The Next Spec Building?
Could this be the year Parkway Properties breaks ground on the third Hayden Ferry tower? (It's technically the year of the horse but we can make exceptions.) If Parkway has its way, you can bet on it.
Parkway's Matt Mooney tells us the owner is looking to start Hayden Ferry III, a 260k SF, 10-story tower in the Hayden Ferry office park. And it could be done largely on spec.
Matt says the Tempe submarket area is as tight as it's ever been, with vacancy rates below 4% and rents shooting up (Parkway just did a $35/SF gross renewal, almost up from an average of $10/SF less two years ago). “There's just nowhere else for tenants to go if they want to be down here,” he says. Parkway is completing final approvals and anticipates breaking ground in the next 60 days, given the tremendous demand from high-quality tenants in the submarket, Matt says.