Southeast Valley Development News

[MegaBass]

Apple promises $2 billion command center in Mesa

Apple Inc. will establish a command center for its global operations in Mesa, promising a $2 billion investment over the next 30 years, state officials will announce this afternoon.

The east Mesa center is expected create 150 full-time jobs for Apple, and could generate from 300 to 500 construction and trade jobs while the facility at Signal Butte Road is built out.

Gov. Doug Ducey lauded Apple's move in a statement.

"Its decision to bring this new facility to Mesa is a huge win for Arizona and a high testament to our business-friendly climate and talented workforce," Ducey said. "This expansion will bring a significant economic investment, and propel Arizona's position as one of the best states in the nation in which to do business."

The command center will operate at the same site an Apple glass supplier abandoned last fall, when it filed for bankruptcy. Apple has owned the site since 2013, when it acquired it after First Solar ended its plans to operate a manufacturing plant there.

The revived facility will cover 1.3 million square feet and operate using solar power, the Governor's Office said. The company anticipates a 70-megawatt plant, producing the equivalent of what is needed to supply 14,500 homes.

Ducey will be joined at a Capitol news conference by Mesa Mayor John Giles as well as other state officials. Apple representatives will not be present.

Giles called the announcement great news for the city, which will be getting a bigger, more-prestigious Apple corporate presence.

"The iCloud will be hovering right over Mesa, Arizona," Giles said. "I couldn't imagine a better ending to this story."

Giles said he likes the new deal better than the previous one involving sapphire glass manufacturer GT Advanced Technologies because it involves Apple directly, not a sub-contractor. The jobs will be higher-paying, and the long-term outlook much more stable, he said.

After Apple's supplier, GT Advanced, pulled out of the site last fall, Apple said it intended to continue to work to bring jobs to Mesa.

Ducey's spokesman, Daniel Scarpinato, said the deal will not involve any money from the Arizona Competes fund, which is the state's deal-closing fund. Apple was promised $10 million from the fund for the facility built by GT Advanced Technologies, but Scarpinato said Apple will not claim that money.

[MegaBass]

Mesa Cubs ballpark gets first piece of 'Wrigleyville'

A palm-tree-lined "paseo" connects the park to the ballfields, with the area envisioned as Wrigleyville West spanning both sides. The new Sheraton sits on the paseo's north side.

Yost isn't waiting on the Cubs to puruse his next Wrigleyville project. By May or June, he plans to start construction on a second phase of the Sheraton, along with the area's first retail space.

The hotel expansion will add about 75 rooms, and the retail portion could feature a bowling alley, he said.

Yost said his group has also been approached by some Chicago-area restaurateurs, but those negotiations are still ongoing. Other retail possibilities include an ice cream parlor, bike shop and sporting goods store, Yost said.

If the Cubs do forfeit their development rights, Yost and others are waiting in the wings.

[MegaBass]

Fiesta Mall Macy's to redevelop as corporate campus

The former Macy's space at Fiesta Mall in Mesa will become an urban office space, officials announced today.

The transformation of the space into the Fiesta Corporate Campus begins this fall with development by Verde Fiesta I LLC, a corporation represented by Scott Jackson and Steven Johnson. The pair has acquired the building in a deal with Macy's (NYSE: M).

Mesa has been concerned about deteriorating conditions in the Fiesta Mall area for years. In 2013, it pumped $11 million into streetscape improvements, after spending nearly $5 million on a modern police substation.

The Macy's conversion to a corporate campus built into a shopping mall turns an obsolete shopping complex into a mixed-use opportunity. The department store has been empty for about a year.

Former Mesa Mayor Scott Smith said in an interview at that time, "Someone is going to see the value of the Fiesta District and do something with those empty shopping centers."

Right now, the city awaits completion of a 110,000-square-foot conversion of an abandoned retail big box into a high technology office complex across the street from Fiesta Mall.

"Fiesta Mall is the center of the Fiesta District and this reuse of Macy's is exactly the type of urban development we've had in mind for the area," Mayor John Giles said.

