High Demand For High-End Office Space In Tempe
Demand for high-end office space in Tempe is so strong, a developer recently broke ground on a nine-story building without having a single tenant lined up.
It’s the second office building at a mixed-use project called The Grand at Papago Park Center, a nearly 60-acre development near Priest Drive, the Loop 202 and Washington Street.
“The vacancy rate for Class A Tempe office space is at a record low, currently sitting at sub-two percent, and companies continue to flock here for Tempe’s amenities, educated labor pool and premier work environments,” David Krumwiede, executive vice president with Lincoln Property Company, said in a statement.
At 352,000 square feet, Lincoln Property Company says The Grand Building Two is one of Arizona’s largest speculative office buildings. It will feature floor-to-ceiling windows, a rooftop lounge and private fitness facility.
The Grand at Papago Park Center is about a quarter mile from Tempe Town Lake and the Marina Heights Development, which serves as a regional hub for State Farm Insurance.
At buildout, The Grand at Papago Park Center is expected to encompass 1.8 million square feet in eight office buildings and three parking garages.