headquarters, formerly Dial, is the only existing building on the northeastern corner. It was completed in December 2008.
The apartments would be developed in two phases with 388 units in the first phase and 289 in the second phase.
Apartments would range in size from 748 to 1,280 square feet.
TDI previously estimated development costs for the first phase at $65 million.
by Peter Corbett - Apr. 6, 2012 08:48 AM The Republic | azcentral.com
Developer seeking state land for 2 Scottsdale auto lots
Diversified Partners of Scottsdale submitted preliminary plans to the city last week for two car lots, with one dealership housed in a 90,000-square-foot, two-story building. A second building is not mentioned in the plans.
The 29.37-acre site southeast of Scottsdale Road and Union Hills Drive is scheduled to be sold at auction at 10:30 a.m. May 15 at the Arizona State Land Department.
The minimum bid is $10.2 million, or $348,051 per acre.
Walt Brown Jr., Diversified Partners CEO, said he expects other bidders for the state land.
"We have been talking to banks, talking to hotels that want to be there," Brown said. "We are trying to work our way through it."
No specific car brand has been identified for the development, he said.
But Diversified's plans submitted to the city include architectural drawings labeled Lexus Scottsdale.
The site is one of the first targeted for development within an area of state trust land called Crossroads East. It includes about 1,000 acres between Scottsdale and Hayden roads from Princess Drive north to the southern edge of Grayhawk.
"If we're successful, we plan to put it in production within a year or year and a half," Brown said. "It sure is great real estate."
The site's proximity to the Loop 101 and nearby shopping centers with great tenants make it an ideal location, he said.
Development will require some major drainage improvements including a channel for storm water set back at least 50 feet from Scottsdale Road, Brown said, adding that its unclear how much the work will cost.
It will be similar to a drainage channel on the west side of Scottsdale Road for a series of car dealerships in Phoenix.
Cadillac dealer owns nearby site
A Lund Cadillac dealership was approved in 2002 for a site northeast of Scottsdale Road and Union Hills Drive.
Lund still owns the land, but its plans, approved by the Scottsdale Development Review Board in 2003, have expired, said Greg Bloemberg, a city planner.
Lund Cadillac did not return calls seeking comment about its plan for the site.
Apartment plans advance
TDI Real Estate Holdings, of Irving, Texas, has submitted plans to the Scottsdale Development Review Board for the second phase of its apartment project at One Scottsdale, northeast of Scottsdale Road and Loop 101.
The project, which surfaced in October, would include 677 apartments on 24 acres at the northeastern edge of the 120-acre One Scottsdale site.
The Henkel North America headquarters, formerly Dial, is the only existing building on the northeastern corner. It was completed in December 2008.
The apartments would be developed in two phases with 388 units in the first phase and 289 in the second phase.
Apartments would range in size from 748 to 1,280 square feet.
TDI previously estimated development costs for the first phase at $65 million.
by Peter Corbett - Apr. 6, 2012 08:48 AM The Republic | azcentral.com
Developer seeking state land for 2 Scottsdale auto lots
Monday, April 2, 2012
Building's shell to be resurrected as church
A Northeast Valley Episcopal church plans to resurrect the shell of an unfinished office building in north Scottsdale and transform it into a house of worship.
If all goes well, the Episcopal Church of the Nativity will hold services by Christmas in its new church at 22405 N. Miller Road, which is southeast of the former Rawhide theme park.
A monument to the recession, the foundation and walls of the 24,500-square-foot two-story building have been an eyesore in the Sonoran Hills neighborhood.
"It will be a wonderful home for the Christmas celebration," the Rev. Susan Snook said. "We're excited about being part of that neighborhood."
The Episcopal Church of the Nativity, like other commercial and residential buyers, has found a silver lining in the real-estate collapse of four years ago with far more affordable prices for property in Scottsdale.
The church paid $700,000 for the unfinished building, Snook said.
A developer started construction on the office building in 2007, but it came to a halt after the foundation and walls were erected, and the property went into foreclosure.
"It was bad timing on their part, but it turned out to be good fortune for us," said George Hartz, a DC Ranch resident who is a church board member.
The 7.6-acre property includes three other office-condo buildings of 8,000 square feet and one of 10,000 square feet, said Jason Hersker, a senior associate with Capital Asset Management, the company marketing the property.
The Sorenson Group family trust acquired the property in 2009 as part of a bundle of properties in a bank foreclosure, he said, adding that proceeds from the church sale are allowing the owner to complete the office condos.
The condos will soon be offered for sale or lease, but pricing has not been set, Hersker said.
The church, with about 350 members, was founded in fall 2006 and first had services at Grayhawk Elementary School. Its five-year lease for 5,000 square feet of space in an office building at 7010 E. Chauncey Lane is expiring at the end of this year.
Snook said the church looked for a suitable permanent location in an existing building or land for a new building, but it never found anything that would work until the building shell turned up.
"As we looked at it, we could see some real possibilities architecturally," she said.
The church had a structural analysis done, and it revealed the building is in good shape, Snook said.
"We can make good use of the walls and foundation that are there already, while redesigning the exterior and interior to look like a church," she added.
Arched windows and doorways and an entry facade will make it look like a modern church rather than a boxy building for medical or professional offices.
The Church of the Nativity's first level will include a two-story sanctuary and other facilities. The remaining space on the second level will be reserved for expansion, Snook said.
The church will also have weekend access to 200 parking spaces adjacent to the office condos.
Hartz said the church's location near the Vi at Silverstone retirement community and other planned apartments and homes at the development that is replacing Rawhide is ideal. The Appaloosa Library, Pinnacle Peak Elementary School and a post office are nearby.
"It's better when you're building a community place of worship for it to be in a community," he said.
by Peter Corbett - Mar. 30, 2012 02:26 PM The Republic |azcentral.com
Building's shell to be resurrected as church
If all goes well, the Episcopal Church of the Nativity will hold services by Christmas in its new church at 22405 N. Miller Road, which is southeast of the former Rawhide theme park.
A monument to the recession, the foundation and walls of the 24,500-square-foot two-story building have been an eyesore in the Sonoran Hills neighborhood.
"It will be a wonderful home for the Christmas celebration," the Rev. Susan Snook said. "We're excited about being part of that neighborhood."
The Episcopal Church of the Nativity, like other commercial and residential buyers, has found a silver lining in the real-estate collapse of four years ago with far more affordable prices for property in Scottsdale.
The church paid $700,000 for the unfinished building, Snook said.
A developer started construction on the office building in 2007, but it came to a halt after the foundation and walls were erected, and the property went into foreclosure.
"It was bad timing on their part, but it turned out to be good fortune for us," said George Hartz, a DC Ranch resident who is a church board member.