The new owners plan to modernize the exterior of the 35-year-old Macy's building and add an outdoor, upper-level patio and break room to the building.

The new owners tout the freeway location and transit access, available parking, and the opportunities the building itself lends to meeting modern corporate office needs.

"The building design provides a strong corporate image and the high ceilings, data services and plentiful parking will meet today's office user needs," said Verde Fiesta partner Scott Jackson. Verde Fiesta I LLC filed for incorporation on March 10, and detailed information was not available as of publication time.

The project breaks ground later this year and will take about 18 months to complete.

Great to see Mesa follow the latest trend on redeveloping dead/struggling shopping centers.

[vertex]

Haven't seen anything on this board with regards to Downtown Chandler. Here are a few updates. Apologies ahead of time if this has already been posted.

Site 1: Alamo Drafthouse Cinema, SW corner of Arizona Ave and Chandler Blvd. A nice northern entrance to downtown, with some badly needed retail and parking.

Site 4: DC Heights Apartments, south of San Marcos Resort, facing Boston St. and backing up to the downtown shops on the west side of Arizona Ave. Some good density, with a possible 10 story tower added in the future.

Alta Steelyard Lofts, Frye Rd, a block west of Arizona Ave. Across the street from Chandler's Innovation compound and ASU's TechShop. Slated for completion by the end of the year.

[ljm]

I'm on here almost every day, but I haven't posted anything for a long time. Anyway, I drive the 202 every day and there are quite a few commercial projects under construction that I can see from the road. The biggest by far is the Rivulon (http://www.rivulon.com/) off Gilbert road. Sorry if it's small, but I have pointed out where construction is happening that is viewable from the freeway in the area. All of it is commercial too.

[azsunsurfer]

Ljm. I agree. I live near downtown Gilbert and have seen all the progress recently on the St. Xavier campus, Snooze, etc. I should post some updates soon.

Speaking of Rivulon. I had no idea the spec building was 4 stories tall. I knew the health sales company was taking a 3 story building that is also under construction. Should be a significant project when completed.

Cheers.

[ASU Diablo]

Not sure if it was on here or on CityData forums, but there was a lot of rumblings about the Apple Command Center and that it was nothing more than a "glorified" data center. Well this proves all the naysayers wrong and hopefully leads to a bigger Apple footprint, akin to Austin

Apple to hire up to 500 more than planned for Mesa command center
http://www.bizjournals.com/phoenix/b...-for-mesa.html

The wisps of iCloud over Mesa are filled with solid silver linings. More than 300 additional workers – up to as many as 500, will be added to the 150 Apple Computer executive-level positions planned for Apple’s Mesa Command Center.

Apple CFO Luca Maestri and other top executives told Mesa Mayor John Giles in Cupertino, California, last week the now firm plans for its East Valley facility are better news than the speculation earlier this year. The 1.2 million-square-foot Apple Mesa data center will be led by a small contingent of Apple executives moving to the Silicon Desert from Silicon Valley. The remaining executive, leadership and engineering staff will be hired from local talent.

The additional 300- to 500-person workforce will start as contract workers for Apple, and virtually all are expected to be local hires. Giles said that Apple executives reminded him that the first round of hiring in Austin totaled 150 people.

"There could be more hires," said Giles. "They told me that Apple has a history of expanding where it has a major footprint and Austin now has more than 6,000 workers."

[nickw252]

St. Xavier University has opened its doors in Gilbert, and is preparing for fall classes to begin in October.
The liberal arts school will focus on teacher and business programs, and eventually will add nursing to its list of offerings.

http://www.bizjournals.com/phoenix/b...n-gilbert.html

This is a pretty cool development. While most of Gilbert is a wasteland, for those of you not familiar with its downtown area, it's worth visiting.

Although I think it would be better for colleges to be along the light rail line, I still like that more college campuses that are not for-profit schools are locating here.

I'm originally from Ohio and it seems like in most of the Midwest you can't go 10 miles without tripping over a university or liberal arts college. It was really a shock when I moved to Phoenix and there were really only 3 major colleges in the state.

