The Vizzda Weekly - Phoenix - March 27th, 2017

 

THE VIZZDA WEEKLY

March 27th, 2017

 

 

Last week in Phoenix, Vizzda tracked $162,039,201 in commercial real estate transactions

including 53 sales and 7 new projects. Below are Vizzda's top reports of the week. 

 

 

 

 

PLANNING & ZONING 

 

 

Final Plat Introduced for Layton Lakes Village Commercial Development in Chandler      The Chandler City Council introduced a Final Plat last Thursday for the commercial development Layton Lakes Village, as part of the Layton Lakes master planned community.   (1 of 7 planning & zoning events last week)   Vizzda Subscribers - Click Here to View Full Report

 

LAND

 

 

66 Lots of Ritz-Carlton Parcel B Sell for $45 Million   Shea Homes acquired 66 platted and engineered lots of Ritz-Carlton Parcel B residential development, which totals 23.85 acres with typical lot dimensions of 80' x 125'.                   (1 of 13 land sales last week)   Vizzda Subscribers - Click Here to View Full Report

 

OFFICE

 

 

Unit 4 of Sonoran Corporate Center in Scottsdale Transacts for over $5 Million      Cass Construction purchased this 2-story office building for $5,525,000 funded by $3.45 million in new debt with Standard Insurance Company.              (1 of 12 office sales last week)   Vizzda Subscribers - Click Here to View Full Report

 

MULTIFAMILY

 

 

505 West Apartments in Tempe Purchased for over $37 Million   Aragon Holdings purchased this 334-unit apartment complex for $37.25 million last Tuesday from FPA Multifamily, funded by $26.8 million debt with NorthMarq Capital.   (1 of 13 multifamily sales last week)   Vizzda Subscribers - Click Here to View Full Report

 

INDUSTRIAL

 

 

Parkside Lane Warehouse Sells for over $2 Million   The 15,700 square foot warehouse at 2215 W Parkside Ln in Phoenix sold for $2,191,000 to local investor Dennis Schroeder. This single-tenant building was built in 2005 on 1 acre.                     (1 of 13 industrial sales last week)    Vizzda Subscribers - Click Here to View Full Report

 

RETAIL

 

 

Long Beach Investor Purchases Walgreens on Main Street in Mesa     Ronaldo J Bennett of Long Beach, California purchased the freestanding Walgreens retail at 2024 W Main Street in Mesa for over $5.6 million. Seller traces to Weissberg Corp.               (1 of 3 retail sales last week)   Vizzda Subscribers - Click Here to View Full Report

Vizzda Planning and Zoning Week In Review August 3 - 7 2015

Vizzda Planning and Zoning Week In Review

August 3 - 7 

Here is a brief look at some of the newest Planning and Zoning cases in Maricopa County last week: 

1000 East Apache: Chicago-based owner and student housing developer CA Ventures is submitting a new site plan for the vacant 1.8 acre property located at 1000 E Apache Blvd. This is the third different site plan submitted since 2008. CA Ventures purchased the property for $4 million in January with approximately $20 million in construction debt with Wanxiang America Corporation.  This iteration includes a fourteen story mixed use building with 384 student housing units, 3,838 square feet of ground floor commercial and 417 parking spaces in a 135,000 square foot structure. The unit mix of 53 studios, 72 one bedroom, 164 two bedroom and 95 four bedrooms is planned to total 480,299 rentable square feet. Shepley Bulfinch is serving as the project architect, Wood Patel as the civil engineer and Snell & Wilmer are providing legal representation.  The case is set to be heard by the Tempe Development Review Commission on August 11.

Initial Rendering

Aerial Image of Site

Site Plan

Mattress Firm: Emerald Center is gaining another retail tenant. Houston-based mattress dealer Mattress Firm is planning on adding another location next to the recently completed Texas Roadhouse. The single tenant building is planned to be approximately 7,760 square feet and will share 95 parking spaces with the restaurant. Balmer Architects are serving as both the applicant and project architect.

Mattress Firm At Emerald Center Site Plan

Rhythm: The Tempe portion of the Rhythm project is moving one step closer to construction. Developer Mattamy Homes submitted the Preliminary Plat for the 94 single family residential lots located on approximately twenty acres in Tempe. The lots will have minimum dimensions of 50’ x 95’ with four acres of open space throughout. The Preliminary Plat will be reviewed along with the Development Plan at the August 11 Development Review Commission hearing. The rezoning case for the Chandler portion of the Rhythm development is scheduled to be heard at the August 13 Chandler City Council hearing.