The 7.6-acre property includes three other office-condo buildings of 8,000 square feet and one of 10,000 square feet, said Jason Hersker, a senior associate with Capital Asset Management, the company marketing the property.
The Sorenson Group family trust acquired the property in 2009 as part of a bundle of properties in a bank foreclosure, he said, adding that proceeds from the church sale are allowing the owner to complete the office condos.
The condos will soon be offered for sale or lease, but pricing has not been set, Hersker said.
The church, with about 350 members, was founded in fall 2006 and first had services at Grayhawk Elementary School. Its five-year lease for 5,000 square feet of space in an office building at 7010 E. Chauncey Lane is expiring at the end of this year.
Snook said the church looked for a suitable permanent location in an existing building or land for a new building, but it never found anything that would work until the building shell turned up.
"As we looked at it, we could see some real possibilities architecturally," she said.
The church had a structural analysis done, and it revealed the building is in good shape, Snook said.
"We can make good use of the walls and foundation that are there already, while redesigning the exterior and interior to look like a church," she added.
Arched windows and doorways and an entry facade will make it look like a modern church rather than a boxy building for medical or professional offices.
The Church of the Nativity's first level will include a two-story sanctuary and other facilities. The remaining space on the second level will be reserved for expansion, Snook said.
The church will also have weekend access to 200 parking spaces adjacent to the office condos.
Hartz said the church's location near the Vi at Silverstone retirement community and other planned apartments and homes at the development that is replacing Rawhide is ideal. The Appaloosa Library, Pinnacle Peak Elementary School and a post office are nearby.
"It's better when you're building a community place of worship for it to be in a community," he said.
by Peter Corbett - Mar. 30, 2012 02:26 PM The Republic |azcentral.com
Building's shell to be resurrected as church
Friday, February 24, 2012
Investors have eye on McDowell Corridor - USATODAY.com
Metro Phoenix residents are eager to see new life along the nearly 3-mile stretch of McDowell Road from Loop 101 to 64th Street.
It was standing-room only at a recent meeting of the Scottsdale City Council Subcommittee on Economic Development, where project representatives gave updates on their plans to kick-start revitalization on McDowell.
Residents learned that there already is new investment in the area and that more is on the way. In all, the corridor has attracted about $138million in private investment money in the past two years, said Jim Mullin, the city's economic-vitality director.
Those investments include apartment projects by Mark-Taylor and Chason Development, Chapman Ford's continued expansion, Fry's upcoming renovation, Comerica Bank, Chase Bank's expansion, Certified Benz & Beemer, and Paul's Ace Hardware renovation.
"There are two properties in escrow that, when announced, will bring the total to $150million, all since the city's Economic Development Department reorganization in November 2010," Mullin said.
That total doesn't include two major projects planned at SkySong, the Arizona State University Scottsdale Innovation Center.
And rising above it all could be an elevated trail in the center of McDowell that would go from the Indian Bend Wash just east of Miller Road to 64th Street at Papago Park and could include a 3,000- to 4,000-seat amphitheater at Papago Park. The proposal could be considered by voters in a bond proposal next year.
Current and future investments are aimed at bringing the McDowell Corridor "back to where it wants to be," Mullin said.
Mayor Jim Lane said there are no subsidies from the city in any of the projects involving that $138million investment.
New dealership
In 2008, Penske Automotive Group Inc. closed its Scottsdale Jaguar and Scottsdale Land Rover dealership at 6725 E. McDowell. Last November, Certified Benz & Beemer purchased the property from Penske and moved its pre-owned luxury-auto business from Mesa to McDowell.
"We started out in Mesa back in 2006, and we had 30 cars and 10 employees," manager Normand Neal said.
"Today, we have about 200 cars and over 40 employees, and we're estimating our annual sales this year to be about $45million."
A Scottsdale address better suits the business because of its focus on luxury autos, he said.
New residential
Chason Development, an upstate New York apartment developer, has purchased from Pitre Properties Ltd. a 5-acre site at the northwestern corner of McDowell and 68th Street. What was once an auto dealership will be transformed into a high-end apartment complex.
Zoning attorney John Berry said Chason plans to invest $25million in the project, which will include 220 units in one-, two- and three-story buildings, and reuse the existing parking garage.
The units along McDowell will feature stoops, or porches, with steps to bring the "activity out front."
"This is something we haven't seen in Scottsdale yet," Berry said.
The project would provide access to the nearby canal and could include landscaping the canal, he said.
In the meantime, Mark-Taylor expects to begin demolition next month to make way for its 536-unit luxury-apartment complex on 27 acres at the southeastern corner of 74th Street and McDowell.
The project represents a $75 million investment, and rents will average about $1,200 a month, said Scott Taylor, Mark-Taylor's president.
The project already has spurred commercial redevelopment in the area.
Fry's spokeswoman JoEllen Lynn said the Fry's store on McDowell west of Hayden Road will be remodeled and expanded in anticipation of the increased population in the area.
Work should begin in June with completion slated for January.
SkySong
Employment at SkySong has reached more than 1,000, and it has generated more than $397million in economic impact for the city since its inception, according to a new report from the Greater Phoenix Economic Council.
The complex, at the southeastern corner of Scottsdale Road and McDowell, now includes more than 70 companies and has reached 97 percent occupancy.
The foundation expects to have a third office building and a 325-unit apartment complex under construction at SkySong in the coming months.
Construction permits should be obtained within 90 days for the apartments, said Don Couvillion, vice president of real estate for the ASU Foundation.
Pre-leasing has begun for the third office building, SkySong III, he said.
By Edward Gately, The Republic|azcentral.com Feb 23, 2012
Investors have eye on McDowell Corridor - USATODAY.com
It was standing-room only at a recent meeting of the Scottsdale City Council Subcommittee on Economic Development, where project representatives gave updates on their plans to kick-start revitalization on McDowell.
Residents learned that there already is new investment in the area and that more is on the way. In all, the corridor has attracted about $138million in private investment money in the past two years, said Jim Mullin, the city's economic-vitality director.
Those investments include apartment projects by Mark-Taylor and Chason Development, Chapman Ford's continued expansion, Fry's upcoming renovation, Comerica Bank, Chase Bank's expansion, Certified Benz & Beemer, and Paul's Ace Hardware renovation.
"There are two properties in escrow that, when announced, will bring the total to $150million, all since the city's Economic Development Department reorganization in November 2010," Mullin said.
That total doesn't include two major projects planned at SkySong, the Arizona State University Scottsdale Innovation Center.
