Phoenix Mayor Says Downtown High Rise 'Could Be Iconic'
After 35 years, Phoenix is ready to say goodbye to 30 parking spaces. The spots make up a city-owned parking lot on the southeast corner of Central Avenue and Adams.
A developer wants to build a mixed-use high rise with ground floor retail followed by parking and offices. The majority of space would feature a 200 room hotel. The companies hoping to buy the lot — Berger Holdings LLC and Sunbelt Holdings — describe the hotel as limited use, with small concept units, similar to Tapestry by Hilton and Moxy by Marriott.
Mayor Thelda Williams said she appreciated the design which kind of resembles Lego blocks.
“It seems like all the other buildings going up downtown all look alike. They’re all a rectangular box,” she said. “This at least is different. It could be iconic in downtown.”
During a city subcommittee meeting, Economic Development Director Chris Mackay said the deal will generate revenue beyond the $2.8 million purchase price.
“This will put this property back on active property tax rolls,” she said. “They are not requesting any type of city assistance in tax abatement so it will pay approximately $500,000 a year in property tax.”
Mackay said the 200,000 square foot project will generate an estimated $2.4 million in construction sales tax and 230 permanent jobs. The full council is expected to vote on the deal this month.