[azsunsurfer]

I take a bit of offense to that...Gilbert is one of the most cleanest, safest, prosperous suburbs in AZ (and soon to be one of the largest employment centres). All my properties have appreciated quite handsomely in the last few years but anyway.....

Gilbert Rd. will have a LINK bus line (I believe in 2017-18) that will connect that artery with Light Rail in Mesa. I think that will be a good fit for the area. Also this school will be dealing with only Grad students. Grad students are less likely to use Valley Metro as opposed to their own vehicles.

I do recommend people come visit Downtown. I am happy that it's very anti-chain/ locally owned based economy. There are a lot of great redevelopment projects in the works for the area including a loft style apartment development that will be located right next to St. Xavier. Cheers!

[mdpx]

Originally Posted by nickw252

http://www.bizjournals.com/phoenix/b...n-gilbert.html

This is a pretty cool development. While most of Gilbert is a wasteland, for those of you not familiar with its downtown area, it's worth visiting.

Although I think it would be better for colleges to be along the light rail line, I still like that more college campuses that are not for-profit schools are locating here.

I'm originally from Ohio and it seems like in most of the Midwest you can't go 10 miles without tripping over a university or liberal arts college. It was really a shock when I moved to Phoenix and there were really only 3 major colleges in the state.

Wow, so much misinformation in one small post. Gilbert is pretty damn cool in spite of it being far away and you must have moved here in the 1920's as there are way more than 3 colleges in the state.

http://collegestats.org/colleges/arizona/

[poconoboy61]

Originally Posted by mdpx

Wow, so much misinformation in one small post. Gilbert is pretty damn cool in spite of it being far away and you must have moved here in the 1920's as there are way more than 3 colleges in the state.

http://collegestats.org/colleges/arizona/

I think he means liberal arts college and private and state schools. Many states in the Midwest and in the East have these colleges with actual decent sized campuses scattered all over the state. Carsten Institute of Cosmetology in Tempe, Charles of Italy Beauty College in Havasu, Le Cordon Bleu in Scottsdale, and Carrington College are not the same.

[nickw252]

Originally Posted by poconoboy61

I think he means liberal arts college and private and state schools. Many states in the Midwest and in the East have these colleges with actual decent sized campuses scattered all over the state. Carsten Institute of Cosmetology in Tempe, Charles of Italy Beauty College in Havasu, Le Cordon Bleu in Scottsdale, and Carrington College are not the same.

Thanks for the clarification, you are exactly right. When I said "major colleges and universities" I definitely wasn't talking about correspondence schools, online schools, for-profit colleges in strip malls or office parks, career training centers, or community colleges, etc. I was obviously talking about major public and private residential universities, of which there are very few in AZ.

[nickw252]

Originally Posted by azsunsurfer

I take a bit of offense to that...Gilbert is one of the most cleanest, safest, prosperous suburbs in AZ (and soon to be one of the largest employment centres).

I'm unsure why you're taking offense to my post. First, I Never said that Gilbert was unsafe or dirty (it's neither). Second, I was complimenting how nice downtown Gilbert is and encouraging people to visit the area.

[PhxSprawler]

Thought I'd give this page a bump. The future of the Price Corridor is looking up. Here's hoping public transit actually keeps up with the development!

1. Wells Fargo expansion - Up to 200' - 13 Stories (note: the last proposal to the city said two 9-Story buildings)



http://www.azcentral.com/story/news/...mpus/72269008/

2. Park Place - Price /202 - Planned 10 story hotel. Mostly 2 to 3 Story buildings, potential zoning up to 14 stories.

http://www.cyburthall.com/pdf_pr_news/book.pdf

[azsunsurfer]

Thanks for the bump, I have been hoping to update this thread but I have been too busy lately.

