Tempe Development Thread

[Spitfiredude]

So walked around Tempe today. Like others here said, I like the idea of business expanding past Mill Avenue. We can see today that College Avenue is bustling with business and new businesses. Now, I just hope that this all gets connected (which I see happening).

With the building of USA Place, the University Dr corridor will practically be completely connected. College to Mill. There will be several components still needed. The development of the University Square lot and the development of Ash/University. I imagine that we will see at least 2 of the 4 corners of Ash/University developed/redeveloped. This is a perfect spot for a grocer and apartments.

7th Street still needs development, but is in good shape with College Ave Commons and the AMC Theater. This is a vital connection point. Once again, University Square lot will help, but the SE corner of Mill & 7th St (Mill-Myrtle). Once those spots are developed. College and Mill will meet.

5th Street is nearly completely developed. This connects all focal points. The stadium to College to the city complex to Mill to Hanover/parking to Farmer to homes. It would be nice to see Farmer start getting more mid-rise development going. Encore is such a success that I'm surprised with the lack of interest.

The lots at the NE corner of Ash and 5th look like they will be developed in the far future. My hope is that we can get 100'+ buildings on these lots. It would be perfect for a US Airways/Gateway type height. Even higher may not look too odd.

Now, where I want people's opinion is 6th street. It seems all is great besides (the part that bugs me) the 6th Street park. I think this abruptly halts a connection from College to Mill. I think development of some retail on the north side near city hall would have been more ideal. I find it disappointing. I like the park, but they could add a mixture of retail buildings in this area. Anyone else agree or disagree?

Once all this development is complete, I think downtown Tempe will be very cool and vast. Now, if only we could expand the club scene past Mill Ave...

[TempeSilverFox]

Originally Posted by Spitfiredude

Now, where I want people's opinion is 6th street. It seems all is great besides (the part that bugs me) the 6th Street park. I think this abruptly halts a connection from College to Mill. I think development of some retail on the north side near city hall would have been more ideal. I find it disappointing. I like the park, but they could add a mixture of retail buildings in this area. Anyone else agree or disagree?

I quite enjoy the 6th Street Park. It's a spot of calm - just steps away from the hustle of Mill Ave. and it provides a dramatic setting for the unique inverted pyramid of City Hall. I work for Chase in downtown Tempe and I occasionally wander over there to enjoy a coffee or snack, just gazing up at A Mountain and the new buildings creeping up on the skyline.

Oh- speaking of Chase- We all just found out a week ago that JP Morgan Chase has re-purchased the two large buildings we operate in- as well as the two massive (and I know they are super unpopular on this blog lol) parking garages. Just for some background- Chase sold the buildings at the height of the market and we have been leasing them ever since- until now. Plans are to redo the interiors to some degree and possibly reconfigure the space because we are busting at the seems with employees. This is a BIG win for Tempe as it demonstrates the commitment that JP Morgan Chase is making to staying in downtown Tempe.
With nearly 3,000 employees between the two buildings, I'm constantly surprised that Chase is so rarely mentioned by the City when they talk about key downtown employers. We practically keep the southern end of Mill Avenue afloat! (Ok, that might be an exaggeration - but we certainly have a positive impact on the area's restaurants, coffee shops, bars and office supplies shops etc.)

[TempeSilverFox]

Has anyone heard any more about the vacant lot at Ash and University? It seems to be on and off with the Whole Foods. I personally DON'T want a Whole Foods- I've said this before... WAY too expensive and I feel it's just all wrong for the area. We need a regular grocery store or a place like Trader Joe's or Fresh and Easy where you can get basics at a decent price- and also some groovy already made stuff that you just heat up. I would also love to give Tops some competition on their prices for wine and liquor!

[mdpx]

Originally Posted by TempeSilverFox

Has anyone heard any more about the vacant lot at Ash and University? It seems to be on and off with the Whole Foods. I personally DON'T want a Whole Foods- I've said this before... WAY too expensive and I feel it's just all wrong for the area. We need a regular grocery store or a place like Trader Joe's or Fresh and Easy where you can get basics at a decent price- and also some groovy already made stuff that you just heat up. I would also love to give Tops some competition on their prices for wine and liquor!

You've heard that the Whole Foods project that never got off the ground years ago is still being considered? Can you shed light on that, because there has not been a word about it in years.

