Southeast Valley Development News - Page 6

tempedude · #**101** Posted **Dec 5, 2007, 6:30 PM**

December 5, 2007 - 10:14AM

$100M Baseline Marketplace planned for Mesa

David Woodfill, Tribune

A large $100 million mixed-use development, including retail shops, restaurants, office space and 350 residential units, is set to break ground in east Mesa in early 2008.

The planned Baseline Marketplace, at the northwest corner of Loop 202 and Baseline Road will occupy 52-acres. The Scottsdale-based developer, Glimcher Ventures Southwest, expects to finish construction in 2009.

“This emerging area of Mesa is long overdue for a project like Baseline Marketplace,” said Glimcher president, David Glimcher in a statement. “With over 200,000 people living within a five mile radius, there is a significant void in shopping centers. By combining retail, restaurants, office and residential (space), we plan to bring this community a great mixed-use experience.”

Baseline Marketplace is already attracting a high level of interest from prospective retailers and restaurateurs and tenants are already grabbing for spaces there, company officials said.

Link to source: http://www.eastvalleytribune.com/story/103451

Don B. · #**102** Posted **Dec 6, 2007, 1:38 AM**

Salt River tribe has broken ground on their new 15-story, 171-foot Casino Arizona hotel/casino:

http://www.azcentral.com/community/s...ino1206ON.html

Casino breaks ground on 15-story resort, spa
The Arizona Republic
Dec. 5, 2007 10:14 AM

SALT RIVER COMMUNITY - Casino Arizona has broken ground on a 15-story, 497-room resort and spa that will feature luxury suites and a 240,000-square-foot gaming and entertainment venue at Indian Bend Road near Loop 101.

The enterprise of the Salt River Pima-Maricopa Indian Community is expected to open in 2010.

Casino Arizona operators say the new venture will "solidify Casino Arizona's standing as the premier entertainment destination.

"SRP-MIC is excited about the latest addition to the Casino Arizona family of properties; the new Casino Arizona Resort & Spa will provide guests with even more options for entertainment and relaxation," said Diane Enos, tribal president. "The Resort will be a proud reflection of its environment through its use of native stones, plants and colors. Even further, this endeavor will benefit the SRP-MIC and its surrounding communities by bringing about jobs and stimulating economic growth in Arizona."

Now in the construction stage, the Casino Arizona Resort & Spa will be comprised of 497 deluxe rooms, luxury suites and executive parlors as well as more than 100,000 square feet of indoor and outdoor conference space. The new resort's conference center will include a 24,000 square foot Grand Ballroom and 21 state-of-the-art meeting rooms, as well as full-service catering services.

The new Casino Arizona was designed by Salt Lake City-based FFKR Architects. The project's general contractor is Phoenix-based Chanen Construction Co.

Casino operators gave these descriptions of the resort:

Amenities will include a 13,000-square-foot full-service rejuvenating spa. Located high on the 14th floor, the luxurious open-air spa will feature massage areas, steam and sauna rooms, relaxation and serenity lounges, as well as an advanced fitness training facility.

Numerous restaurants will offer a range of cuisine including a multistationed international buffet, coffee shop, cigar and wine bar, and an upscale dining experience on the 15th floor offering 360-degree views of the Valley.

Also included:

• An interactive multidimensional water zone will include adult and child pool areas, spas, swim up bar and water slide.

• A 750-seat showroom will offer live entertainment with private rooms.

• Concert seating for more than 2,000 people.

• A sports bar; a piano bar, and a 14th floor VIP Lounge, all designed to excite the senses and provide an entertainment experience not offered anywhere else in the Valley.

The 240,000 square foot gaming and entertainment venue will be the main attraction of Casino Arizona Resort & Spa," operators said. The casino will offer high-tech slot machines and table games. The non-smoking card room will feature such games as Texas Hold 'Em, Omaha and 7-Card Stud, while the more than 50 table games will include blackjack, three-card poker and Let It Ride. Keno and off-track betting on horses and dogs will complete the gaming floor.

"In planning and developing the new property, it is of the utmost importance to us that we maintain the traditions that give Casino Arizona a unique presence in the community," said Jon Jenkins, President/CEO of Casino Arizona. "One of those ways is to continue the Casino Arizona tradition of providing the best gaming and entertainment to all of our guests."

