Luxury Phoenix Development Lands $120M

A JLL Capital Markets team secured the financing.

Ray Phoenix
Ray Phoenix will also feature 4,500 square feet of retail space. Image courtesy of JLL

VeLa Development Partners and Ray have received $120 million in construction financing for Ray Phoenix, a 401-unit luxury community in Phoenix. Working on behalf of the joint venture, JLL secured the loan from an affiliate of RXR Realty Investments LLC.

Project financing also includes an $80 million construction note provided by Axos Bank in December 2023. Ray Phoenix is slated for completion in 2026.

The developers broke ground on the 523,000-square-foot structure in April. Johnston Marklee & Associates, alongside Lamar Johnson Collaborative, served as project architects. Parts and Labor Design together with Ray’s in-house design team provided interior design, while Grace Fuller Design created the landscape design.


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Upon delivery, the 30-story building will incorporate studio, one- and two-bedroom floorplans ranging between 772 and 1,618 square feet, including duplex and penthouse units. The 20,000 square feet of amenity space are set to comprise a fitness center, a swimming pool, a yoga studio, a fireplace lounge, indoor and outdoor gardens, workspaces, a spa, controlled access and approximately 400 parking spaces. The units will feature washer and dryers, floor-to-ceiling windows and balconies or patios.

Key features of the project also include a street-level art gallery open to the public and a lobby mural by multimedia artist Alex Israel, contributing to the cultural landscape of downtown Phoenix. Ray will also collaborate with local creatives to develop cultural programming for residents and the wider community.

JLL Senior Managing Directors Michael Gigliotti and Brad Miner, Associate Elle Miraglia and Analyst Frank Choumas led the Capital Markets Debt Advisory team which represented the borrower.

Multifamily development slows down in the Valley

Located at 777 N. Central Ave., Ray Phoenix is within an Opportunity Zone in downtown Phoenix. The community rises next to the Phoenix light-rail line and near Interstate 10, which provide easy access across the Phoenix metropolitan area. Arizona State University, Phoenix Convention Center and The Japanese Friendship Garden are within walking distance of the property.

Some 170 multifamily projects totaling more than 45,500 units were under construction in Greater Phoenix as of June, according to Yardi Matrix information. Of the total, only 16 developments have entered the pipeline since the beginning of the year.

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