Multifamily Booms in Roosevelt
We need two hands to count all the new multifamily projects rising in Roosevelt. (This also made us realize we need to moisturize more.) We asked MetroWest Development's Doug Gannett for a rundown of what's in his firm's pipeline.
The Chicago-based firm has been more and more focused on the metro Phoenix area. Doug tells us “The city has done a wonderful job setting the table up for developers." Besides creating new urban zones, there's also cost for development compared to Chicago. “We don't have problems with trades here. It's a non-union town. It's much more affordable.”
MetroWest is working on three projects in Phoenix: Townhomes on 3rd, Union @ Roosevelt (an apartment project, pictured), and the renovation of two historic properties and additional vacant land. Those are all in the Historic District. Doug likes Roosevelt's rebirth, with increased employment, restaurants, retail, and the light rail. Those aren't the only MetroWest projects on tap. The firm has tied up other sites in the area for a 20-unit project, a small six-unit project, and another 60-unit project. All are shooting for a $1.50 to $1.60/SF rental because those multifamily developers in Phoenix chasing $2/SF rents are “giving me heartburn.” What lenders want: "to be shown how you're going to achieve those rents,” he says.
MetroWest isn't the only multifamily developer in play. Doug even says there are another six projects aside from his in the pipeline for the Roosevelt area. Most recently, Habitat Metro announced plans for a second phase to Portland Place called Portland on the Park (above). “Am I concerned about how many units we bring to the party here in the next couple of years? Absolutely. But do I think the first ones out will get the preference? I absolutely think they will.” (Early bird gets the worm; early builder gets the tenant.)