And rising above it all could be an elevated trail in the center of McDowell that would go from the Indian Bend Wash just east of Miller Road to 64th Street at Papago Park and could include a 3,000- to 4,000-seat amphitheater at Papago Park. The proposal could be considered by voters in a bond proposal next year.
Current and future investments are aimed at bringing the McDowell Corridor "back to where it wants to be," Mullin said.
Mayor Jim Lane said there are no subsidies from the city in any of the projects involving that $138million investment.
New dealership
In 2008, Penske Automotive Group Inc. closed its Scottsdale Jaguar and Scottsdale Land Rover dealership at 6725 E. McDowell. Last November, Certified Benz & Beemer purchased the property from Penske and moved its pre-owned luxury-auto business from Mesa to McDowell.
"We started out in Mesa back in 2006, and we had 30 cars and 10 employees," manager Normand Neal said.
"Today, we have about 200 cars and over 40 employees, and we're estimating our annual sales this year to be about $45million."
A Scottsdale address better suits the business because of its focus on luxury autos, he said.
New residential
Chason Development, an upstate New York apartment developer, has purchased from Pitre Properties Ltd. a 5-acre site at the northwestern corner of McDowell and 68th Street. What was once an auto dealership will be transformed into a high-end apartment complex.
Zoning attorney John Berry said Chason plans to invest $25million in the project, which will include 220 units in one-, two- and three-story buildings, and reuse the existing parking garage.
The units along McDowell will feature stoops, or porches, with steps to bring the "activity out front."
"This is something we haven't seen in Scottsdale yet," Berry said.
The project would provide access to the nearby canal and could include landscaping the canal, he said.
In the meantime, Mark-Taylor expects to begin demolition next month to make way for its 536-unit luxury-apartment complex on 27 acres at the southeastern corner of 74th Street and McDowell.
The project represents a $75 million investment, and rents will average about $1,200 a month, said Scott Taylor, Mark-Taylor's president.
The project already has spurred commercial redevelopment in the area.
Fry's spokeswoman JoEllen Lynn said the Fry's store on McDowell west of Hayden Road will be remodeled and expanded in anticipation of the increased population in the area.
Work should begin in June with completion slated for January.
SkySong
Employment at SkySong has reached more than 1,000, and it has generated more than $397million in economic impact for the city since its inception, according to a new report from the Greater Phoenix Economic Council.
The complex, at the southeastern corner of Scottsdale Road and McDowell, now includes more than 70 companies and has reached 97 percent occupancy.
The foundation expects to have a third office building and a 325-unit apartment complex under construction at SkySong in the coming months.
Construction permits should be obtained within 90 days for the apartments, said Don Couvillion, vice president of real estate for the ASU Foundation.
Pre-leasing has begun for the third office building, SkySong III, he said.
By Edward Gately, The Republic|azcentral.com Feb 23, 2012
Investors have eye on McDowell Corridor - USATODAY.com
Tuesday, February 7, 2012
Apartments are planned
A four-story, 274-unit apartment complex would replace Plaza 777 on the southern edge of downtown Scottsdale under plans recently submitted.
The proposed Bauhaus Flats & Studios would be built on 4.4 acres northeast of Scottsdale and Thomas roads and on an adjacent ¾-acre parcel on 73rd Street. It would include about 10,000 square feet of commercial space.
The shopping plaza, built in 1960, includes a florist, locksmith, rental-car agency, restaurant, hobby shop and Plato's Closet clothing store. More than half of the 40,251-square-foot plaza is vacant.
Architect Kristjan Sigurdsson of K&I Homes LLC said there is high demand for apartments in the area because virtually no units have been built downtown in the last decade.
"This would be a nice addition to that whole housing market," he said, adding that the Bauhaus apartments would be within walking distance of neighborhood commercial services.
The area has a diverse mix that includes a supermarket, hardware store, coffee shop, bowling alley, adult bookstore, car wash, bail bondsman and pawnshops.
The Sphinx Ranch Gourmet Gift Market, which has operated in the Valley for 61 years, is two doors to the north. Jason Heetland, Sphinx Ranch owner, said it's time for something to be done to update the area.
"I would hope that the current tenants would have a first right of refusal to lease space" in the Bauhaus' shops, Heetland said.
Area business owners have struggled for nearly a year with Scottsdale Road streetscape improvements, he said. The developers are seeking a rezoning for the Plaza 777 site from commercial to planned-unit development.
The development team includes architect Sigurdsson, Tom Frankel and Keith Nygren. KT777 LLC bought the plaza for $2.58 million.
No date has been set for the rezoning hearings.
by Peter Corbett - Feb. 3, 2012 02:33 PM The Republic | azcentral.com
Apartments are planned
The proposed Bauhaus Flats & Studios would be built on 4.4 acres northeast of Scottsdale and Thomas roads and on an adjacent ¾-acre parcel on 73rd Street. It would include about 10,000 square feet of commercial space.
The shopping plaza, built in 1960, includes a florist, locksmith, rental-car agency, restaurant, hobby shop and Plato's Closet clothing store. More than half of the 40,251-square-foot plaza is vacant.
Architect Kristjan Sigurdsson of K&I Homes LLC said there is high demand for apartments in the area because virtually no units have been built downtown in the last decade.
"This would be a nice addition to that whole housing market," he said, adding that the Bauhaus apartments would be within walking distance of neighborhood commercial services.
The area has a diverse mix that includes a supermarket, hardware store, coffee shop, bowling alley, adult bookstore, car wash, bail bondsman and pawnshops.
The Sphinx Ranch Gourmet Gift Market, which has operated in the Valley for 61 years, is two doors to the north. Jason Heetland, Sphinx Ranch owner, said it's time for something to be done to update the area.
"I would hope that the current tenants would have a first right of refusal to lease space" in the Bauhaus' shops, Heetland said.
Area business owners have struggled for nearly a year with Scottsdale Road streetscape improvements, he said. The developers are seeking a rezoning for the Plaza 777 site from commercial to planned-unit development.
The development team includes architect Sigurdsson, Tom Frankel and Keith Nygren. KT777 LLC bought the plaza for $2.58 million.
No date has been set for the rezoning hearings.
by Peter Corbett - Feb. 3, 2012 02:33 PM The Republic | azcentral.com
Apartments are planned
Tuesday, January 31, 2012
Scottsdale renter fights to stay in foreclosed home
If Scottsdale had a railroad line, Bill Flood said, his rental house would be considered south of the tracks.
As it is, his three-bedroom home southwest of Hayden and McDowell roads is in a neighborhood hit hard by foreclosures over the past few years.
Flood got an eviction notice a few days after a Jan. 6 trustee sale but is fighting to stay in his home of 15 years on East Moreland Street. The home sold for $98,000, said Flood, who attended the trustee sale.
