PCCP, Dinerstein Team Up for Phoenix Development

Atlas Mesa. Rendering courtesy of The Dinerstein Cos.

PCCP and The Dinerstein Cos. have unveiled plans for Atlas Mesa, a 394-unit community in Mesa, Ariz. The joint venture will break ground on the property in July this year. First resident move-ins are slated for the first quarter of 2025, while full completion is expected later that year.

Atlas Mesa will incorporate units of various sizes, including studio, one-, two- and three-bedroom options, ranging from 562 to 1,394 square feet. The four Class A buildings will total 400,000 square feet on a 9.8-acre lot. The developer is targeting LEED certification.

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Plans call for four-story structures served by elevators, along with an additional central leasing and amenity building, all surrounding the primary outdoor pool area. Other amenities include a spa, as well as coworking spaces and outdoor recreational areas throughout the site.

Set to take shape the northwest corner of East Baseline Road and South Sunview, Atlas Mesa will rise adjacent to nonprofit A.T. Still University and east of the Banner Gateway Medical Center campus. The property will be 25 miles southeast of downtown Phoenix and roughly 3 miles south of Route 60.

Some January multifamily developments

The metro saw a surge of development activity last month. Chicago-based Optima received all city approvals for a $1 billion mixed-use project in North Scottsdale, Ariz., that will add 1,300 units.

The same month, a joint venture between Housing Trust Group and Treger Partners completed Aviva Goodyear, a 288-unit luxury multifamily community in Phoenix.

HCW Development and Thompson Thrift were also active in the metro. HCW opened Glen 91, a 296-unit luxury community in Glendale, Ariz., while the latter unveiled plans for a 252-unit residential project in Buckeye, Ariz.

Completions slow down in Phoenix

According to a Phoenix market report by Northmarq, approximately 3,200 units were completed in the metro in the fourth quarter of 2022, while over the full year, the total number of completions exceeded 12,900 units. This represented a 5 percent decrease year-over-year, the same source shows.

Northmarq expects 16,000 new units to be added to Phoenix’s inventory this year. The projected new supply represents a 23 percent increase from the average number of units completed annually since 2020.