I thought I'd give an update on Downtown Gilbert

Heritage Marketplace Phase II is under construction (the 2nd two story building is topped off)

http://www.globest.com/news/12_978/p...-352040-1.html

Gilbert Awarded to RFPs for Town owned land downtown to construct a bowling alley, brewery, live music venue as well as a "hall" that will house small start up boutiques similar to the Union at the Biltmore.

http://www.azcentral.com/story/news/...bert/72016604/

[combusean]

Cyburt Hall isn't the developer of Park Place anymore. There's a different site plan under construction now.

http://www.douglasallredco.com/portf...ed-park-place/

[RichTempe]

I hadn't heard this news about downtown Chandler's entertainment district, "The Row", which includes the Alamo Drafthouse. Anyone know if the issue has been resolved yet?

Chandler’s downtown entertainment district is being put on hold because the soil the project is being built on may cause damage to the buildings.
The entertainment center, which is being called “the Row,” is being built on the southwest corner of Arizona Avenue and Chandler Boulevard. It was first announced in 2014, with the first phase of the 60,000-square-foot complex expected to open by the end of 2015.

http://www.bizjournals.com/phoenix/n...rafthouse.html

[muertecaza]

http://azbex.com/mesa-issues-rfp-for...e-development/

The City of Mesa has issued an RFP to redevelop approximately 2.5 acres at the northwest corner of Country Club Drive and Main Street.

According to Jeff McVay, the city’s manager of downtown transformation, Mesa is seeking a signature development that announces visitors’ arrival into the district. “That’s the area’s western boundary; so we need something that, when you see it, you know you’ve reached downtown.”

...Ideally, the development will feature a mixed use development four stories or higher and an active first floor. Three stories is the minimum.

...

McVay noted the area falls under the city’s form based code for zoning. “Use-wise, we’re more open. The only real constraint we have is the first floor has to be active use, whether that means retail, restaurants or active office uses. Above that, it can be office; it can be residential, commercial, what have you. That’s the extent of what type of uses we’re looking for.”

Another concern the city hopes to find in the proposals it receives is a plan intense enough to require and provide structured parking. “It’s a large site at 2.5 acres. It’s a good-sized site for a downtown. It’s big enough that we should be able to get quite a bit of intensity, and I would hope they can get the cost per square foot and construction on their ROI that they should be able to do some structured parking. That’s a big element to me, that we have a development that’s intense enough that it requires structured parking.

[muertecaza]

Seems like an interesting project. Still a ways off though.

http://www.bizjournals.com/phoenix/n...town-mesa.html

A $14 million live-work artists lofts development is in the works for downtown Mesa.

The 50-unit downtown project will also be the first in Arizona from Minneapolis-based Artspace Projects Inc. The group develops lofts and other space for artists and has projects in Chicago, Dearborn, Michigan and other cities.

Artspace’s Arizona’s project is called the Mesa Artspace Lofts.
It is slated to be located at 155 S. Hibbert St. south of Main Street and the Mesa Arts Center.

“We are indeed working on a project in Mesa. We’re currently in pre-development and hoping to begin construction in early 2017,” said Artspace Vice President Melodie Bahan.

Cindy Ornstein, executive of the Mesa Arts Center, said the lofts project fits in with some of the arts-focused special events and economic development efforts in the downtown area.

That includes more murals, art exhibits the public can interact with and transforming vacant properties into public art programs.

The city of Mesa, Mesa-based Neighborhood Economic Development Corp. and JPMorgan Chase & Co are partnering with Artscape on the development.
The lofts are for those making 30 to 60 percent of the regional median income. That allows the project’s development to receive low income tax credits. Of the $14 million price tag, $1.5 million is coming from private sources.

The Mesa art lofts will also include some commercial and gallery space. It’s also near the Metro light rail line.

Here is the preliminary render from Artspace:



Some of the other developments by Artspace seem interesting (http://www.artspace.org/our-places).

[exit2lef]

Interesting article on the emergence of the Gilbert Heritage District, which is now sometimes known as "Downtown Gilbert":

http://www.azcentral.com/longform/ne...tory/75712650/

There's some good commentary on historic preservation, density, and walkability. Not mentioned is transit. I might like to see light rail turn right at Gilbert/Main in Mesa and head south into the Gilbert Heritage District, but with the current political climate in Gilbert I don't see that as likely any time soon.