"It was like they stabbed me in the back," he said of the new owner, Patrick Kirker of Perth Development LLC of California.
Flood is among thousands of area renters affected by the housing meltdown. They often are unaware that their landlord is in default on their mortgage until after a foreclosure and a trustee sale.
That's when a new owner knocks on the door or sends a notice to evict them. Flood was aware his rental home had been sold but he believed his lease would protect him.
Rental tenants who are current on their rent have legal protections under the federal Protecting Tenants at Foreclosure Act of 2009.
Flood has a valid lease with former property owner Margret Williams through February 2013, said Robert Nagle, a Phoenix attorney representing Flood.
That gives him the right to stay in the home through the terms of the lease unless the new owner wanted to move into the home. Then Flood would be given 90 days to move out, Nagle said.
Fair-market rent
However, the federal act does not protect a tenant who is a child, parent or spouse of the previous owner. The lease has to be a proper arms-length transaction and the renter must be paying rent that is not substantially below market value.
In this case, the arms-length transaction and fair-market rent is in dispute, said Scottsdale attorney Mark Zinman, representing Perth Development. He declined further comment saying any evidence would be presented in court, unless a settlement can be reached.
Flood and Williams had been domestic partners but now are friends and she looks after Flood's 13 dogs when he is at work as a plumber, Nagle said.
Flood said he paid $500 a month in cash to Williams in rent and did repairs on the 1,200-square-foot home that was built in 1958.
Flood admits that the house is in poor condition with holes in the walls, a leaky roof and only an evaporative cooler that he installed to keep it habitable in the summer.
Forging a settlement
He said he has tried to work with the new owner to move out before the lease expires or pay more rent if they fixed the house up.
"They say the want to gut it, fix it up and rent it out," Flood said. "I think they just want me out."
Flood said he was offered $1,000 to move out within 30 days but it would take him at least 60 days to move all the belongings he has collected after 15 years in the home.
Nagle said there is a middle-ground solution that would be more cost-effective for both parties short of litigation.
Meanwhile, tenant leases are among the complicating risks for investors buying foreclosed property, he said.
"That's why people prefer to buy retail or short-sale homes," Nagle added.
by Peter Corbett - Jan. 27, 2012 08:36 AM The Republic | azcentral.com
Scottsdale renter fights to stay in foreclosed home
As it is, his three-bedroom home southwest of Hayden and McDowell roads is in a neighborhood hit hard by foreclosures over the past few years.
Flood got an eviction notice a few days after a Jan. 6 trustee sale but is fighting to stay in his home of 15 years on East Moreland Street. The home sold for $98,000, said Flood, who attended the trustee sale.
"It was like they stabbed me in the back," he said of the new owner, Patrick Kirker of Perth Development LLC of California.
Flood is among thousands of area renters affected by the housing meltdown. They often are unaware that their landlord is in default on their mortgage until after a foreclosure and a trustee sale.
That's when a new owner knocks on the door or sends a notice to evict them. Flood was aware his rental home had been sold but he believed his lease would protect him.
Rental tenants who are current on their rent have legal protections under the federal Protecting Tenants at Foreclosure Act of 2009.
Flood has a valid lease with former property owner Margret Williams through February 2013, said Robert Nagle, a Phoenix attorney representing Flood.
That gives him the right to stay in the home through the terms of the lease unless the new owner wanted to move into the home. Then Flood would be given 90 days to move out, Nagle said.
Fair-market rent
However, the federal act does not protect a tenant who is a child, parent or spouse of the previous owner. The lease has to be a proper arms-length transaction and the renter must be paying rent that is not substantially below market value.
In this case, the arms-length transaction and fair-market rent is in dispute, said Scottsdale attorney Mark Zinman, representing Perth Development. He declined further comment saying any evidence would be presented in court, unless a settlement can be reached.
Flood and Williams had been domestic partners but now are friends and she looks after Flood's 13 dogs when he is at work as a plumber, Nagle said.
Flood said he paid $500 a month in cash to Williams in rent and did repairs on the 1,200-square-foot home that was built in 1958.
Flood admits that the house is in poor condition with holes in the walls, a leaky roof and only an evaporative cooler that he installed to keep it habitable in the summer.
Forging a settlement
He said he has tried to work with the new owner to move out before the lease expires or pay more rent if they fixed the house up.
"They say the want to gut it, fix it up and rent it out," Flood said. "I think they just want me out."
Flood said he was offered $1,000 to move out within 30 days but it would take him at least 60 days to move all the belongings he has collected after 15 years in the home.
Nagle said there is a middle-ground solution that would be more cost-effective for both parties short of litigation.
Meanwhile, tenant leases are among the complicating risks for investors buying foreclosed property, he said.
"That's why people prefer to buy retail or short-sale homes," Nagle added.
by Peter Corbett - Jan. 27, 2012 08:36 AM The Republic | azcentral.com
Scottsdale renter fights to stay in foreclosed home
Sunday, December 18, 2011
Monthly median Scottsdale home prices are 'encouraging'
Scottsdale's median home prices in 2011 have ranged from a high of $359,000 in August to a low of $317,000 in September, according to monthly reports from Arizona State University Realty Studies.
As the year draws to a close, the median price in November of $345,000 was up 1.5 percent from a year earlier and 1.12 percent higher than it was at the start of 2011.
Throw out the high and low prices of August and September and Scottsdale's average monthly median price was $342,797 through November.
• Scottsdale home, condo prices through the year
For most of the year, the monthly median prices were down year-over-year from 1 percent to 10 percent. Only September and November recorded price increases of 3.6 percent and 1.5 percent, respectively.
"All of the numbers are encouraging," said Jeffrey Smith, West USA Realty vice president.
The inventory of houses is about 19,300 homes in Maricopa County, down from 54,000 less than two years ago, he said.
"There is demand for housing even though the demand is on vacation right now" until after the first of the year, Smith said.
Good homes, priced right are selling quickly in Scottsdale, he said.
Foreclosures a factor
Foreclosures are still a drag on the Scottsdale housing market but that could be changing.
In January, 29 percent of home sales were foreclosures and by November that declined to 16 percent, a low for the year.
That is far below the foreclosure figure for Maricopa County, which was 29 percent in November. The median home price countywide last month was $126,000, down 6.7 percent from a year earlier.
Jay Butler, ASU business professor emeritus, said another surge of foreclosures is possible in the spring if low consumer confidence prompts more people to give up on their homes.
"However, the key issue in the coming year will be whether investors become less of a factor and the homeowner-occupant market begins to improve," said Butler, author of ASU's monthly report on resale homes.
ASU tracks resale home prices, total sales and foreclosures in a monthly report. The latest report was released this week. The median price is the midpoint of all the sales.