[Arquitect]

Originally Posted by TempeSilverFox

I quite enjoy the 6th Street Park. It's a spot of calm - just steps away from the hustle of Mill Ave. and it provides a dramatic setting for the unique inverted pyramid of City Hall. I work for Chase in downtown Tempe and I occasionally wander over there to enjoy a coffee or snack, just gazing up at A Mountain and the new buildings creeping up on the skyline.

Oh- speaking of Chase- We all just found out a week ago that JP Morgan Chase has re-purchased the two large buildings we operate in- as well as the two massive (and I know they are super unpopular on this blog lol) parking garages. Just for some background- Chase sold the buildings at the height of the market and we have been leasing them ever since- until now. Plans are to redo the interiors to some degree and possibly reconfigure the space because we are busting at the seems with employees. This is a BIG win for Tempe as it demonstrates the commitment that JP Morgan Chase is making to staying in downtown Tempe.
With nearly 3,000 employees between the two buildings, I'm constantly surprised that Chase is so rarely mentioned by the City when they talk about key downtown employers. We practically keep the southern end of Mill Avenue afloat! (Ok, that might be an exaggeration - but we certainly have a positive impact on the area's restaurants, coffee shops, bars and office supplies shops etc.)

I agree, I love the sixth street park. I often cut through it when walking around Tempe. Mill can be a little too much if all you are trying to do is to walk from point A to point B, especially on the weekend nights.

6th street is kinda cool the way it is. The church, mosque, and city hall create an interesting tranquility in what can be and most certainly will become a very lively area. I think it will feel a lot more complete once ASU develops the north side of the block of College Commons. But overall, I see this street being more of a quiet connection between the two streets. The more busy connections will definitely be University and 5th.

[Jjs5056]

Love all of these conversations. Spitfire- I think it's amazing how a few developments can really transform a city; USA Place, Hub, Block 12, etc. have helped shape what Tempe is going to become.

1) College Avenue: have you checked out the streetscape plans I posted? These should be finished along with College Ave Commons, and are pretty awesome. They've created fantastic intersections at 6th and 7th, and have filled the lot north of Block 12 with gravel/pavers with a cool shade structure. Plans call for additional retail to be added there in the future, which would create a nice plaza. They're hoping to attract higher end retailers, so that, along with the Annex renovation (Postino's), shows that College is going to be a great, eclectic mix of students and Tempe urbanites.

Megabass: do you know the plans for phase 2 of Block 12? Any chance you'd Tweet back and ask? Hoping a private residential midrise is a part of it to really finalize the integration of the city with the campus.

2) University Square and lots between Mill and College: I'm almost hoping that ASU takes over the University Square lot or partners with the private sector for a retail-office-dorm highrise; otherwise, maybe USA Place will be enough incentive to develop this prime lot. I don't think Tempe is in need of more office or hotels in this area, so I'd almost hope they'd take advantage of their location and bring in a really modern 12-14 story apartment project aimed at design and architecture upperclassmen? Retail below could house a large bookstore/coffee shop, art supply store, etc.

3) 7th/6th: 7th is finally reemerging after the Centerpoint disaster of 08 (letting tenants' leases expire to make way for condos). I have to believe once Zipps the theater opens, the rest of the spots will fill in. There's that dreaded M7 lot, which may forever haunt us. I can see a boutique hotel hotel, signature restaurant and retail fronting Mill (14 stories), with luxury rentals over an LA Fitness stretching up to meet with Uni Square (8-10 stories). With all of the events that will soon be brought to Tempe via ASU, ASU Stadium District, USA Place... We need more than one Omni hotel. This is a prime location for an affordable, Aloft style hotel, and luxury rentals are still doing well across the valley; Tempe should catch on beyond just Hanover before it's too late. I think 6th is doing great and the park will be a nice feature once more residential fills in; it seems like a waste now, but that's with only a handful of local residents. I still hate Hanover for wasting the chance to mirror W6's retail plaza, though. Oh well.