The new Casino Arizona Resort & Spa will adhere to the community culture. Displays of cultural significance will be exhibited both in the design and in exhibits throughout the property.

Casino Arizona 101 & McKellips currently offers visitors more than 100,000 square feet devoted to gaming and entertainment. Amenities include 52 blackjack tables, 998 EZ-Pay slot machines, keno, a world-class showroom and gourmet restaurants including the Cholla Prime Steakhouse and Lounge.

Casino Arizona 101 & Indian Bend currently features 532 slot machines, 40 blackjack tables, 45 poker tables and fast action keno. A sports-themed casino, guests can watch a live taping of the sports show "We've Got Your Game" every Thursday night in the Signals Lounge.

--don

P.S. I did some hunting around and this was the best rendering (really, the only rendering) I could find:

tempedude · #**103** Posted **Dec 7, 2007, 2:48 PM**

December 7, 2007 - 1:16AM

Reliance to begin building at Gateway Airport

Tony Natale, Tribune

The first step in developing a 52-acre parcel into a job center near Phoenix-Mesa Gateway Airport began Thursday when the Reliance Companies announced it would begin building a warehouse on more than four acres at the southeast corner of Velocity Way and Sossaman Road.

The project, which also includes a multitenant 60,000-square-foot building, is planned as part of a 500,000-square-foot commercial park. The park is expected to one day create more than 1,500 jobs in aerospace-related companies, Reliance and airport officials said.

Last year Reliance signed a lease agreement with the airport to develop the area south of one of three runways. It is near air cargo facilities and a short distance from the passenger terminal.

“We are confident that there are a number of businesses who want to operate on or near the airport, and we believe that our project will provide the quality commerce park product that they need to do so,” said Bob Mulhern, president of Reliance Companies.

Phoenix-Mesa Gateway Airport, formerly known as Williams Air Force Base, is owned and operated by an airport authority consisting of the Gila River Indian Community, Gilbert, Mesa, Phoenix and Queen Creek.

Until the lease agreement with Reliance Companies, the authority and officials were solely responsible for planning and developing the area in and around the airport. Their responsibility includes both the land used for airport operations as well as for privately-owned commercial buildings on airport property.

“Reliance’s groundbreaking represents an innovative approach to job creation at Phoenix-Mesa Gateway Airport,” said Lynn Kusy, airport director. “This public-private partnership will result in significant job growth as Gateway continues to expand as a major job center and commercial airport for the Phoenix-Mesa metropolitan area.” As part of its expansion plan, the airport on Oct. 25 announced the beginning of non-stop passenger service by Las Vegas-based Allegiant Air to 14 cities. Since then, the number of passengers and visitors have steadily increased and plans are being studied to increase the number of flights even more.

Meanwhile, the added flights are expected to bring more than 130,000 in-bound visitors annually to the Valley, which could result between 25,000 and 30,000 additional hotel nights each year, according to Robert Brinton, executive director of the Mesa Convention and Visitors Bureau.

Source: http://www.eastvalleytribune.com/story/103578

tempedude · #**104** Posted **Jan 30, 2008, 2:36 PM**

From the East Valley Tribune:
http://www.eastvalleytribune.com/story/107751

Quote:

January 29, 2008 - 10:54PM
Gilbert looks skyward for growth possibilities
Beth Lucas, Tribune

Gilbert could see a skyline in years to come as a proposal to allow 11-story buildings along key growth corridors moves forward.

Residents today and Thursday can get their first glimpses at the town's plans, allowing buildings as tall as 11 stories in the vicinity of Phoenix-Mesa Gateway Airport, ASU Polytechnic and the Cooley Station development.

That region stood out as a prime target for the 11-story midrises, partly because of its location but also because it's about 96 percent undeveloped, said Michael Milillo, zoning administrator for Gilbert, who is working with the Vertical Development Advisory Committee to bring forward the recommendations.

There is enough space around the airport to hold at least five 11-story buildings, Milillo said.

"We feel that area will be supportive of both the airport as it grows, and ASU Polytechnic as it grows," he said. "Anything is possible, but we don't foresee anything in the near future going up higher than about 10 or 11 stories."

