Phoenix Development News (3) - Page 132

HX_Guy · #**2621** Posted **Nov 24, 2011, 5:00 AM**

Building on the opposite side of Pita Jungle on Roosevelt...what was here before, anyone know?

phxSUNSfan · #**2622** Posted **Nov 24, 2011, 5:15 AM**

Quote:

Originally Posted by HX_Guy

Building on the opposite side of Pita Jungle on Roosevelt...what was here before, anyone know?

It used to be a "high school". Not exactly sure what the name of the school was but it lasted for a few years. Before that it was a parenting center...I don't think it was a Planned Parenthood but that's the first thing that pops into my mind. I remember seeing it when I visited Phoenix a few years ago.

HX_Guy · #**2623** Posted **Nov 24, 2011, 5:25 AM**

Nice to see it turn into retail then.

combusean · #**2624** Posted **Nov 24, 2011, 5:50 AM**

"Phoenix Birthing Project" was there before. They apparently moved to 1301 E Washington.

http://www.phoenixbirthingproject.org/

PHX31 · #**2625** Posted **Nov 24, 2011, 6:22 AM**

It had been there since the 30s or 40s when some school did the poor renovation job in the 80s. Its new tenants have made it look nice. There was an article about the history of the building and the new tenants which was pretty interesting, I'll have to look for it.

TakeFive · #**2626** Posted **Nov 24, 2011, 6:40 AM**

Quote:

Originally Posted by Vicelord John

I'd be surprised, but also very pleased to see ten stories there. It's a prime location.

Quote:

Originally Posted by Leo the Dog

^ I agree, great location. Short ride to just about anywhere along LR.

It'd be nice to see an urban center located near the 12th St. station (one of the must under-utilized stations on the line).

Apartments are the one thing that's "hot" with lenders and developers. I would think that downtown is ready for something that could appeal to the twenty, thirty-something crowd.
From here you could as easily go to Tempe (well heh, if that helps make it work) as well as downtown.

Somebody has to go first and constructions costs are very reasonable right now. This could lead to other mixed use development.

It was just over 10 years ago that a 355 unit, five/six story, full (odd shaped) not prime block was started not far from Coors Field. It was later acquired by Equity Residential.
http://images.travelnow.com/hotelimages/s/086000/086048A.jpg ... http://images.hotel-rates.com/hotelimages/s/086000/086048E.jpg

Now, ten story apartments have become common place. It may seem to be apples to oranges, but I'm betting that the developer is aware that Zocalo Development recently sold
his Solero apartments for over $308,000 per unit in a building with one bedrooms starting at 669 square feet.

For example, Alliance Residential, who is proposing to build at 26th and Camelback: http://www.azcentral.com/business/realestate/articles/2011/01/14/20110114biz-broadstone0118.html
built apartments right across the street from Coors Field where they literally built around and over and incorporated an historical Piggly Wiggly warehouse.
http://www.twentyone01.com/ ... http://www.denverinfill.com/images/blog/2007-05/2007-05-01_2101_market4.jpg

I'm telling you that Phoenix has caught "the bug" of downtown urbanism. It's just a matter of time and this could be the very best time to build this project.

Vicelord John · #**2627** Posted **Nov 24, 2011, 6:01 PM**

Quote:

Originally Posted by TakeFive

I'm telling you that Phoenix has caught "the bug" of downtown urbanism. It's just a matter of time and this could be the very best time to build this project.

I hope you're right, it definitely seems like the apartment market is ready to roll deep.

gymratmanaz · #**2628** Posted **Nov 24, 2011, 6:25 PM**

It sure seem ripe for more downtown apts and even condos. What is there now seems to be filled or filling up fast. Building now while cheap would be the thing!!!

Vicelord John · #**2629** Posted **Nov 24, 2011, 6:43 PM**

I would say apartments not condos. The apartments downtown have been leasing almost immediately, but the same can not be said for condo sales.

nickw252 · #**2630** Posted **Nov 24, 2011, 6:57 PM**

Quote:

Originally Posted by Vicelord John

I would say apartments not condos. The apartments downtown have been leasing almost immediately, but the same can not be said for condo sales.