4) Ash and Farmer: Agreed that this area could and should be filling in much more aggressively, but there have been small wins, such as the Farmer Lofts expansion and Culinary Dropout renovation of the warehouse on 1st and Farmer. The folks behind Encore were planning on building another project to the north, but I've yet to hear anything since about 6months ago? Dense, 5-6 story projects connecting Encore and that warehouse will be important. Ash, as it stands, is a disaster. I can't believe the city constructed that heinous garage on 3rd. I think the problem with transforming Ash from a sea of garages is that those lots will probably be filled with larger projects and that's gonna take the right markets. Skytower was supposed to go on 5th and Ash; while it never seemed viable, would be great if a developer out there would take a chance on high rise condos again in Tempe.

[Jjs5056]

Originally Posted by TempeSilverFox

Has anyone heard any more about the vacant lot at Ash and University? It seems to be on and off with the Whole Foods. I personally DON'T want a Whole Foods- I've said this before... WAY too expensive and I feel it's just all wrong for the area. We need a regular grocery store or a place like Trader Joe's or Fresh and Easy where you can get basics at a decent price- and also some groovy already made stuff that you just heat up. I would also love to give Tops some competition on their prices for wine and liquor!

In terms of getting a Whole Foods at Ash and University, I think we can safely say that ship has sailed. I'm not sure what to think about the recent Chase transactions; the former owner is the one who actually bought that parcel at Ash and University and mentioned using it for excess parking and was in talks regarding a grocer (so, to the poster below, yes- talks continued beyond the demise of Mosaic). They cited their investments nearby as a reason for purchasing - wonder if they'll sell this land, or sit on it indefinitely?

It's a very important lot, as it will be directly on the streetcar line and is planned for pretty intensive use/height. It'd be a shame to see it continue to sit. I think a grocery here still makes sense as it's accessible to all the neighborhoods downtown. At the same time, we can't continue using our prime lots for low density development, so I'd rather wait for a project that brings employees or residents into the core above the grocer before I say "great!" to a 4-story project that has it.

[Spitfiredude]

Like your ideas Jjs, especially with 7th. As of 6 months ago I asked a councilman about the Whole Foods, he said it was still in the plans and he had asked the grocer/developer, but they basically told him when the market is ready. I posted this in pages back. So I would say this project is not dead, just no progression. If it did die, I would not surprise. I'm glad the Pin is dead. I know its not relevant to this thread, but damn..such a stupid project. Downtown Phoenix is a failure. Tempe is the most well planned downtown in the Valley. Old Town is great, but not very urban.

[Jjs5056]

The game-changer with the Whole Foods is that the owner of that land just sold off his other properties nearby. So, that definitely changes things as they no longer have a vested interest in the area. He could either sell the land or hold onto it indefinitely, which would be a real shame.

Best thing would be for it to go on sale, and have a smart developer pick it up and build a quality project when the time is right. A 1-story Whole Foods is not the best use of that land, nor is that brand the best fit.

You are right that Tempe has a lot of momentum right now, but there's a lot that we need to keep an eye on:
1) Tempe is landlocked and there aren't many lots left in the downtown core. Tempe can't afford to continue building projects with 6 or less floors, or it won't ever have the density to support retail beyond food/bars. Ash/University, Ash/5th, Mill and 7th and University Square are probably the last 4 lots where we might see 100'-200' towers, which is ideally what this city needs in the longterm.
2) Building off that last sentence, I think Tempe's multiple business "centers" that aren't connected by LRT are detrimental to the city and similar to the TMP debacle. Several more towers are in planning for the Fountainhead Plaza, bringing that development to about 5/6 12+ story office buildings. Even if only 2 of them were built along Ash, think of the skyline, and more importantly, the impact on local retail and demand for workforce housing. I would hope these centers are connected in the future, but for now, I'd love to see Tempe bringing business back downtown... And not the lake, either. Marina Heights isn't urban at all and not walkable to downtown.
3) To try and connect that development - and connect all the way to the Cubs in Mesa - we have to get streetcar up and running, and it needs to be the Rio Salado route.
4) It seems to finally be getting this balance right, but many residential projects have been for students or low-income/seniors; again, this city is only going to thrive year-round if it starts bringing professionals into the core. Hanover and USA Place will help in that regard, and I'm glad to see College integrating ASU pieces with city/private development. We need to see a lot more of these to get a solid, non-transient population.
5) Continue bringing quality, dense TOD to Apache with a mix of students, affordable housing, and market rate properties. That should remain a dviser corridor, just less blighted and more sustainably designed.