The proposal also identifies four other regions that would be well-suited for taller buildings due to their location and distance from houses.

The plan for land along the Santan Freeway stretch of Loop 202 from Gilbert Road to Greenfield Road allows for buildings up to eight stories, but talks to allow 11-story buildings there are ongoing.

Nearly half of the land along key segments of the Santan corridor is vacant, which could allow several midrises.

Already along the freeway the Town Council has given Main Street Commons permission to construct buildings up to nine stories. And Mercy Gilbert Medical Center has begun to investigate a future height of 10 stories, while an adjacent health and senior center is planned at nine stories.

The proposal also calls for buildings as tall as eight stories near Banner Gateway Medical Center at Higley Road and U.S. 60, and buildings as tall as seven stories along Power Road at the outskirts of the Morrison Ranch development north of Phoenix-Mesa Gateway Airport, and at Loop 202 and Higley Road.

The concept is to provide the zoning in advance, so developers or companies would select Gilbert for larger proposals. Gilbert was out of the race for some larger businesses, including Google, that sought homes in the Valley, since Gilbert has no midrises nor zoning for any.

"We want to be able to encourage that kind of vertical development," said Town Manager George Pettit. "Makes sense to do it now."

Mayor Steve Berman has supported the concept for years, arguing that Gilbert's plans call for 87 percent homes compared with about 50 percent homes in surrounding communities.

"In the '90s we made some bad land decisions," Berman said. "And we have a disproportionate amount of residential zoning in Gilbert - we have almost twice as much as some other communities have."

And impending budget problems are also causing town officials to look to the future for moneymakers.

Some fear the town would have to impose a primary property tax, which it does not have now, to make up for the loss of revenue from home building, once the majority of homes are built in the next 15 years.

The proposal is expected to go before the Planning Commission and then the Town Council after the committee finishes its recommendations in February, taking into account suggestions made by the public during open houses held today and Thursday at Gilbert Civic Center, 50 E. Civic Center Drive.

"We want people to be able to work here, raise their family here, and shop here," said Kathy Langdon, CEO and president of the Gilbert Chamber of Commerce and a member of the vertical committee. "It's part of that whole package that makes you a great community."

The proposal would allow for buildings far taller than the two current tallest structures: Rome Towers and Banner Gateway Medical Center, both of which are five stories.

But Councilwoman Linda Abbott said she doubted it would change Gilbert's small-town image.

"I don't think that our buildings are what define us as a small-town feeling," she said. "What defines us is availability of having access to your local government."

If you go
WHAT: Gilbert vertical growth open houses
WHEN: 5:30 p.m. today and Thursday
WHERE: Gilbert Civic Center, 50 E. Civic Center Drive
INFORMATION: (480) 503-6000

loftlovr · #**105** Posted **Feb 5, 2008, 8:47 AM**

http://www.msnbc.msn.com/id/22921468/

Is hosting big game a win for Phoenix suburb?

Sekkle · #**106** Posted **Feb 6, 2008, 11:03 PM**

Some news about Elevation Chandler...

Quote:

Abandoned high-rise facing foreclosure - again
Luci Scott
The Arizona Republic
Feb. 5, 2008 11:11 AM

Elevation Chandler, the abandoned high-rise shell just south of Chandler Fashion Center, is once again in foreclosure and on the auction block.

A trustee sale is scheduled for April 14 - two years after construction on the project stopped.

The sale is set for 2 p.m. on the steps to the main entrance of the Maricopa County Superior Court in downtown Phoenix. A trustee sale indicates a loan is in default, and the property is sold to the highest bidder. Proceeds go to the lender.

However, developer Jeff Cline may once again succeed in retaining control of the property.

"The current debt is being refinanced," Cline said in a brief e-mail response that sought comment on the financial status of the project. He refused to provide details.

The property had been in foreclosure more than a year ago and set for a trustee sale in February 2007. But Cline obtained a $24 million bridge loan and last year's forced sale was canceled.

If a similar scenario plays out this time, the city faces the prospect of the shell continuing to stand vacant.

"We'll have to really take a look at what our (legal) options are," said Doug Ballard, Chandler's director of planning and development. "It's a private property and private building."

