Real Estate

85254 Real Estate by the Numbers

By Joseph Callaway

According to the Arizona Multiple Listing Service, in 85254, there were 85 single family homes that sold in March 2021. The average sales price was $801,800 with an average price per square foot of $299.19. Single family homes took an average of 31 days on the market to sell. Arizona Multiple Listing Service also reports that there were 36 condos and townhomes sold in March 2021. The average sales price was $588,618 with an average price per square foot of $405.82. Condos and townhomes took an average of 72 days on the market to sell.

Rentals were on fire in March 2021. Rates ranged from a low of $1.01 per square foot up to a high of $13.17, with an average price per square foot $1.79. In other words, a 2,000 square foot home went for an average of $2,980 a month.

The big story is the Sold Price versus the Asking Price or List Price. While a few homes sold for less than asking, the average sale was for 1% over asking and a few sales were for as much as 20% over asking, a remarkable number.

The reason for this buying frenzy is not that there are more buyers than usual. It is because so few homes are for sale. Will this situation change? Yes, the market always changes, but the real question is when and in what way? It is difficult to imagine a further tightening of supply but far easier to predict more homes coming to market. Mortgage rates will probably rise. With the implementation of the vaccine, COVID-19 restrictions are lifting, giving many people an opportunity to now make a move that they were putting off. One thing is certain; the market will change gradually and our realization of that change will come suddenly. That is the adventure.

Joseph Callaway is co-owner of Those Callaways, an independent brokerage operating in 85254 for 25 years. For additional information, visit ThoseCallaways.com or call 480-596-5751..

Two Developers Seeking Planning Approval to Build Nearby Apartment Complexes

By Jenna-Lee Neff

As the area continues to grow, two developers are in the planning and planning approval process that, if all goes as expected, will bring a 14-story apartment building and a five-story apartment building to the area.

The 14-story high-rise apartment building is planned for the southwest corner of Scottsdale and Bell roads, across the street from The Promenade shopping center. The Hampton Group, Inc., a commercial real estate development and investment firm in Scottsdale, lists the project on their website as a 255-unit multi-family apartment complex in the design and development phase.

In a recent committee meeting, two members of Phoenix’s Paradise Valley Village Planning Committee stated they think the building, which will reach 157foot according to current plans, is too tall. The proposed building would stand 32 feet taller than the 125-foot landmark Frank Lloyd Wright Spire that stands directly across Scottsdale Road from the development site.

Committee Vice Chairman Joe Lesher, one member concerned about the height, also expressed concerns over the impact the development would have on traffic at the intersection.

Nicholas Wood, a development lawyer from the Phoenix law firm Snell & Wilmer who presented during the committee meeting, says the Valley’s growth is making it a necessity to build taller residential buildings.

The development would still need approvals on the building plans and approvals on rezoning the area to move forward. Those approvals will need to come from the planning commission and the Phoenix City Council later this year. Two businesses currently operate on the proposed site; La Torretta Ristorante and Coconut’s Fish Café would be displaced if the planned development gets the approval to move forward.

The second planned development, a five-story apartment building, which will sit across the street from the Kierland Commons shopping center, will be a 360-unit multi-family building with an attached parking garage.

In a project overview submitted to the City of Phoenix, developer RD Kierland says the project provides an opportunity to redevelop two underutilized one-story office buildings with surface parking on the 7.14 acre site along the Greenway Parkway corridor into the proposed five-story luxury rental residential community.

“The overall goal of the project is to provide a quality, modern urban living experience for its future residents and to create a pedestrian friendly, walkable environment along its three roadway frontages for the benefit of the larger community,” according to the project overview.

Recently, Phoenix’s Paradise Valley Village Planning Committee unanimously approved the general plan and rezone change for the property. However, the project still needs approval from Phoenix’s Planning Commission. The commission is expected to review the project during a Thursday, May 6 meeting.

Snell & Wilmer is representing both The Hampton Group, Inc. and RD Kierland on these projects.

Jenna-Lee Neff is a freelance journalist, digital audience analyst, and nonprofit public relations professional. Learn more about her work at jennaleeneff.com.