For 10 years, Westcor, the Valley’s leading developer of shopping centers, has been involved in the northeast Phoenix property called Paradise Ridge.
It has planned what it wants to put there, worked on a master plan for the land with Phoenix, done due diligence as far as environmental factors are concerned.
The company hopes the time to cash in is near On Oct. 29, the Arizona State Land Department will auction the first parcel of Paradise Ridge, a 2,200-acre piece of land wedged between Desert Ridge and the Scottsdale line in Phoenix. The 112-acre parcel that will be sold will be the center of the entire community.
Westcor calls it Palisene.
"We have every intention of being at the auction and controlling that land," said Westcor Vice President Scott Nelson, who is spearheading the company’s efforts. "It is one of the most desirable locations in the state, and we are very excited that an auction date has been set."
Westcor could be competing with at least two other major developers.
State Land Commissioner Mark Winkleman recently said the Thomas J. Klutznick Co., developer of CityNorth, and DMB Associates, developer of DC Ranch, have shown interest, but neither company would confirm its interest.
"I can’t confirm if we will participate in the auction," said Marla Ellis, public-relations manager for Klutznick. "I can confirm that with our investment in Desert Ridge and CityNorth, we continue to be interested in any new opportunities in northeast Phoenix."
The State Land Department has valued the 112 acres at $32 million. The state will keep the land but lease it to the winning bidder, which will be responsible for infrastructure improvements estimated to cost $67 million.
Westcor may have an edge in the bidding because it has a right of first refusal, meaning it can win the property by matching the highest bid.
"This is a great opportunity to develop a mixed-use property," Nelson said. In the past, Westcor has said it would construct a luxury development that starts where other projects leave off.
A second auction is planned for a 400-acre parcel appraised at $100 million. It is scheduled to be sold on Nov. 1. The parcel is west of Desert Ridge and north of Deer Valley Drive. Its northern edge borders the National Memorial Cemetery. The location is desirable, and it is likely to be developed with single-family homes.
Also on the list is a major parcel of Phoenix’s new Sonoran Preserve. Almost 950 acres will be sold for $85 million. The date of that auction is Nov. 8.
Michael Clancy
http://www.azcentral.com/arizonarepublic/business/articles/0907biz-phx-landsales0907.html