The city's biggest concern is the property be maintained in a safe manner so no one gets hurt, he said.

In August 2007, vandals scaled the structure and marred the concrete shell with graffiti.

"When we had evidence that people had gotten into the site, that's when we got with the owner and said, 'Hey, you really need to do something to stop this from happening.' " Ballard said.

City planners had recently been getting calls from developers asking about the status of the project, but there's been no serious interest.

Upon hearing of the trustee sale, Chandler City Manager Mark Pentz said, "We had hoped that Jeff Cline would be able to find a buyer and work out the terms of a sale, but apparently that hasn't happened."

http://www.azcentral.com/community/c...ation0206.html

JAHOPL · #**107** Posted **Feb 22, 2008, 2:15 PM**

This is a proposal for a development on the southwest corner of Southern and Extension, about a mile from my home. Extension is mid-way between Alma School and Country Club in southwest Mesa.

Panel OKs west Mesa apartment complex
Lindsay Butler, Tribune, February 22, 2008

A site that usually hosts annual Christmas tree sales will soon be home to four-story office buildings and upscale apartments.

An effort to add high-density living to the retail-heavy Fiesta District got a boost Thursday with the approval of plans to build upscale apartments and offices in west Mesa.

The project is called Southern Plaza and California developer Ed Frankel is promising it will be "top-of-the-line stuff."

GRAPHIC: See plans for Southern Plaza

Southern Plaza is adding to the buzz building on the corner of Southern Avenue and Alma School Road in Mesa, which also will house a boutique hotel and more than 300 condos in the next two years.

Although the area is showing signs of revitalization, the path may not be entirely smooth.

And some are critical of the idea to add more apartments to west Mesa, already known for its low-cost housing.

"The Fiesta quadrant epitomizes the reputation of the rest of Mesa, which is, 'Welcome to Generica,'"said Planning and Zoning Board member Jared Langkilde. "Until we solve that problem of offering a unique shopping, living and working environment here, the problems will never go away."

On Thursday, Mesa's Planning and Zoning Board approved plans for Southern Plaza, located at the corner of Southern Avenue and Extension Road. The project will go on to the City Council.

Southern Plaza would include 500 apartment units ranging from 550 square feet to 1,400 square feet, and nearly 200,000 square feet of commercial and office space, adding to the mixed-use flavor the city is hoping will grow there.

Amenities would be available to people who live and work at Southern Plaza and include an indoor basketball court, clubhouse with a game room, a business office and a fitness center with "a kick bag and a speed bag so people can practice punching," Frankel said.

Though Mesa is generally known for low-cost apartments, Frankel said his would be upscale.

Mesa economic development specialist Cathy Ji said the city is comfortable with the idea of rental units as long as they are high quality.

"Their concern isn't apartments or condos, but the fact of who is managing the properties," she said. "If there is a good manager there's no reason not to have apartments there."

Pending City Council approval, Frankel estimates beginning construction in August, the same time a new brand of hotel is expected to break ground nearby.

Aloft Hotels are a new branch of Starwood Hotels and Resorts and are meant to have a modern design that mixes high ceilings and comfortable beds with high-tech gadgets and a social atmosphere.

The first Aloft Hotels will open this year, and Mesa's is expected to have 128 rooms.

The hotel will be part of the AquaTerra project, a much-hyped plan to bring 332 condos offering a high-class design at more affordable prices.

AquaTerra's amenities include a chef's kitchen, where residents can attend cooking classes taught by professional chefs; a movie theater with a different feature every night; a community library; and a wine room for tastings or bottle storage.

Chicago area developer Tom Roszak said there are about 50 reservations for the condos, expected to break ground in the fall.

"There is a great amount of interest. A lot of local Mesa people, out-of-towners, people from Phoenix, a wide variety," he said.

AquaTerra also is planned to have retail shops and restaurants on the ground floors, but Roszak said those tenants will be the last piece.

Though the plans seem to be moving on the condos and the apartments, Inland Real Estate Group is watching cautiously.

The company owns the corner that currently houses Best Buy, Staples and Borders Books and Music.