Lastly, it's too bad the city fucked up when it let CVS and Chase build new structures just off Mill and Uni. That intersection could've held a great gateway development and had potential to connect with USA Place across the way.

[Spitfiredude]

^I definitely agree, but I see some older buildings getting knocked down too. Such as the building on the NE corner of Maple and 5th Street. Or Z'Tejas. Just to make room for a medium-large scale development.

In other news I took some pictures of window cleaning on West 6th today. Apparently there is a company that sets up these window cranes and anchors called probel. Its out of Canada. Anyway, 44 Monroe uses the same mechanism. Interesting to say the least.

[CrestedSaguaro]

3rd tower crane going up tonight at State Farm :-)

[phoenixwillrise]

Originally Posted by TempeSilverFox

Has anyone heard any more about the vacant lot at Ash and University? It seems to be on and off with the Whole Foods. I personally DON'T want a Whole Foods- I've said this before... WAY too expensive and I feel it's just all wrong for the area. We need a regular grocery store or a place like Trader Joe's or Fresh and Easy where you can get basics at a decent price- and also some groovy already made stuff that you just heat up. I would also love to give Tops some competition on their prices for wine and liquor!

I would love to see a Whole Foods in Downtown Tempe. Not all of us are starving students but consumers who want variety. Trader Joes and Whole Foods would be great. A truly great downtown has diversity, period.

[Leo the Dog]

Originally Posted by phoenixwillrise

I would love to see a Whole Foods in Downtown Tempe. Not all of us are starving students but consumers who want variety. Trader Joes and Whole Foods would be great. A truly great downtown has diversity, period.

Not all students are starving either, but rather very health conscience too. I think an urban Whole Foods could do well in the area.

[TempeSilverFox]

USA Basketball project to include an "urban grocer." I think we all saw this called out before- but since we are kinda discussing the downtown grocery store, the description of "urban grocer" makes me think it will be more along the lines of a Fresh and Easy or a Trader Joe's or Whole Foods- rather than a full on grocery store like Safeway or Frys. That being said, San Diego has a couple of full on grocery stores in very dense areas like the Ralphs in both downtown San Diego and in Hillcrest and the Albertsons near Petco Park. Can't wait till they release their list of tenants for the entire project! I would also be thrilled if 24 hour fitness or LA fitness moved in to the complex as well!

Cushman & Wakefield of Arizona, Inc. has been awarded the exclusive retail leasing assignment of 180,000 SF at USA Place, a 10.7-acre mixed-use development that will serve as the new home of USA Basketball.

“This project will be a draw to a diverse group of consumers,” said Summer Jackson, associate director with Cushman & Wakefield’s Retail Advisors. “Appealing to the professional, business traveler, sports enthusiast, athlete, student, resident or tourist, it will be one of a kind to the Arizona market.”

At 1.4 MSF, USA Place is expected to break ground next month at one of the busiest and most desirable business locations in the Valley – along Tempe’s historic Mill Avenue and University Drive.

At full build out, USA Place will feature amenities including:
>> 180,000 SF of retail space to include restaurants, shops and service oriented uses;
>> More than 240,000 SF of Class-A office space, including the new headquarters of USA Basketball.
>> A 390-room, 14-story, Four Diamond Omni Hotel and Conference Center;
>> 4,500-seat Event Center that will play host to USA Basketball, the Arizona Interscholastic Association, and community events;
>> More than 500 luxury apartments and lofts atop street-level retail.

The developer of the project is USA Place, LLC, which is comprised of three entities led by Susan Eastridge of Concord Eastridge, Inc., Michael Hallmark of Future Cities LLC, and Rob Harris of Harris Sports and Entertainment LLC.

“The Cushman Wakefield team was most responsive in understanding our retail goals for USA Place,” said Susan Eastridge, CEO of Concord Eastridge. “USA Place is an urban gathering place for retailers that will find synergies with one another within the major objectives of USA Place to showcase amateur sports, wellness, fitness with both national and local ‘best in class’ food and beverage and soft goods purveyors.”

High-end national tenants are expected to occupy the prominent retail spaces. Other retail options will include trendy wine bars and coffee houses, restaurants, an urban grocer and soft goods.

