Archive for April, 2007



AZ Republic – 125-acre Scottsdale Airpark site up for lease

Peter Corbett
The Arizona Republic
Apr. 23, 2007 12:00 AM

 A state trust land auction on Tuesday will test the value of 125 acres in one of Scottsdale’s busiest corridors for corporate offices.

The Arizona State Land Department is offering the land northeast of Loop 101 and Bell Road in a 99-year commercial lease. The appraised land value is $68.5 million, or $550,000 per acre.

Scottsdale in 2005 paid $47.2 million, or $590,000 per acre, for 80 acres of state trust land near the city’s WestWorld event park, which is southeast of Loop 101 and Bell Road.


Office development is robust along Loop 101, especially in this section of north-central Scottsdale, which now is considered part of the expanding Scottsdale Airpark. With more than 50,000 workers, the airpark is the Valley’s third-largest employment center, following downtown Phoenix and the area surrounding Sky Harbor International Airport.

According to Anthony Orlich, a State Land Department lease administrator, five auction bidders registered as of Friday:

• Desert Troon Cos., represented by Grubb and Ellis.

• Park House Holdings LLC, represented by Stephen Sample.

• Opus West, represented by CB Richard Ellis.

• Scottsdale Pima LLC, represented by CB Richard Ellis.

• First Industrial Development Services, represented by Lee & Associates.

Other unregistered bidders could show up to bid on the day of the auction.

The auction is set for 10 a.m. at the State Land Department  

The Holm Group Office: 480-767-2738  Cell: 480-206-4265 

City North Gains $379 million funding deal for Phase 1

The Business Journal of
Phoenix – 9:33 PM MST Tuesday, April 17, 2007

 CityNorth is moving toward a planned fall 2008 opening for its 1 million-square-foot first phase with the help of $379 in additional financing. Partners in the north
Phoenix project, Thomas J. Klutznick Co. of Chicago and Related Urban of New York have been working on the $1.2 billion project for more than a year. Initial funding came from other sources, including their own corporate capital and third-party debt.
The release announcing the new $379 million financing with JER Partners, the private equity arm of the J.E. Robert Cos. of
Virginia, also said the two developers have formalized their relationship. The joint venture inked between Klutznick and Related Urban’s parent, Related Cos., allows the parties to tap into additional resources, said a spokeswoman from
Phoenix.
Phase I of the project, called the High Street district will include 293,000 square feet of retail and restaurants, 306,000 square feet of office space and 409,000 square feet of luxury condominiums and town homes. Officials said they have commitments on 70 percent of retail space, but would not disclose tenants’ names. Phase II will consist of 2.5 million feet and include the Phoenix-area’s second Nordstrom department store. An additional phase calls for a five-star hotel as well as more office and residential space. The project, in the Desert Ridge area, generated controversy after securing a commitment from the city of
Phoenix for $100 million in tax breaks to help with the cost of parking facilities.

AZ Republic – Office building sells for $52 million

Peter Corbett
The Arizona Republic
Apr. 17, 2007 02:46 PM
 

A Gainey Ranch office building has sold for $52 million in a deal believed to be the highest price per square foot for a large, multi-tenant office building in Scottsdale.

The Principal Real Estate Investors of Des Moines bought the three-story Gainey Center I from the New Cities Land Company Inc. of Monterey, Calif., according to CB Richard Ellis, the real estate firm that represented the seller.

“With its sex appeal to the tenant market and its barriers to entry for new development, Scottsdale is on the radar screen of most investors,” said Jim Fijan, who negotiated the deal with his CB Richard Ellis colleague Jerry Roberts.


The 140,756-square-foot building at 8601 N. Scottsdale Road, just south of Doubletree Ranch Road, sold for $369 per square foot.

In a previous top-selling deal in October, a San Diego investment company bought an office building at 7025 N. Scottsdale Road for $32.75 million or $358 per square foot.

Gainey Center, built in 1999, was 97 percent occupied when it sold, with Wells Fargo Bank and the law firm of Kutak Rock as major tenants.

Lease prices for Class A office space in Scottsdale was averaging $30.20 per square foot in the first quarter, up 10 percent from a year ago.

AZ Republic – Parcel near Desert Ridge sells for $149 million

Michael Clancy
The Arizona Republic
Apr. 17, 2007 11:15 AM

 A 269-acre parcel near Desert Ridge Marketplace sold today for a record price in an Arizona State Land Department Auction.

It sold for the appraised price of $149 million.

The buyer was a company called Desert Ridge Holdings, which plans to put 3,700 housing units on it.  

Most of those units will be luxury apartments. There will be 2,800 apartments and other multifamily units, and 900 houses.

The company plans to go immediately to design. They hope to have the development finished in three to five years.

The area is on the southeast corner of 40th Street and Deer Valley Drive

AZ Republic – 2nd Waterfront tower on way

Peter Corbett
The Arizona Republic
Apr. 16, 2007 02:47 PM
Talk about being on top of the world in Scottsdale.