Best Buy has announced it will relocate to Fiesta Mall in about a year, so the owners are analyzing the entire corner, said Brad Wick, Inland assistant vice president for the western region.

"I think with the demographic thing, the jury may be out on that," he said. "I'm not 100 percent certain on what that will end up looking like."

JAHOPL · #**108** Posted **Feb 26, 2008, 2:42 PM**

How long, Lord, how long?

Elevation Chandler still grounded

David Woodfill, Tribune, February 26, 2008

City officials are hopeful that construction will resume on an unfinished high-rise near Chandler Fashion Center when financiers auction the property in April.

Elevation Chandler, a planned 15-level tower of luxury condominiums and hotel suites, has sat idle for two years, and the project's note holders are foreclosing on the building for the second time.

The tower's developer - Jeff Cline of Signature Properties West - hopes to obtain refinancing, or an extension on his current financing, said Chandler City Manager Mark Pentz.

Cline had already secured a $25 million bridge loan in late 2006 when debtors first tried to foreclose on the property. Pentz said he had doubts that Cline would be successful a second time around.

"I would be surprised, but I suppose that's within the realm of possibilities," he said.Cline could not be reached for comment.

Elevation Chandler has drawn the ire of residents and city officials.

"People consider it an eyesore, and with other projects moving forward in Chandler, they don't understand why this one isn't," Pentz said.

With no legal recourse to spur action on the stalled project, Chandler hopes the project will reach its full potential under a new developer.

Doug Ballard, Chandler planning and development director, said officials notified Cline that he was responsible for maintaining safety and security around the property after vandals breached the protective fencing and painted it with graffiti last year.

The city also requested and obtained a report on the building's structural integrity to ensure that its exposed flooring wasn't in danger of collapsing as a result of stress caused by extreme heat and cold.

Beyond that, Ballard said city officials have few options.

"If one were to conclude that the structure is unsafe, we always have the option to condemn it as being unsafe and to order it demolished," he said. "(But) there's no evidence that it's unsafe. It's certainly unsightly, and we're certainly concerned about it. But I'm not sure we can make the argument that it's unsafe."

JAHOPL · #**109** Posted **Mar 28, 2008, 2:19 PM**

Sounds like the "Town" of Gilbert wants to become a serious hotel hub, a virtual motel mecca, a veritable lodging location:

Gilbert hot property for hotel developers

Beth Lucas, Tribune, March 28, 2008

Acrobats flipped between two poles and over a cozy Hyatt Place hotel bed Thursday as Gilbert ushered in a new but long-awaited era - of having hotels.

Town officials gathered with representatives of Hyatt Corp. and Woodbine Southwest to break ground on the town's second hotel, a specialized Hyatt Place hotel co-owned by the companies that will cater to business travelers. Eight more hotels are in various planning and proposal stages in Gilbert.

The six-story, 127-room Hyatt Place hotel is anticipated to open as early as February 2009 at Val Vista Drive and the Santan Freeway stretch of Loop 202, in the vicinity of the Santan Autoplex, Mercy Gilbert Medical Center and the planned Main Street Commons high-end mall complex.

At six stories, Hyatt Place's height will match the town's current two tallest structures, the nearby Rome Towers and Banner Gateway Medical Center.

Planned adjacent to the Hyatt Place and also nearing final approval from the town is a four-story Hampton Inn with 99 rooms. "This is the vision that's been talked about for six, seven, eight years. The great news for everybody is enough people are committed to this vision that it's coming true - no excuses, no compromises," Town Manager George Pettit said.

Unfortunately, he added, it's not coming soon enough for Gilbert to reap the benefits of an estimated 6,000 hotel nights that the Big League Dreams ballpark is expected to bring in this year as it draws tournaments.

But the town sits on the verge of finally being able to collect more on a 3 percent bed tax that has collected only on the town's lone current hotel, an extended stay hotel at Guadalupe Road and Country Club Drive. "This week I was approached by folks who wanted to put on the world's largest baseball tournament," an event that could draw as many as 15,000 visitors to Gilbert and its Big League Dreams park for three to four days, Mayor Steve Berman said. "They told me, 'You won't believe what this will do for your economy.' " But for now, Mesa is benefiting because of its hotels, he said.