Adjacent to ASU and the Mill Avenue district, USA Place will also capitalize on a thriving arts and culture district that includes the Tempe Center for the Arts, Gammage Auditorium, local art galleries, cinemas, and concert venues.

In addition, the 50,000 SF event center floor will allow the Omni to stage exhibitions, banquets, and presentations – doubling conference center capacity.

“Specializing in mixed-use developments and the Mill Avenue district, Cushman & Wakefield is excited to be a part of this landmark project,” Jackson said.
Responsible for more than 4 MSF of product in Metro Phoenix, the Cushman & Wakefield team of Jackson, Courtney Auther and Brian Kocour will handle the retail leasing assignment at USA Place.

http://azremagazine.com/newsmakers/cushman-wakefield-awarded-usa-place-leasing-assignment

[nickw252]

Originally Posted by TempeSilverFox

USA Basketball project to include an "urban grocer." I think we all saw this called out before- but since we are kinda discussing the downtown grocery store, the description of "urban grocer" makes me think it will be more along the lines of a Fresh and Easy or a Trader Joe's or Whole Foods- rather than a full on grocery store like Safeway or Frys.

Fresh & Easy is unlikely given Tesco's relative failure in the American market and recent attempts to divest itself of existing stores.

Trader Joe's or Sprouts would be ideal for this market.

[KevininPhx]

Originally Posted by nickw252

Fresh & Easy is unlikely given Tesco's relative failure in the American market and recent attempts to divest itself of existing stores.

Trader Joe's or Sprouts would be ideal for this market.

"relative failure" is being kind. Tesco sold Fresh & Easy in 2013 to a California supermarket company. I wouldn't count F&E out of this.

http://www.thecitywire.com/node/30715#.UveWnoUz3Ps

[poconoboy61]

^^ The "new" Fresh and Easy is exactly like the old one. The only thing they did was rearrange the location of items and lengthen the store hours. I think they will be shut down by the end of the year.

[Jjs5056]

Yes, they've been touting an "urban grocer" for USA Place, but in reality, a project can say whatever they want to hype their project; they still need to find a tenant who feels the location is viable. That's going to depend on whether they pull through with all of their intended residential and if that number puts the population number over the amount that stores luck to before entering a market.

USA Place is probably our best bet at things like 24 Hour Fitness, GNC, and Trader Joe's, but I wish projects further north broke ground earlier to spread the amenities out a bit; USA Place isn't really walkable, especially for groceries, for most of the neighborhoods surrounding downtown.

[poconoboy61]

Originally Posted by Jjs5056

Yes, they've been touting an "urban grocer" for USA Place, but in reality, a project can say whatever they want to hype their project; they still need to find a tenant who feels the location is viable. That's going to depend on whether they pull through with all of their intended residential and if that number puts the population number over the amount that stores luck to before entering a market.

USA Place is probably our best bet at things like 24 Hour Fitness, GNC, and Trader Joe's, but I wish projects further north broke ground earlier to spread the amenities out a bit; USA Place isn't really walkable, especially for groceries, for most of the neighborhoods surrounding downtown.

Why Trader Joe's over Fry's or Safeway? I think a general full service grocery store would do a lot more for urbanism and walkability the downtown area than a specialty grocer like Trader Joe's, Whole Foods, or Sprouts. People need basic ingredients and foods available at an affordable price. I would be happy with an urban Fry's.

[Jjs5056]

Originally Posted by poconoboy61

Why Trader Joe's over Fry's or Safeway? I think a general full service grocery store would do a lot more for urbanism and walkability the downtown area than a specialty grocer like Trader Joe's, Whole Foods, or Sprouts. People need basic ingredients and foods available at an affordable price. I would be happy with an urban Fry's.

Because this development is already touting "high end retail" and even the term "urban grocer" instead of "full service grocery" or "neighborhood grocer" makes me think TJ or Whole Foods, rather than Safeway or Fry's.

See CityScape, who recruited AJ's, and after Bashas went bankrupt, had to fill the spot with Oakville Grocery, an overpriced store with limited selection.

I agree that the core of downtown needs something more along the lines of a Safeway or Fry's, though I think Sprouts would do okay. But, the type of grocer won't impact the walkability, the location will, which is why I hope the USA Place grocer is more of an Oakville/Milk&Honey store, so that a larger one can still open south of Uni and west of Mill.