Creation, Clarion Deliver 1st Phase of $250M Campus

Creation and Clarion Partners have completed the first stage of Park Algodon, a $250 million speculative industrial and mixed-use development in Phoenix’s West Valley. Upon full build-out, the campus will comprise 1.3 million square feet of Class A industrial space with an adjacent 7-acre property featuring more than 14,000 square feet of retail and restaurant space.

The joint venture acquired the land for the industrial campus in November 2023. The duo broke ground on the first phase of the project in May 2024, comprising four buildings and totaling roughly 725,000 square feet. The facilities were designed to accommodate tenants ranging from 30,000 to 317,000 square feet. The second phase will feature a single 556,000-square industrial building.

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Located in the northwest corner of Loop 101 and Indian School Road, the two properties span roughly 86 acres. The campus is visible from the freeway and also has strong regional access. The infill project is situated near Interstate 10 and downtown Phoenix is about 15 miles east of Park Algodon.

All the industrial buildings feature 32- to 40-foot minimum clear heights, ample power and abundant employee parking.

A second phase still to come

Grant Kingdon, principal of Mountain West region for Phoenix-based Creation, told Commercial Property Executive no leases have been signed for the first four buildings or the second phase. He confirmed that Clarion will also be a partner for the last industrial building.

“The timeline for construction will be about a 10-month build, with no groundbreaking date set at this time,” Kingdon, said.

Matching national industrial real estate trends, Kingdon said in prepared remarks that there is strong demand in the Phoenix region for best-in-class industrial space by a diverse range of industries because of proximity and accessibility to neighboring markets and ports.

LGE Design Build has been in charge of architecture and construction for the project. Industrial leasing is being handled by Cushman & Wakefield Executive Vise Chairs Andy Markham and Phil Haenel. Principals Matt Milinovich and James DeCremer with Avison Young are the brokers for the mixed-use leasing.

Closer look at mixed-use component

Separate from the industrial joint venture, Creation also developed The Shops at Park Algodon, which is expected to serve both the workers at Park Algodon as well as surrounding residential neighborhoods. The Shops at Park Algodon has only a few remaining suites available to lease, ranging from 1,100 to 2,600 square feet.

Buildings A and B will be turned over to tenants within the next 30 days. Several openings are expected later this year. Confirmed tenants include a mix of fast-casual and specialty dining options, such as Einstein Bros. Bagels, Chipotle and Luna Grill, as well as Zara Nail Bar.

Active in Arizona

Creation, which also has a second headquarters in Dallas and an office in Tampa, Fla., has expanded its footprint across the U.S. with $4.5 billion in active development projects in eight states.

Late last year, the company broke ground on a 6-acre industrial development in Tempe, Ariz., that will have a total of 120,000 square feet in two buildings. Tech company Pacific Office Automation is a joint venture partner in the project and will lease a 75,000-square-foot building for its Southwest headquarters.

Other projects in the Tempe area include Source Business Center and Nexus Commerce Center, which broke ground in 2025.