Developers are talking to the town about plans to build two hotels near Gilbert and Germann roads, three hotels near Higley and Baseline roads including the four-story Staybridge Suites with a planned 109 rooms, and one at the northeast corner of Power Road and Loop 202.

PHXguyinOKC · #**110** Posted **May 20, 2008, 12:03 AM**

Quote:

Elevation Chandler bankrupt, can't be sold

Apr. 16, 2008 07:18 AM
The Arizona Republic

Elevation Chandler is in bankruptcy.

Developer Jeff Cline filed papers Friday under Chapter 11. By doing so he held onto the stalled high-rise project south of Chandler Fashion Center just days before it was to be sold at auction.

The property had been scheduled for a trustee sale Monday.

If the sale had gone forward, a developer would have bought the property, or the site would have reverted to the mortgage holder, which in turn would have sold it, probably at a discounted price.

The partly built high-rise at Loop 101 and Santan Freeway is the most visible failed project in Chandler. Work stopped two years ago this month.

Under Chapter 11, Cline proposes a plan of reorganization that, upon acceptance by a majority of the creditors and confirmation by the court, will bind him and the creditors to the repayment terms. Plans can call for repayment out of future profits, sales of some or all of the assets, or a merger or recapitalization.

"The reorganization plan calls for withdrawal from Chapter 11 within a few weeks," Cline said in an e-mail. "The Chapter 11 will provide an opportunity for all creditors to receive 100 percent of monies due. That's all we can share at this time."

The bankruptcy filing shows that Cline owes $851,472 to the engineering and architecture firm DMJM H+N Inc. of Phoenix and $606,717.49 to Gould Evans Architecture of Phoenix.

Other creditors and the bills include Spark Design of Tempe, a Web designer, $125,000; QuaesTel Inc. of Naples, Fla., which did some high-tech wiring, $79,240.19; Atlanta-based OxBlue Corp., which provides construction cameras, $1,718; and American Fence Co. of Phoenix, $1,238.84.

Other creditors listed include Chandler, Maricopa County treasurer, Arizona Department of Revenue, Internal Revenue Service, Maricopa County assessor and the U.S. attorney general, specifically the Tax Division of the U.S. Department of Justice.

The amount of taxes owed was not listed in the court papers, and the IRS said it could not make that information public.

Cline owes Chandler $11,016.04 for plan-review fees, said Doug Ballard, director of planning and development.

"That balance had never been paid," Ballard said.

Also listed as a creditor is Point Center Financial of San Juan Capistrano, Calif., an apparent mortgage holder since the company is listed as the beneficiary on the notice of the trustee sale.

The amount of the mortgage was not included in the bankruptcy filing.

Steve Lichtenberger, vice president of DMJM, said the $851,472 his company is owed does not represent the total work done because the company had been paid for some work.

"We took the drawings all the way through the construction documents. We designed it and went through the permitting process with the city and worked on it as it started construction," he said.

DMJM also did design work on a second tower that was to be luxury condos, but construction never began on that structure.

Vince Adam owner of creditor Spark Design, a full-service ad agency that created the name Elevation Chandler and its Web site, was on the project about a year.

"Near the end he told us to stop because he had some payments due and couldn't keep up with everything," Adam said.

City officials expressed disappointment at the bankruptcy filing.

"We were hoping to see someone come in and acquire it and come up with some other redevelopment plan," City Manager Mark Pentz said. "This will only delay that."

Mayor Boyd Dunn said he is frustrated and wants development on that site to move forward.

"There's a lot of interest from other developers in this site, but obviously bankruptcy prevents those options from being focused on. ... My understanding is that nothing could be worked out (with buyers) and Mr. Cline wanted to continue to be part of any future development."

Dunn was especially frustrated that Monday's trustee sale did not occur.

"At least that would open the doors to other possibilities," he said. "Now we don't know where we're going. It could keep the status quo for months."

Dunn called the site an eyesore, and said the location is one of the most attractive sites "not only in Chandler but certainly in the East Valley."

"It's next to a premier regional mall, and it's very valuable land. It's something that I know other developers and hotels have looked at. It's been recommended as a possible site for a future conference center. I've had serious inquiries from individuals who'd love to take that property over."