Home sales on rise
Scottsdale home sales through November were 5,810, up 5 percent for the same period a year earlier.
Previously foreclosed houses accounted for 40 percent of sales countywide in November and were 18 percent of sales in north Scottsdale.
Scottsdale's median price for condominium and townhouse sales in November was $125,000, down 1.7 percent from a year earlier.
Condo prices started the year at $146,825, dipped to $115,250 in August and declined every month year-over-year except for September, which saw a 5 percent jump in prices.
Foreclosures accounted for a third of the condo sales in January and February but fell to 18 percent in November, the lowest figures this year.
Buyers purchased 3,214 condos through November, down 6 percent from 2010.
The median price of condo foreclosure sales in Scottsdale last month was $98,450. That is the first time the price has fallen below $100,000 in recent years.
Maricopa County's median price for condos and townhouses was $80,825 in November, down 0.2 percent from a year ago.
by Peter Corbett The Arizona Republic Dec. 16, 2011 08:58 AM
Monthly median Scottsdale home prices are 'encouraging'
As the year draws to a close, the median price in November of $345,000 was up 1.5 percent from a year earlier and 1.12 percent higher than it was at the start of 2011.
Throw out the high and low prices of August and September and Scottsdale's average monthly median price was $342,797 through November.
• Scottsdale home, condo prices through the year
For most of the year, the monthly median prices were down year-over-year from 1 percent to 10 percent. Only September and November recorded price increases of 3.6 percent and 1.5 percent, respectively.
"All of the numbers are encouraging," said Jeffrey Smith, West USA Realty vice president.
The inventory of houses is about 19,300 homes in Maricopa County, down from 54,000 less than two years ago, he said.
"There is demand for housing even though the demand is on vacation right now" until after the first of the year, Smith said.
Good homes, priced right are selling quickly in Scottsdale, he said.
Foreclosures a factor
Foreclosures are still a drag on the Scottsdale housing market but that could be changing.
In January, 29 percent of home sales were foreclosures and by November that declined to 16 percent, a low for the year.
That is far below the foreclosure figure for Maricopa County, which was 29 percent in November. The median home price countywide last month was $126,000, down 6.7 percent from a year earlier.
Jay Butler, ASU business professor emeritus, said another surge of foreclosures is possible in the spring if low consumer confidence prompts more people to give up on their homes.
"However, the key issue in the coming year will be whether investors become less of a factor and the homeowner-occupant market begins to improve," said Butler, author of ASU's monthly report on resale homes.
ASU tracks resale home prices, total sales and foreclosures in a monthly report. The latest report was released this week. The median price is the midpoint of all the sales.
Home sales on rise
Scottsdale home sales through November were 5,810, up 5 percent for the same period a year earlier.
Previously foreclosed houses accounted for 40 percent of sales countywide in November and were 18 percent of sales in north Scottsdale.
Scottsdale's median price for condominium and townhouse sales in November was $125,000, down 1.7 percent from a year earlier.
Condo prices started the year at $146,825, dipped to $115,250 in August and declined every month year-over-year except for September, which saw a 5 percent jump in prices.
Foreclosures accounted for a third of the condo sales in January and February but fell to 18 percent in November, the lowest figures this year.
Buyers purchased 3,214 condos through November, down 6 percent from 2010.
The median price of condo foreclosure sales in Scottsdale last month was $98,450. That is the first time the price has fallen below $100,000 in recent years.
Maricopa County's median price for condos and townhouses was $80,825 in November, down 0.2 percent from a year ago.
by Peter Corbett The Arizona Republic Dec. 16, 2011 08:58 AM
Monthly median Scottsdale home prices are 'encouraging'
Lofts planned near stadium
A proposal for a $100 million-plus apartment complex along Miller Road just east of Scottsdale Stadium and the San Francisco Giants training complex has some residents complaining that it will be too tall and too big for the property and their neighborhood.
Scottsdale-based Continental Group wants to build Bristol Stadium Lofts, which would tentatively include 224 units with nine stories closest to the stadium and descending to five stories on the Miller side. The complex would be built on a 1.7-acre lot west of Miller and north of Osborn Road. There are four vacant buildings there now.
The complex could include three levels of underground parking with more than 370 parking spaces. The only entrance to underground parking would be on Miller.
Continental Group's proposal is seeking a building-height increase and other amendments to existing development standards under the city's downtown infill-incentive district and plan. The developer already has scaled back the maximum height from 125 feet to 85 feet after speaking with residents and city planners.
"The property as it now stands needs to be redeveloped -- it's past its prime," said Terry O'Neill, project manager. "You have (Scottsdale Healthcare Osborn Medical Center) expanding with the new tower going up, and there is a need for rental accommodation for Scottsdale and especially for the new employees of the hospital."
"We think that the neighborhood has fallen into a dilapidated state, and it's time to make a change," said John Lupypciw, Continental Group's CEO. "We don't need a larger parcel to develop this fabulous opportunity. It's about the design and how you structure to fit the property."
The developer met with more than 20 residents at the site recently to explain the plans and receive input. Several residents said they like the concept and design, but it's just too big for this
by Edward Gately The Arizona Republic Dec. 9, 2011 02:13 PM
Lofts planned near stadium
Scottsdale-based Continental Group wants to build Bristol Stadium Lofts, which would tentatively include 224 units with nine stories closest to the stadium and descending to five stories on the Miller side. The complex would be built on a 1.7-acre lot west of Miller and north of Osborn Road. There are four vacant buildings there now.
The complex could include three levels of underground parking with more than 370 parking spaces. The only entrance to underground parking would be on Miller.
Continental Group's proposal is seeking a building-height increase and other amendments to existing development standards under the city's downtown infill-incentive district and plan. The developer already has scaled back the maximum height from 125 feet to 85 feet after speaking with residents and city planners.
"The property as it now stands needs to be redeveloped -- it's past its prime," said Terry O'Neill, project manager. "You have (Scottsdale Healthcare Osborn Medical Center) expanding with the new tower going up, and there is a need for rental accommodation for Scottsdale and especially for the new employees of the hospital."
"We think that the neighborhood has fallen into a dilapidated state, and it's time to make a change," said John Lupypciw, Continental Group's CEO. "We don't need a larger parcel to develop this fabulous opportunity. It's about the design and how you structure to fit the property."
The developer met with more than 20 residents at the site recently to explain the plans and receive input. Several residents said they like the concept and design, but it's just too big for this
by Edward Gately The Arizona Republic Dec. 9, 2011 02:13 PM
Lofts planned near stadium
Scottsdale buys nearly 2,000 acres for Sonoran Preserve
Scottsdale was the winning and only bidder Wednesday for 1,937 acres of state trust land that will be added to the McDowell Sonoran Preserve.