If 44 Monroe and the Centerpoint towers have told us anything it's that there is a strong demand for highrise luxury rentals in the Valley. What they need to build are high quality apartments that can be converted to condos when the real estate market improves.

Vicelord John · #**2631** Posted **Nov 24, 2011, 7:14 PM**

I think with the amount of people who cannot buy a home right now, there is a strong demand for rentals period.

TakeFive · #**2632** Posted **Nov 25, 2011, 12:10 AM**

Quote:

Originally Posted by nickw252

If 44 Monroe and the Centerpoint towers have told us anything it's that there is a strong demand for highrise luxury rentals in the Valley. What they need to build are high quality apartments that can be converted to condos when the real estate market improves.

When you are able to buy for 30-40 cents on the dollar, then, sure you can afford to rent out units like 44 Monroe and Centerpoint and for the right rent, sure there will be plenty of takers,
but that's an anomaly. Going forward I wouldn't anticipate developers wanting to....

If there are good urban blocks available, a nice but reasonably affordable apartment can become a real cash cow over time. With a site like this that's so easily accessible to light rail, apartments are ideal.
Apartment buildings are a normal and desired part of an urban environment. You might be surprised how many people choose to rent even though they could afford to buy. Today's twenty-somethings want
more convenience and activity and to NOT be tethered to a white picket fence or even a condo. They change jobs, cities etc.

PhxER · #**2633** Posted **Nov 25, 2011, 2:08 PM**

Can't see the whole article because its Phoenix Business Journal

Marriott Planned for Downtown
A California hotel company and Marriott International are moving forward with a 280-room urban concept hotel at Central Avenue and Madison Street in downtown Phoenix (Luhrs Central Building).

Patty Johnson, CEO of Connections Marketing & Communications, said construction could start as early as next year. The project is going through the city’s planning and zoning approval process.

The hotel will be part of redevelopment efforts at the Luhrs Tower. Irvine, Calif.-based Hansji Hotels has been looking to redevelop the Luhrs buildings, which are a few blocks west of US Airways Center and south of the new CityScape development....

Link

gymratmanaz · #**2634** Posted **Nov 25, 2011, 4:23 PM**

DAMN....Merry Christmas to us!!!!!!

azliam · #**2635** Posted **Nov 25, 2011, 4:35 PM**

Does anyone have access to the entire article? I'm also curious as to what the changes are to the Wyndham.

HX_Guy · #**2636** Posted **Nov 25, 2011, 4:37 PM**

Here is the full article...let's hope this actually happens and we don't just end up with a knocked down Luhr's Central Building and another parking lot in it's place. The article says it's currently going thru the city's planning and zoning process? Haven't seen anything about it but I'll do some more searching.

Quote:

Marriott planned for downtown Phoenix; changes for Wyndham
Premium content from Phoenix Business Journal by Mike Sunnucks, Senior Reporter
Date: Friday, November 25, 2011, 4:00am MST

