Top 10 Multifamily Projects Under Construction in Phoenix
The metro’s active development pipeline includes some 22,000 units underway as of July, according to Yardi Matrix data.
The Phoenix multifamily market continues to stay on solid ground despite the ongoing pandemic-induced economic slowdown. According to Yardi Matrix data, more than 108 multifamily projects totaling nearly 22,000 units were underway in the metro as of July, most of which were in upscale communities.
Development activity was concentrated in the Sky Harbor and North Tempe submarkets, where a respective 4,247 and 2,876 units were under construction as of July. Some 3,700 units were added to the metro’s inventory year-to-date, including the 504-unit Sky at Chandler Airpark. Meanwhile, 6,855 units are expected to come online by year-end. Here’s a breakdown of the largest communities under construction in the metro as of July.
10. Acero Estrella Commons & Paradise at P83
IDM Cos. is developing two communities in the Phoenix metro. The largest one is Acero Estrella Commons, a 15-building property in Goodyear, Ariz., encompassing 352 units ranging in size between 772 and 1,385 square feet. Completion is scheduled for the last quarter of 2020. Pacific Coast Capital Partners provided construction financing totaling $34.1 million. Located at 15380 W. Fillmore St., the community is 15 minutes from Luke Air Force Base.
The Opus Group’s Paradise at P83 is another community taking shape in suburban Phoenix. Construction on the 10-building asset broke ground in September 2019. Upon completion, scheduled for the second quarter of 2021, it will encompass 352 units sized between 640 and 1,445 square feet. UMB Bank provided $39 million in construction financing. The property is situated at 16601 N. 75th Ave. in Peoria, Ariz., close to Midwestern University and the P83 entertainment district.
9. The McDowell
The McDowell is a JLB Partners project being built on the site of a former car dealership in Scottsdale, Ariz. The 358-unit community broke ground in March 2020 and is expected to come online at the end of 2021. At full build-out, it will feature two midcentury modern-style apartment buildings of three and four stories each, as well as a single-story parking garage. BBVA USA funded the construction with a $57.4 million loan.
The multifamily market is hot in Gilbert, Ariz., where more than 2,700 units were under construction as of July. At 2350 S. Wade Drive, The Wolff Co. is developing Aiya, a 366-unit, 16-building community scheduled for completion in June 2021. Strouse Davis Architecture is designing the project in partnership with Katerra, while $32.4 in construction financing was provided by BMO Harris Bank.
The upcoming 379-unit Adeline represents Hines’ first multifamily project in Phoenix. The company broke ground on the luxury community in February 2020 and expects to deliver it at the end of 2021. Adeline will feature 75 studios, 179 one-bedroom units and 125 two-bedroom units.
SmithGroup serves as the architect, and CIM Group provided $101 million in construction financing. Situated at 222 E. Jefferson St. in the city’s Sky Harbor submarket, the property sits near Talking Stick Resort Arena and two light rail stops. Hines also plans to start construction on a second residential project in the area by year-end.
6. Soltra at SanTan Village
Also in Gilbert, Ariz., Leon Capital Group is currently developing Soltra at SanTan Village, a 380-unit community. The Dallas-based company started construction on the six-building property in January 2020, and completion is scheduled for delivery at the beginning of 2022. A $54 million construction loan was funded by Citizens Financial Group Inc.
McShane Construction Co. provided general construction services, Todd & Associates served as architect and AndersonBaron as the landscape architect. Soltra at SanTan Village is located on 14 acres at the corner of Ray Road and South Santan Village Parkway, within walking distance of entertainment venues such as Top Golf, Main Event and the SanTan Village Mall.
5. The Crossing at Cooley Station
Management Support broke ground on The Crossing at Cooley Station in May 2020. Upon completion—scheduled for the end of 2021—the gated community will encompass 408 one-, two- and three-bedroom units ranging between 586 and 1,397 square feet. Wells Fargo Bank aided its construction with $49 million in financing.
CCBG Architects designed the project, which encapsulates architectural elements from the golden age of train travel. The property is located at 3700 E. Williams Field Road in Gilbert, Ariz., close to the proposed Cooley Station. The ASU Polytechnic campus, Phoenix-Mesa Gateway Airport and SanTan Village are also nearby.
4. Pearl Biltmore
Houston-based The Morgan Group teamed up with Mesirow Financial for the development of Pearl Biltmore, a 470-unit community at 2323 E. Highland Ave. in Phoenix’s East Camelback submarket. The joint venture broke ground on the property in September 2018, with Comerica Bank providing $66.7 in million construction financing.
The CCBG Architects-designed project will include studios, one-, two- and three-bedroom apartments sized between 476 and 1,076 square feet. Completion is scheduled for the first quarter of 2021.
3. San Artes
The third property on the list is Mark-Taylor’s upcoming San Artes in Scottsdale, Ariz. The company broke ground on the 552-unit community in February 2020. The project is scheduled for completion in the summer of 2022. Wells Fargo Bank acted as the lender, providing $110 million in construction financing. San Artes is located at 17900 N. Hayden Road, in the city’s northern end. The area is home to many other up-and-coming communities, including Lennar Multifamily Communities’ Vitri, Kaplan Management Co.’s The Scottsdale Grand and Banyan Residential’s Scottsdale Entrada.
2. The Pier
Wisconsin-based Springbrook Development entered the Phoenix market in 2019, breaking ground on the 586-unit The Pier in March. The $80 million project is expected to be completed in the third quarter of 2021 and will include two apartment buildings of 24 stories each.
The Pier is located in a high-density area at 1190 Vista Del Lago Drive in Tempe, Ariz., along the south side of Tempe Town Lake. It is part of a 2007 master plan envisioned by the city that aims to combine multifamily projects with retail and offices, and to revitalize and transform the existing space into a modern urban living district.
1. The Fillmore
The largest upcoming project on the list is The Fillmore, a 609-unit, partially affordable community developed by High Street Residential, a subsidiary of Trammell Crow Co. The two-phase, $140 million mixed-use project broke ground in February 2020 and is expected to come online in the fall of 2022. Upon completion, it will also feature ground-floor retail and an urban paseo spanning from Fourth Avenue to Sixth Avenue.
CHASSE Building Team serves as the general contractor. A $53 million construction financing was provided by Alliance Bank. The Fillmore is located at 355 N. Fifth Ave. in Phoenix’s Sky Harbor submarket and will feature one- to three-bedroom apartments sized from 489 to 1,626 square feet.