Ritz Carlton Paradise Valley: The Paradise Valley Planning Commission is still conducting study session meetings regarding the Ritz Carlton Paradise Valley project. At the August 4 meeting they reviewed perimeter setbacks, traffic analysis and parking methods. The third work session is scheduled for August 18 where the applicant and city staff will review a revised traffic plan, parking study in addition to the open space plan and drainage / hydrology study. The Paradise Valley Planning Commission has until October 9, 2015 to make a recommendation to City Council on the project. Staff contact for the project is Eva Cutro.

Phasing Timeline for Ritz Carlton Paradise Valley

Wells Fargo Chandler Campus: 15.5 acres of the approximate 68-acre Wells Fargo Campus at the NWC of Price and Queen Creek Roads was introduced to the Chandler Planning Commission for rezoning on August 5^th. The Chandler Planning Commission is serving as the city’s Design Review Board for this project. Rezoning from Planned Area Development (PAD) to Planned Commercial Office (PCO) with a PAD overlay will allow for the third and final expansion of the Wells Fargo campus that was approved in 2013. With the second phase scheduled to open this fall, Wells Fargo is getting started on the third phase. This phase is planned to include: two 9 story offices at 385,000 and 362,000 square feet each, a four story 168,000 square foot office, 5,000 single story bank branch and three 5 story parking garages that will add just over 4,000 spaces.

Rendering for Phase II 

For more information on these properties, visit us at our website or send us an email. We're happy to hear from you!



        

Development to Begin on Ritz Carlton of Paradise Valley

Ritz Carlton Project Area Map

              (Click here for larger map view)

After a legal dispute in February of 2013, Five Star Development is finally moving forward with the Ritz Carlton Paradise Valley, located at the southwest corner of Scottsdale and Lincoln Roads. A use permit dated June 16^th described the project as hotel, single family, multi-family, and retail development in five areas on 105 acres. Development is expected to begin in winter 2015 with estimated completion in 2020.

The project is planned to include 200 hotel rooms, 80 resort villas, 160 detached single family residences (one-hundred-one 9,300 SF lots and fifty-nine 12,350 SF lots), and a total of 450 multifamily units. Retail component will total 209,000 SF and consist of 15,000 and 27,700 SF restaurants, 130,600 SF of stores, and a 36,400 SF grocery. The plan totals 1,844,650 SF and will reach its maximum height in two 4-story buildings.

Area Table

Previous attempts at development were halted in 2013 due to a legal dispute between Jerry Ayoub of Five Star Development and iStar Financial over a $112,025,000 loan (unpaid principle totaled $71,480,243 at the time). The dispute was settled when Five Star Development forfeited their right to a $13.3 million letter of credit and was required to pay an unspecified amount to iStar. You can read more about this at our previous blog post from 2013.

For more information about the Paradise Valley Ritz Carlton including complete planning and zoning information, find us at www.vizzda.com or contact us at info@vizzda.com.

Settlement Reached in Suit Over Paradise Valley Ritz Carlton

VIZZDA—February 14^th, 2013 — Jerry Ayoub of Five Star Development, LLC and iStar Financial—represented by its Senior Vice President, David Sotolov—have filed a settlement agreement with the US District Court for the Southern District of New York, resolving their longstanding dispute. The settlement includes an amended and restated carve-out guaranty, which absolves Mr. Ayoub of personal liability contingent on satisfaction of the terms of the Settlement.

Per the terms of the agreement, Five Star Development forfeits a $13.3m letter of credit currently in escrow and must pay an unspecified amount to iStar by July 22^nd, 2013 or face monthly escalations of the settlement payment amount. iStar cannot initiate foreclosure proceedings on the property until after the settlement termination date. Additionally, the amount of collateral secured under the agreement was expanded to include the portion of land acquired by Mr. Ayoub over the course of the suit.

The suit—as well as four others in various stages of adjudication between Mr. Ayoub and iStar Financial—stems from an $112,025,000 credit facility established between Five Star Resort Development, LLC as borrower and iStar RC Paradise Valley, LLC as lender. Both Mr. Ayoub and iStar contend that the other party was in breach of the loan agreement. The unpaid principle balance on the loan is stipulated to be no less than $71,480,243. This settlement resolves all outstanding legal action between these parties.

The planned development was to include a 225-room Ritz Carlton-branded hotel, luxury condominiums, single-family residences and a retail center. It sits on approximately 120 acres at the northeast corner of Mockingbird Lane and Lincoln Drive in Paradise Valley. While Mr. Ayoub is free to pursue entitlement action on the property, the project will not go forward as originally envisioned due to time constraints placed on the site by Ritz Carlton and the Town of Paradise Valley.

iStar RC Paradise Valley, LLC v. Five Star Resort Development, LLC Settlement Agreement 

By:

Paul Dionne

Director of Analytics

Vizzda.com