Hines to Develop Luxury Community in Phoenix
The company’s first multifamily project in the city will target professionals working in the downtown area and looking for a high-end lifestyle in a core location.
Hines plans to develop its first multifamily project in downtown Phoenix, Ariz. The 25-story, 379-unit luxury multifamily community will be located on the northwest corner of Jefferson and Third Streets near Collier Center, across from Talking Stick Resort Arena, home of the NBA’s Phoenix Suns.
The development follows the purchase by Hines of a 1.5-acre site and zoning approval by the city of Phoenix. Hines represented itself in the transaction, while Jim Fijan of Fijan Advisors, LLC, represented the seller. Construction of the 480,000-square-foot building will start in the first quarter of 2019 and is expected complete in the fourth quarter of 2020.
“This is a core location in the heart of the downtown Phoenix sports and entertainment district,” Chris Anderson, Hines managing director and Arizona leader, told Multi-Housing News. “We believe downtown Phoenix has made a meaningful move forward this cycle with the current employers, ASU downtown campus, new Fry’s grocery store and significant infrastructure investments (. . .). More people want to be part of the vibrant urban core.”
Featuring 75 studio, 179 one-bedroom and 125 two-bedroom apartments, the building will include floor-to-ceiling windows, junior Olympic-size swimming pool, 2,800-square-foot fitness center, indoor great room with private and group seating, private conference areas and community kitchen. Overlooking Third Street will be an elevated second-floor outdoor kitchen with fire pits, group and private seating and landscaped gardens.
A dog spa, bike storage, coffee bar and concierge service will be situated off the main lobby at street level. The building will feature more than 4,500 square feet of retail and restaurant space at street level on the corner of Jefferson and Third Streets. Three levels of underground parking will serve resident parking needs. In addition to that, Hines will renovate and then lease 10,000 square feet of existing office space.
“Every project has its challenges, but Hines believes this location has great long-term value,” Anderson said. “The upside is the location and all the amenities nearby. The downside was the time it took getting a strong understanding of the existing infrastructure in place to ensure we could build what we intended.”
The development will target professionals who work in downtown Phoenix, as well as residents of other parts of the Valley of the Sun who seek a lifestyle in the swiftly evolving, high-energy, amenity-laden center of downtown Phoenix.
In fall 2017, Hines completed the entitlement phase of Asteria Highlands in North Scottsdale, the company’s first Arizona single-family residential project with an expected completion date in early 2019.
Image courtesy of SmithGroup