State Land Commissioner Maria Baier said the city paid the appraised price of $41 million for the land. That amounts to $21,165 per acre.
The Scottsdale Preserve South parcel is on both sides of Rio Verde Drive between the alignments of 122nd to 136th streets.
Scottsdale hopes to buy another 2,482 acres of state trust land for its preserve next Wednesday. That land, valued at $45 million, is northeast of Pima Road and Dynamite Boulevard and along Lone Mountain Road to 136th Street.
by Peter Corbett The Arizona Republic Dec. 7, 2011 03:19 PM
Scottsdale buys nearly 2,000 acres for Sonoran Preserve
State Land Commissioner Maria Baier said the city paid the appraised price of $41 million for the land. That amounts to $21,165 per acre.
The Scottsdale Preserve South parcel is on both sides of Rio Verde Drive between the alignments of 122nd to 136th streets.
Scottsdale hopes to buy another 2,482 acres of state trust land for its preserve next Wednesday. That land, valued at $45 million, is northeast of Pima Road and Dynamite Boulevard and along Lone Mountain Road to 136th Street.
by Peter Corbett The Arizona Republic Dec. 7, 2011 03:19 PM
Scottsdale buys nearly 2,000 acres for Sonoran Preserve
Tuesday, December 13, 2011
Scottsdale infill projects to begin in 2012
Scottsdale residents are expected to get their first glimpse next year of construction resulting from the city's controversial downtown infill-incentive district and plan.
Construction on the first phase of Blue Sky, Gray Development Group's apartment complex near the northeastern corner of Scottsdale and Camelback Roads, is to begin late in the second quarter. It will include more than 700 units, three buildings and a maximum building height of 128 feet.
The proposal originally was filed in summer 2010, just after the City Council narrowly approved the district and plan. Those allow property owners downtown to request amended development standards, such as increased height and density, in exchange for public benefits, such as investment in public art and amenities.
The changes established a building-height maximum of 150 feet north of the Arizona Canal and surrounding Scottsdale Healthcare Osborn Medical Center.
Five proposals have been filed under the changes, the latest being Bristol Stadium Lofts, a multistory apartment complex north of the northwestern corner of Osborn and Miller Roads, and just east of Scottsdale Stadium and the San Francisco Giants training complex. It would tentatively include 224 units with nine stories closest to the stadium, and descending to five stories near Miller.
Dan Symer, senior city planner, drafted the downtown infill-incentive plan. He said Blue Sky, along with the second phase of the Safari Drive condominium complex and other projects, likely wouldn't have been brought forward had it not been for the district and plan.
In August, the council approved ST Residential's proposal for the second phase of Safari Drive, just east of the Blue Sky site. It includes an increase in maximum building height to 105 feet from 65 feet.
"Blue Sky and Safari are doing canal improvements, and those are big-ticket items that if they didn't do them the city would have to do them," Symer said. "For an infill-incentive district to offset those costs, I think it is successful. Blue Sky's canal improvements ... are estimated to be $400,000-$500,000, and we get the street improvements, which are quite a bit of money."
Coming up
Last month, Gray Development submitted its design-review application, which could go before the Development Review Board and the council during the first quarter, said Brian Kearney, Gray's chief operating officer.
"The overall design is consistent with what was presented to the council in April, although it has been enhanced in several ways,'' he said.
They include materials that enhance the exterior, development of all lower roof decks as integrated, active spaces and an improved architectural and shade feature at the top of the main building on Scottsdale Road, he said.
The Development Review Board will look at the proposal at its Dec. 15 meeting, but won't take action until a later meeting, Symer said.
He added that Safari Drive is working on its design-review application.
"They're coordinating with Blue Sky on utilities and things like that because they're right next to each other," he said.
Other applicants who have benefited from the infill-incentive changes still have a way to go in terms of specific plans.
In June, the council approved an infill-incentive proposal that increases the maximum building height from 50 feet to 90 feet on the property that now houses the U.S. Egg restaurant on the southwestern corner of Scottsdale Road and Angus Drive, and vacant property to the north.
The proposal didn't include a specific site plan or building elevations, said John Berry, the property owners' zoning attorney. The zoning change and amended development standards are needed to make the property more marketable and accelerate development, he said.
Interest in the site is expected to pick up as the economy slowly improves and the banks are willing to lend on good, quality projects, he said.
Scottsdale-based Continental Group, which wants to develop Bristol Stadium Lofts, has been meeting with residents and city planning officials to obtain feedback on its proposal. The proposal will be considered by the Development Review Board at an upcoming meeting.
Numerous residents have said the complex would be too big and tall for the property and the neighborhood. Terry O'Neil, project manager, said the height has been scaled down from 125 feet, and that more changes may be made before the proposal goes to the council.
"We don't need another public outreach, but if any resident would like more information, I'm open to meeting anywhere," he said.
Higher they go
The owner of a partially demolished building near Scottsdale and Camelback roads wants even more building height than originally requested in its infill-incentive proposal.
The original proposal called for replacing the building with a taller, mixed-use development including restaurant and office space along with one residential unit. The owner and developer is CF Waterfront Investments LLC.
The original proposal asked the city to increase the maximum building height to 65 feet from 36 feet.
The application hasn't progressed through the city's approval process, and has expired, Symer said.
"They would have to resubmit," Symer said. "I haven't heard anything. That was one of the ones we were hoping to first come out of the ground to show that this is what can be done, and unfortunately it died."
Bill Wisniewski, who owns Realty Unlimited, represents CF Waterfront Investments LLC. He said the project is far from dead.
The developer plans to ask for a maximum building height of about 90 feet, he said. It purchased the property just east of the site and wants to locate a parking structure there for tenants and patrons of the mixed-use building, he said.
However, the city doesn't want a parking facility on that lot, and that has delayed the project, Wisniewski said.
"We're ready to move forward on that project," he said. "There's plenty of money for the construction and the blueprints are ready to go."
Current zoning does not permit a parking garage as a stand-alone use on the property, Symer said.
by Edward Gately The Arizona Republic Dec. 8, 2011 08:26 AM
Scottsdale infill projects to begin in 2012
Construction on the first phase of Blue Sky, Gray Development Group's apartment complex near the northeastern corner of Scottsdale and Camelback Roads, is to begin late in the second quarter. It will include more than 700 units, three buildings and a maximum building height of 128 feet.
The proposal originally was filed in summer 2010, just after the City Council narrowly approved the district and plan. Those allow property owners downtown to request amended development standards, such as increased height and density, in exchange for public benefits, such as investment in public art and amenities.
