RED Development Breaks Ground on $300M Phoenix Mixed-Use Project
Phase I of The Grove is slated for completion in the second half of 2022.
RED Development has begun construction on its newest project in Phoenix, the $300 million development dubbed The Grove. The 15-acre, mixed-use property will be located at the corner of 44th Street and Camelback Road.
The Grove will include three office buildings, a self storage facility by Hibernia Capital, a parking garage, a luxury multifamily property developed by StreetLights Residential, The Global Ambassador hotel, and ground-floor retail and restaurants.
Phase I of the development is slated for completion in the second half of 2022, with the hotel portion opening in the fall of 2023. The Grove will also be home to the Phoenix Suns and Phoenix Mercury’s training facility that opened late last year.
According to RED Development, the project will feature the first new Class AA office campus in the area in nearly two decades.
The hotel component, developed by restaurateur Sam Fox and Brian Frakes of Common Bond Development Group, will feature access to five dining options including a Mediterranean rooftop restaurant that offers views of Camelback Mountain, and a Wellness Center with a first-level fitness center and luxury spa. The residential part of The Grove will comprise 58 two- and three-bedroom apartments and mark StreetLights Residential’s fifth project in Arizona. Common area amenities will include a full-service concierge, two fitness studios, a clubroom and resident bar, as well as a pool deck with private cabanas, lounge seating and outdoor fireplaces.
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Preleasing for the office portion of the development has begun and tenants are expected to be announced in the coming months. Demolition of the former buildings on the site has been wrapped up and parking garage excavation, shoring, underground utility work and waterproofing site work is finished. The office building columns and footings are now being poured at the site.
“Not only is The Grove located at one of the most high-profile intersections in the Valley, but it will also be a mixed-use destination unlike any other in the city,” Mike Ebert, managing partner at RED Development, told Commercial Property Executive. “From the state-of-the-art Phoenix Suns and Phoenix Mercury private training facility to Sam Fox’s venture into the hotel landscape with The Global Ambassador, we’re so proud of what this project will bring to the community.”
In May, RED Development announced that its other Phoenix megaproject, Cityscape, was nearing full occupancy, with Arizona’s largest law firm—Snell & Wilmer—agreeing to occupy 115,000 square feet at the property. Following that deal, which marked the largest office lease signed in downtown Phoenix during the pandemic, Cityscape was 98 percent leased. In February, the firm also inked an expansion with Western Alliance Bank at the asset, with the tenant signing on for an additional 46,323 square feet of space at the tower.