The site was originally planned to be a 10-story luxury hotel with the top two floors luxury condominiums that were to be priced up to $2 million. But Cline ran out of cash, stopped paying the contractors and work stopped in April 2006.

In March 2007, after facing the threat of foreclosure and then obtaining a new loan to pay off construction debts, Cline put the property up for sale, asking for $42 million to $58 million.

No buyer willing to pay the price or close a deal was found, which led to the bankruptcy.

This is old, but looks like this building is going to be sitting idle for a long time

andrewkfromaz · #**111** Posted **May 20, 2008, 5:00 PM**

The mayor "had some serious inquiries from individuals who'd love to take that property over."

Sure. In that case, I'd love to interest you in some gorgeous ocean-front property...

combusean · #**112** Posted **May 21, 2008, 12:09 AM**

^ It's half-built and has oodles of permits and plenty of design work. It has the second-best location on the southeast side. The Republic has kept it alive more than any other failed boom-era proposal by giving it more coverage than any other complex but maybe CityScape. It wouldn't surprise me at all that it's made its way through the grapevine to more capable developers.

I wonder if the creditor's interests could be bought out. Might not even be that risky given the historical insanity of local real-estate deals.

andrewkfromaz · #**113** Posted **May 21, 2008, 8:11 PM**

Come on, seriously - what's the demand for hotels out there right now? It's gotta be way down.
All the permits have long since expired. Codes have changed since the design was done, meaning there may actually be need for some of the work to be torn out and redone.

Even further - what serious and capable developer approaches the mayor of Chandler to see about taking over the project?

PhxSprawler · #**114** Posted **May 22, 2008, 10:13 PM**

There are several thousand employees in that area, including some at a very large Wells Fargo call center, Orbital Science, and Intel's Fab32 plant that are served by only a few small hotels in the area, not to mention all the office space going up near the Chandler mall. I am sure there would be plenty of demand for hotel space. Penthouses and condo's are another topic.

I don't see any reason to be skeptical about the mayor being contacted over offers. Most of our valley mayors are very in touch with investors and developers. I am skeptical as to whether or not anyone wants to pay the asking price, however.

Cranetastic · #**115** Posted **May 26, 2008, 6:06 PM**

I live not too far from this area and it is growing. They are building a massive commercial building right across the freeway where a new (I believe) Aloft hotel will be going as well as other commercial buildings in a business park that stretches across Price Rd. Also there is a hotel under construction about six or seven stories right across the Price Rd and the 101 that has topped out and they are working on the exterior. This is a great area for this project and it should be completed, Cline needs to step down period and be realistic. He screwed up. Be a man and move on, quite hurting other for out of your own sheer greed. What a selfish jerk.

PhxSprawler · #**116** Posted **May 27, 2008, 9:16 PM**

Quote:

Originally Posted by Cranetastic

I live not too far from this area and it is growing. They are building a massive commercial building right across the freeway where a new (I believe) Aloft hotel will be going as well as other commercial buildings in a business park that stretches across Price Rd. Also there is a hotel under construction about six or seven stories right across the Price Rd and the 101 that has topped out and they are working on the exterior. This is a great area for this project and it should be completed, Cline needs to step down period and be realistic. He screwed up. Be a man and move on, quite hurting other for out of your own sheer greed. What a selfish jerk.

The building that is topped out on the east side of the Price is a Hilton. There are also some Marriott brands going on the site of Elevation (as Elevation was to be), and some Hilton brands (Hilton Garden Inn and Hampton Inn, I believe) planned on the south side of the 202. The Aloft hotel is further south (Queen Creek Rd between Price and Dobson in the Downtown Ocotillo development, which was recently cut down to four-stories from six as the meeting space was axed.

I agree that Cline has been a selfish jerk throughout the whole situation. He has been dicking around the city for two years now, allowing the empty shell to piss off countless residents and delay a timely resolution, which could have happened months prior. It sucks that he couldn't get the right financeers involved or partner with someone who could.

PhxSprawler · #**117** Posted **Jun 4, 2008, 6:49 PM**

New News on Elevation. Plans could include 18-Story office towers.