The changes established a building-height maximum of 150 feet north of the Arizona Canal and surrounding Scottsdale Healthcare Osborn Medical Center.
Five proposals have been filed under the changes, the latest being Bristol Stadium Lofts, a multistory apartment complex north of the northwestern corner of Osborn and Miller Roads, and just east of Scottsdale Stadium and the San Francisco Giants training complex. It would tentatively include 224 units with nine stories closest to the stadium, and descending to five stories near Miller.
Dan Symer, senior city planner, drafted the downtown infill-incentive plan. He said Blue Sky, along with the second phase of the Safari Drive condominium complex and other projects, likely wouldn't have been brought forward had it not been for the district and plan.
In August, the council approved ST Residential's proposal for the second phase of Safari Drive, just east of the Blue Sky site. It includes an increase in maximum building height to 105 feet from 65 feet.
"Blue Sky and Safari are doing canal improvements, and those are big-ticket items that if they didn't do them the city would have to do them," Symer said. "For an infill-incentive district to offset those costs, I think it is successful. Blue Sky's canal improvements ... are estimated to be $400,000-$500,000, and we get the street improvements, which are quite a bit of money."
Coming up
Last month, Gray Development submitted its design-review application, which could go before the Development Review Board and the council during the first quarter, said Brian Kearney, Gray's chief operating officer.
"The overall design is consistent with what was presented to the council in April, although it has been enhanced in several ways,'' he said.
They include materials that enhance the exterior, development of all lower roof decks as integrated, active spaces and an improved architectural and shade feature at the top of the main building on Scottsdale Road, he said.
The Development Review Board will look at the proposal at its Dec. 15 meeting, but won't take action until a later meeting, Symer said.
He added that Safari Drive is working on its design-review application.
"They're coordinating with Blue Sky on utilities and things like that because they're right next to each other," he said.
Other applicants who have benefited from the infill-incentive changes still have a way to go in terms of specific plans.
In June, the council approved an infill-incentive proposal that increases the maximum building height from 50 feet to 90 feet on the property that now houses the U.S. Egg restaurant on the southwestern corner of Scottsdale Road and Angus Drive, and vacant property to the north.
The proposal didn't include a specific site plan or building elevations, said John Berry, the property owners' zoning attorney. The zoning change and amended development standards are needed to make the property more marketable and accelerate development, he said.
Interest in the site is expected to pick up as the economy slowly improves and the banks are willing to lend on good, quality projects, he said.
Scottsdale-based Continental Group, which wants to develop Bristol Stadium Lofts, has been meeting with residents and city planning officials to obtain feedback on its proposal. The proposal will be considered by the Development Review Board at an upcoming meeting.
Numerous residents have said the complex would be too big and tall for the property and the neighborhood. Terry O'Neil, project manager, said the height has been scaled down from 125 feet, and that more changes may be made before the proposal goes to the council.
"We don't need another public outreach, but if any resident would like more information, I'm open to meeting anywhere," he said.
Higher they go
The owner of a partially demolished building near Scottsdale and Camelback roads wants even more building height than originally requested in its infill-incentive proposal.
The original proposal called for replacing the building with a taller, mixed-use development including restaurant and office space along with one residential unit. The owner and developer is CF Waterfront Investments LLC.
The original proposal asked the city to increase the maximum building height to 65 feet from 36 feet.
The application hasn't progressed through the city's approval process, and has expired, Symer said.
"They would have to resubmit," Symer said. "I haven't heard anything. That was one of the ones we were hoping to first come out of the ground to show that this is what can be done, and unfortunately it died."
Bill Wisniewski, who owns Realty Unlimited, represents CF Waterfront Investments LLC. He said the project is far from dead.
The developer plans to ask for a maximum building height of about 90 feet, he said. It purchased the property just east of the site and wants to locate a parking structure there for tenants and patrons of the mixed-use building, he said.
However, the city doesn't want a parking facility on that lot, and that has delayed the project, Wisniewski said.
"We're ready to move forward on that project," he said. "There's plenty of money for the construction and the blueprints are ready to go."
Current zoning does not permit a parking garage as a stand-alone use on the property, Symer said.
by Edward Gately The Arizona Republic Dec. 8, 2011 08:26 AM
Scottsdale infill projects to begin in 2012
Scottsdale City Council rejects airpark apartment complex
A divided Scottsdale City Council Tuesday rejected a proposal to build an apartment complex in the Scottsdale Airpark despite assurances from the property owner's attorney that it wouldn't harm operations at Scottsdale Airport.
The council voted 4-3 against adopting a non-major General Plan amendment to the Greater Airpark Character Area Plan that would have allowed a 605-unit apartment complex south of Hayden Road and west of Northsight Boulevard.
Sunrise Luxury Living, a multifamily residential developer, wanted to develop a complex on the site, which was vacated by an auto dealership more than two years ago.
"We're obviously disappointed, especially with some of the changes that we had agreed to," said Michael Curley, an attorney representing property owner Joe Cardinale. "We thought that we addressed the council's concerns, but reasonable people can reasonably disagree. You win some, you lose some."
Mayor Jim Lane, and council members Lisa Borowsky, Bob Littlefield and Ron McCullagh voted for a motion to reject the proposal. Vice Mayor Linda Milhaven and council members Suzanne Klapp and Dennis Robbins, who favored the proposal, voted against the motion.
The council has approved two other plans to build apartments in the airpark. One will be a complex near the northwestern corner of Greenway-Hayden Loop and 73rd Street, and the other will be a mixed-use development on the site that currently houses CrackerJax Family Fun and Sports Park.
Opponents of the proposals, including Littlefield, members of the Airport Advisory Commission, pilots and others, have said allowing residential at the airpark will constitute a violation of land-use policy approved by the council and the Federal Aviation Administration, and therefore jeopardize existing and future grants to the airport.
Last month, Curley asked the council to postpone consideration of the Hayden-Northsight proposal because his client wanted to get more information from the FAA. On Tuesday, he told the council FAA officials via conference call said none of the three proposals would be a threat to federal-grant assurances.
He also told the council the site plan would be revised to move all residential units out of the 55-decibel, day-to-night average noise level contour surrounding the airport. Doing so would reduce the number of units and no residential would be located along Hayden, he said.
Littlefield said Curley assurred the council that he would bring back a letter from the FAA, and instead relayed information from a phone call with the agency.
"Why are we threatening the airport for apartments?" Littlefield said. "Even if those grant assurances were not in danger, the vitality and survivability of the airport are threatened."
Lane said Airport Advisory Commission Chairman Gunnar Buzzard spoke with FAA officials and was told grant assurances wouldn't be threatened by the Hayden-Northsight proposal. However, the mayor said he couldn't support the proposal because it represented an "encroachment" of the noise-level contours and is an incompatible land use in that area.