A California hotel company and Marriott International are moving forward with a 280-room urban concept hotel at Central Avenue and Madison Street in downtown Phoenix.
Patty Johnson, CEO of Connections Marketing & Communications, said construction could start as early as next year. The project is going through the city’s planning and zoning approval process.
The hotel will be part of redevelopment efforts at the Luhrs Tower. Irvine, Calif.-based Hansji Hotels has been looking to redevelop the Luhrs buildings, which are a few blocks west of US Airways Center and south of the new CityScape development.
Hansji owns the Radisson Phoenix City Center as well as Marriott hotels in San Diego and Anaheim, Calif., and Las Vegas. Johnson said the Madison Street/Luhrs hotel will be a combination of Marriott’s Courtyard and Residence Inn brands, catering to business travelers. Hansji and Bethesda, Md.-based Marriott are partnering on the development.
While RED Development built CityScape on the former Patriots Park site on Washington Street, the Luhrs buildings and lots around Madison and Central are older, shuttered, being used for parking or fenced off. There have been on-and-off efforts to renovate and redevelop the Luhrs buildings, which date back to the early 20th century and were featured in Alfred Hitchcock’s 1960 movie “Psycho,” but nothing has come to fruition.
Hansji officials did not respond to a request for comment.
If the urban Courtyard by Marriott gets built, it won’t be the first Marriott hotel in downtown Phoenix.
The Wyndham Phoenix will become a Marriott Renaissance hotel next month in a brand change viewed as an upgrade for the property at Central Avenue and Adams Street. The changeover to the Renaissance brand will become official Dec. 17.
HighGround Inc. President Chuck Coughlin, who has done lobbying work for Wyndham owner Steve Cohn, and Marriott spokeswoman Laurie Goldstein both confirmed the pre-Christmas name change. Cohn did not respond to a request for comment.
Cohn’s Phoenix Hospitality LLC also is slated to upgrade the 520-room hotel’s facade and embark on other renovations. The new Renaissance hotel is in line for city tax breaks to help with that work.
In the past few years, Sheraton and Westin hotels also have opened downtown, and the Kimpton Palomar hotel is under construction at CityScape. There also is continued talk of a new hotel at the Collier Center/Bank of America Tower complex.
Johnson and Downtown Phoenix Partnership CEO Dave Roderique consider the Wyndham changeover to a Marriott brand an upgrade for the area.
“The Marriott brand is well-respected, and having two hotels in downtown will be beneficial as the city continues to pursue large-scale conventions, as well as major sporting events,” Johnson said. “I expect that Marriott will also bring the benefit of its marketing efforts to downtown, which creates a whole additional level of benefits.”
The hotels will cater to Phoenix Convention Center visitors and sports fans attending games downtown. The Valley also is hosting the 2015 Super Bowl, and related events are slated to be held in the downtown area.
The Wyndham property has been a hotel since 1896, when it was the 200-room Adams Hotel. Officials with the Wyndham Hotel Group declined to comment on the Phoenix brand change.
“Like all of our Wyndham Hotel Group hotels, Wyndham Phoenix is individually owned and operated. As a result, we unfortunately cannot speak on behalf of the owner,” said spokeswoman Kathryn Zambito.
New Jersey-based Wyndham’s flags also include Days Inn, Ramada, Howard Johnson and Super 8.

HX_Guy · #**2637** Posted **Nov 25, 2011, 5:07 PM**

This should probably go in the Luhr's thread but since the other article is here, I'll just continue here I guess.

Did some digging around the Recorder's Office website and there are quite a few things related to a hotel on that site from HHLUHRS LLC.

An Agreement was signed between then and the city in May 2010 that has a lot of stipulations on the projects, but unfortunately it seems they have already missed all the deadlines, which can't be a good sign.

The original Agreement says the develop intends to demolish the Central Building and construct an approx. 315 room hotel (may have as many as 415 rooms) with a bisto bar, 5,350 st ft of meeting space, fitness center and swimming pool.

It goes on to say that by Jan 1, 2011, the developer needs to have an agreement with a major hotel brand in place.

By July 1, 2011, the developer needs to have all building permits and commence construction. (a 12 month extension may be granted)

Within 6 months of the commencement date (July 1, 2011), the foundation for the hotel should be completed.

Within 24 months of the commencement date, the project should be completed.

There is a Memorandum of Development Lease that was entered into on Oct. 1, 2011 which is basically HHLuhrs (the developer) leasing the land back from the City of Phoenix (for tax purposes) so there is progress being made on this actually moving forward.

This is the site map and future location of the hotel.

TakeFive · #**2638** Posted **Nov 25, 2011, 5:20 PM**

^^
Thanks HX_Guy.

This is great news to see the Luhrs Tower finally treated with a little dignity. The double branding seems to be a more recent trend. Having a Marriott Courtyard and Residence Inn should work well for this property.

But wait... in addition there will be a Marriott Renaissance coming to downtown. Triple cool. Good to get an update on Steve Cohn's property. Nothing like some fresh skin.

Whatever incentives Phoenix has given are well worth it in my view. Having both these properties renovated and updated with Marriott branding brings new energy to downtown. Good to see.

HooverDam · #**2639** Posted **Nov 25, 2011, 6:15 PM**

I'm not familiar with these dual branded hotels, how do they work? Are there two separate lobbies and one hotel is the first X stories and the next is the stories above? or are they more wholly integrated?

Vicelord John · #**2640** Posted **Nov 25, 2011, 6:33 PM**

it sounds to me like a different concept that is a mix of the two properties.