Quote:

Elevation buyer confirms deal in works for idle high-rise
by Luci Scott - Jun. 4, 2008 07:56 AM
The Arizona Republic
The abandoned, bankrupt Elevation Chandler structure will be completed as a hotel, and the site next to Chandler Fashion Center also may be developed to include two 18-story office buildings, says the spokesman for an investment group attempting to buy the property.

"We are trying to acquire the site, but we try to go under the radar because we don't want to get expectations up and then let people down," said Babak Motamedi, spokesman for Walkabout Real Estate Company, a group of investors of "high net worth individuals" from around the country whom he declined to identify.

Developer Jeff Cline said in bankruptcy proceedings last week that he has a buyer for the property, and documents filed with the court identified the buyer as Walkabout.

Motamedi said Cline would not be involved in the project after the sale. Motamedi said he expects financing to be finalized soon, but he declined to disclose the sale price.

Elevation Chandler, on 10.5 acres at the intersection of the Santan Freeway and Loop 101, was planned as a hotel topped with luxury condominiums, but construction stopped more than two years ago.

In April, Cline filed bankruptcy papers under Chapter 11.

Motamedi has met with Doug Ballard, the city's director of planning and development, to discuss the approval process, permitting issues and the city's expectations.

"I think he asked some very good questions that someone who was seriously looking into the project would ask," Ballard said.

"Other than that, it's always hard to say because people are looking into whether or not this would be a good investment, and they want to make sure they understand all the particulars of the case," Ballard added. "Some ask more than others, and (Motamedi) seemed to ask the right questions, so we're hopeful that this will bear fruit."

Motamedi said he has not yet met with mall owner Westcor or with city manager Mark Pentz.

If the sale goes through, Motamedi said the new owners plan to change the name to Walkabout Chandler.

"It rolls off the tongue well," he said.

One of the investors is from Australia, where "walkabout" is a term to describe an aboriginal spiritual journey.

"We also like (the name 'walkabout') because the employees can . . . walk to the mall, to the movies, to restaurants, to the hotel, to the gym and to child care."

To build 18-story office buildings the buyers would need City Council approval. Ballard said several years ago when the mall was being planned that the city envisioned "a fairly high-density, high-quality, Class A office development" at the site before Cline came along.

Motamedi, 28, said the investment group has done resorts in Colorado, three of the investors are in escrow to build a hotel in Chicago, and six members of the group just closed a deal for a 45-story hotel in San Diego.

He would not provide details to independently verify those claims, citing the need to keep the investment group members' identities confidential until the deal closes.

Walkabout Real Estate Company was formed last year as a limited liability corporation to be an exploratory company. Its address is a post office box in Tempe, but that's not unusual for investors who wish to remain confidential, he said.

The buyers began looking at the site a year ago, he said, "but it didn't go anywhere at the time because of the real estate market. . . . We put the project on the back burner for a while."

Motamedi met with a structural engineer from DMJM H+N, a Phoenix architectural firm, who Motamedi said verified the partly built structure has not deteriorated.

The loan for the property will come from one source, he said.

"We're not going to piece this together," Motamedi said. "We want to learn from the mistakes of others. I'm not saying Jeff (Cline) made mistakes. His financing fell apart and that was unfortunate. We're pursuing multiple financing options, and all of those are for full financing."

Cline planned to build the hotel under a Marriott brand, a Renaissance ClubSport. Motamedi said Cline has said Marriott still wants the site, but that the new buyers can't negotiate with Marriott until they purchase the property.

"One of the members of our group has exclusive rights to another major flag hotel for the state of Arizona, in case Marriott doesn't work out," he said.

He predicted the new plan for the Chandler site would be successful.

vertex · #**118** Posted **Jun 4, 2008, 8:10 PM**

Sounds promising.

I just hate the name....Walkabout. Sounds as though Paul Hogan is the developer.

flyer84 · #**119** Posted **Jun 4, 2008, 8:25 PM**

Quote:

Originally Posted by vertex

I just hate the name....Walkabout. Sounds as though Paul Hogan is the developer.

I second that. Walkabout is a really lame name. Elevation Chandler had a nicer ring to it imo.

Vicelord John · #**120** Posted **Jun 5, 2008, 2:50 AM**

the elevation deal had a spot on CBS news at 630 tonight.