Milhaven said it comes down to a "matter of opinion" as to whether residential should be located in the airpark, and that the city can't afford to wait for the economy to rebound before the airpark sees improvement. If the city doesn't provide housing in the airpark, "businesses will relocate elsewhere."
by Edward Gately The Arizona Republic Dec. 7, 2011 12:44 PM
Scottsdale City Council rejects airpark apartment complex
The council voted 4-3 against adopting a non-major General Plan amendment to the Greater Airpark Character Area Plan that would have allowed a 605-unit apartment complex south of Hayden Road and west of Northsight Boulevard.
Sunrise Luxury Living, a multifamily residential developer, wanted to develop a complex on the site, which was vacated by an auto dealership more than two years ago.
"We're obviously disappointed, especially with some of the changes that we had agreed to," said Michael Curley, an attorney representing property owner Joe Cardinale. "We thought that we addressed the council's concerns, but reasonable people can reasonably disagree. You win some, you lose some."
Mayor Jim Lane, and council members Lisa Borowsky, Bob Littlefield and Ron McCullagh voted for a motion to reject the proposal. Vice Mayor Linda Milhaven and council members Suzanne Klapp and Dennis Robbins, who favored the proposal, voted against the motion.
The council has approved two other plans to build apartments in the airpark. One will be a complex near the northwestern corner of Greenway-Hayden Loop and 73rd Street, and the other will be a mixed-use development on the site that currently houses CrackerJax Family Fun and Sports Park.
Opponents of the proposals, including Littlefield, members of the Airport Advisory Commission, pilots and others, have said allowing residential at the airpark will constitute a violation of land-use policy approved by the council and the Federal Aviation Administration, and therefore jeopardize existing and future grants to the airport.
Last month, Curley asked the council to postpone consideration of the Hayden-Northsight proposal because his client wanted to get more information from the FAA. On Tuesday, he told the council FAA officials via conference call said none of the three proposals would be a threat to federal-grant assurances.
He also told the council the site plan would be revised to move all residential units out of the 55-decibel, day-to-night average noise level contour surrounding the airport. Doing so would reduce the number of units and no residential would be located along Hayden, he said.
Littlefield said Curley assurred the council that he would bring back a letter from the FAA, and instead relayed information from a phone call with the agency.
"Why are we threatening the airport for apartments?" Littlefield said. "Even if those grant assurances were not in danger, the vitality and survivability of the airport are threatened."
Lane said Airport Advisory Commission Chairman Gunnar Buzzard spoke with FAA officials and was told grant assurances wouldn't be threatened by the Hayden-Northsight proposal. However, the mayor said he couldn't support the proposal because it represented an "encroachment" of the noise-level contours and is an incompatible land use in that area.
Milhaven said it comes down to a "matter of opinion" as to whether residential should be located in the airpark, and that the city can't afford to wait for the economy to rebound before the airpark sees improvement. If the city doesn't provide housing in the airpark, "businesses will relocate elsewhere."
by Edward Gately The Arizona Republic Dec. 7, 2011 12:44 PM
Scottsdale City Council rejects airpark apartment complex
Sunday, November 27, 2011
Scottsdale Quarter development could include apartments, hotel, retail
Further development of the Scottsdale Quarter could include apartments, a hotel and additional retail on the eastern side of the property.
Glimcher Realty Trust has picked the Zaremba Group LLC of Cleveland to build 350 luxury apartments on the 28-acre site southeast of Scottsdale Road and Greenway-Hayden Loop, said Kent Chantung of Zaremba. An $80 million third phase of development would include ground-floor commercial space with an unidentified retail anchor, he said.
Glimcher officials did not return calls seeking comment, and the Scottsdale Quarter would not elaborate on its development strategy.
"There's not much I can share," said Richard Hunt, Scottsdale Quarter general manager. "Phase 3 plans are still being solidified but they include a hotel, residential and retail components."
Chantung said Zaremba and Glimcher would like to begin development by the third quarter of 2012 for the remaining 9 acres of the 28-acre site.
The front two-thirds of the property includes shops, restaurants, offices, a plaza and two parking garages.
Scottsdale Quarter apartments would join a list of more than 5,200 apartments approved or proposed for development in Scottsdale.
The list includes 960 units in two projects northwest of the Scottsdale Airport that Scottsdale City Council approved in October. Plus, an additional 605 apartments east of the airport on Hayden Road the council could consider Dec. 13.
Scottsdale's flurry of apartment projects has raised concerns about overbuilding in that housing sector and objections from aviation interests about building apartments too close to the airport.
The Scottsdale Airport Advisory Commission recommended denial of all three Scottsdale Airpark apartment projects. Commissioners expressed fears that Airpark residents would complain about aircraft noise and pressure the city to restrict airport operations.
This year, Scottsdale Airport has reported a monthly average of 11,855 operations - an aircraft takeoff or landing - through September and 83 noise complaints per month. Those complaints are coming from an average 12 people per month who file one or more complaints.
Renters instead of owners
Scottsdale Quarter's apartment project would be in lieu of condominiums that were envisioned for the development about six years ago.
Glimcher could build up to 410,000 square feet of residential space for apartments or condos, and there is not set number of units allowed, said Bryan Cluff, a city planner.
The city has approved multifamily residential space at the Quarter so the airport commission would not have any input on that project under the current plan, said Gary Mascaro, Scottsdale aviation director.
The commission met Monday to discuss Airpark land-use issues.
Most of the discussion involved a conference call with Anthony Garcia, a Federal Aviation Administration compliance specialist in Los Angeles.
FAA official weighs in
Garcia expressed his concerns about residential development near the Scottsdale Airport and explained how Los Angeles-area airports have been pressured to restrict flight operations because of noise complaints from adjacent neighborhoods.
"It's a limited number of people, but they're persistent," Garcia said of residents filing complaints with the airports.
Santa Monica's airport, which is similar to Scottsdale's, is under extreme pressure from residents, he said.
Michael Goode, airport commission vice chairman, expressed fears that apartment building owners would pressure the city to allow conversion of their units to condos.
Officials agree that condo and homeowners tend to register more noise complaints than apartment dwellers.
"I think we're headed for extinction," Goode said of the Scottsdale Airport.
The commission voted to request a work-study session with the Scottsdale City Council to discuss the Airpark land uses. Garcia of the FAA agreed to participate in the meeting via teleconference.
Mascaro, the aviation director, said no meeting has yet been set.
by Peter Corbett The Arizona Republic Nov. 25, 2011 08:53 AM
Scottsdale Quarter development could include apartments, hotel, retail
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