Residents lounging on the rooftop pool deck at the 13-story Scottsdale Waterfront Residences will look out from the city’s tallest building at 143 feet.

Camelback Mountain stands prominently to the northwest, and the 360-degree views include the Papago Buttes, downtown Phoenix and everything from the White Tank Mountains in the West Valley, to Scottsdale’s McDowell Mountains to the Superstition Wilderness east of Mesa.

At night, the city lights shimmer.

“All the residents get to enjoy the penthouse views,” said Geoffrey Edmunds, a development partner with Opus West for the 198 luxury condos.

The Waterfront welcomed the first residents in February in the western tower.

By June, residents should start to occupy the eastern tower, the one closest to Camelback and Scottsdale roads, Edmunds said.

The $240 million condo project is the most prominent landmark of downtown’s redevelopment, which in recent years has totaled more than $3 billion in public and private investment.

The project takes its name from the Arizona Canal, which cuts across the site and its mix of shops, restaurants and offices.

A promenade along the canal, a bridge and plaza will create a new focal point for downtown.

Scottsdale Waterfront, Optima Camelview Village and other luxury condos opening downtown will bring a new tier of luxury residential living to the city.Condos average $1.2 million Buyers at the Waterfront paid an average of $1.2 million for their condos that rise 143 feet above a growing urban scene in a downtown Scottsdale of restaurants, nightclubs and a mix of local and national retailers.

The Waterfront’s last few condos were priced starting at $1.7 million each.

The condos generally match new Scottsdale homes in size, furnishings and amenities with the exception of the yards and attached garages.

Imagine what it would be like to live in a Ritz-Carlton Hotel with a 3,500-square-foot condo instead of standard hotel room.

The Waterfront offers its residents an underground garage, valet parking, a concierge desk and business center.

The lofty pool deck has a zero-edge pool, a spa, gas barbecue grills and an outdoor kitchen.

Residents can work out in a fitness center above the lobby that includes steam rooms in each of the locker rooms.

The Waterfront’s club room, with its plank wooden floors and paneling, will be a gathering spot for residents and available for private functions, including catered meals and parties.

It includes two dining rooms, a professional kitchen and a wine storage room with lockers for every resident.

A patio off the clubroom will look out a landscaped public area along the canal.Shopping an elevator ride away Waterfront residents will have perhaps Arizona’s greatest selection of shopping at the doorstep, what with the adjacent shops and sprawling Scottsdale Fashion Square a stone’s throw away.

They will be just across the canal from the new SouthBridge restaurant and retail project, which should be completed by fall. Developer Fred Unger plans to open the first of his three restaurants, called the Foodbar, in May.

Plus, the shops and galleries of Fifth Avenue and Marshall Way are minutes away.

Downtown’s expanding universe of nightlife has enough options for most tastes and age ranges.

Scottsdale Waterfront itself has a mix or residents ranging from their late 20s to 70s. Only one in five buyers was from out of state, according to Edmunds, the developer.

“These are people we built homes for previously,” he said. “They trust us and didn’t mind buying off blueprints.”

Jeff Roberts, vice president of Opus West, said that the location and amenities attracted buyers.

“There was a clear demand for this style and quality of living that was previously unmet in the marketplace,” Roberts said.

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New Kierland Heritage Listing – Priced at 630k

Kierland Heritage #123 – Scottsdale Arizona 85254  Kierland Heritage is the finest townhouse development in Kierland and this stunning 2,253 sq ft townhouse is the largest floor plan. With 2 bedroom suites upstairs, 1 bedroom/study downstairs, and 3 baths the home is extremely well designed for living, working, and entertaining. You’ll love the soaring 30 foot ceilings, gas fireplace, huge walk in closets, and spacious kitchen. Entertain on the downstairs patio or relax on the upstairs balconies w/ golf course views.  The Holm Group Office: 480-767-2738  Cell: 480-206-4265

AZ Republic – Plaza Lofts creates small-town feel

Grayson Steinberg
The Arizona Republic
Apr. 11, 2007 12:00 AM

 NORTHEAST VALLEY – Alma Shapiro lives in the middle of a shopping center, and while that might seem chaotic for some, Shapiro likes the excitement.

“If I’m bored, I go sit in the park,” said the retired resident of Plaza Lofts at Kierland Commons. “Someone always sits down. I’ll have a conversation.”

Shapiro is one of about 50 residents living at the Plaza Lofts, a development of 30 units that opened about two years ago above the Kierland Commons retail stores. Some people reside there only part of the year, while others live there full-time.


The lofts are part of an increasingly popular and prevalent trend of urban, mixed-use projects in the Valley that let people live, work and play in the same place. This trend in Scottsdale and northeast Phoenix will include CityNorth, Palisene and Scottsdale Crossing, which is planned across Scottsdale Road from Kierland.

Residents include young singles, childless couples and second homeowners.

The trend is a resurgence of what the norm was in many cities for decades, said Daniel “Buzz” Gosnell, president of Dallas-based Woodbine Southwest Corp., Kierland’s developer .

“The town square was always the place that had the activity and the people living there,” Gosnell said.

Artist and Plaza Lofts resident Dale TerBush, 58, likes visiting Barnes & Noble, or spending an evening at the bar without getting into his car.

For Shapiro, her new lifestyle is a refreshing change from when she lived in a 3,800-square-foot house in Paradise Valley. The home was too big for her and the neighborhood wasn’t particularly social, she said.

“You get in your garage, back your car out and do your thing and you never see anyone,” Shapiro said.

She said Kierland feels like a large urban area with all the amenities but has a small-town feel because she gets acquainted with many people that pass through there.

Getting to know one’s neighbors is also another incentive to live in a community like this, Gosnell said.

“You really do feel like you’re in a neighborhood,” said Gosnell, who used to live at the Plaza Lofts before leasing out his unit. “The elevator becomes your front porch.”

TerBush, who lives at Kierland about four months out of the year, also said he doesn’t miss the responsibilities of maintaining a home, like mowing a lawn.

Yet having a lot of amenities at one’s doorstep comes with a hefty price tag. The 54-unit second phase of the Plaza Lofts starts at about $500,000 and goes up to $2.5 million. Construction on the lofts is expected to be completed in November.

TerBush just bought a 2,200-square-foot, two-bedroom loft in the new tower for about $1.5 million to live in full-time.

Living at Kierland is worth the price, he said.

“It’s a very comfortable place to live,” TerBush said. “It’s like going back and living the way it used to be. In Kierland, there’s a main street.”

Gosnell said the expensive, upscale housing market in north Scottsdale and northeast Phoenix dictated higher prices than those that might prevail elsewhere.

“Every price bracket has its limitations,” he said. “Not everyone is going to live in a $100,000 home either.”

These developments also don’t have all the amenities a resident might desire, such as doctor’s offices and grocery stores.

The nearest grocery store is a Safeway near 64th Street and Greenway Parkway .

“There’s always going to be a time when you have to get in your car, and people love their cars here,” Gosnell said. “I don’t think you’ll ever get away from it entirely.”

TerBush said it’s not a problem that Kierland Commons doesn’t have such neighborhood services.

“If you were living in a house, you wouldn’t have that right outside your front door,” he said. “If we achieved perfection, we’d still be disappointed in one way or another.”

Shapiro said, “I’m happy as a clam. I’d never move out.”  

 The Holm Group Office: 480-767-2738  Cell: 480-206-4265

 

AZ Republic – Green condo project proposed on Hayden

Lesley Wright
The Arizona Republic
Apr. 11, 2007 12:00 AM

 SCOTTSDALE – The Scottsdale Planning Commission will decide today whether a developer should tuck a 42-unit condominium complex between the Holy Cross Lutheran Church on Hayden Road and the Continental Golf Course on the Indian Bend Wash.

Modus Development has proposed building five three-story buildings with underground parking – part of a green building design meant to reduce the urban heat island effect.

Attorney John Berry said the project would install solar power, recycle rainwater and use other green devices in the contemporary-style buildings.


“It’s a very cool kind of pioneering project,” Berry said. “It’s really setting the standard for green multifamily projects.”

The development, proposed for 3110 N. Hayden Road, would include a long driveway fronting Hayden and leading back to the site behind the church.

The Planning Commission and the City Council will have to agree to rezone the nearly 2-acre site from office zoning to high-density “urban neighborhoods” on the city’s general plan.

If approved, part of the median on Hayden Road, between Thomas and Osborn roads, would be removed to allow for left-hand turns.The Holm Group Office: 480-767-2738  Cell: 480-206-4265

AZ Republic – Market in Valley rebounds in March

Glen Creno
The Arizona Republic
Apr. 11, 2007 12:00 AM
Metro Phoenix’s resale housing market showed some signs of life in March as the spring selling season kicked into gear.

Sales of existing single-family homes in Maricopa County increased more than 25 percent from February to 5,385 as the market cycled out of its traditional post-holiday slowness, according to the realty studies program at Arizona State University.

The median home price increased, as well, though at a slight 2.1 percent, bringing it to $265,470.

Although the increases appear to be a positive sign for the ailing market, analysts remain cautious.

“I think there’s risk out there,” said Jay Butler, head of the realty studies program, adding that he is more realistic about the market than optimistic.

Butler believes the resale market is running near historical norms, pointing out that March numbers were similar to the 5,340 sales of March 2002 before the boom hit.

He said the market still could be knocked off track by a number of things, including the widening of the subprime lending scandal.  

Andrew Holm, ABRSterling Fine Homes & Land The Holm Group Office: 480-767-2738  Cell: 480-206-4265Email: Andrew@theholmgroupaz.com

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