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Residents, developers fight over Camelback corners

By
Real Estate Agent with Russ Lyon | Sotheby's International Realty SA570853000
The Arizona Republic
Sept. 7, 2007 - The future of one of Phoenix’s most high-profile intersections remains up in the air after the Phoenix Planning Commission decided to table a vote on redevelopment proposals for two of the corners.

The Camelback Road and 44th Street intersection long has been the source of tension between residents who want to preserve the neighborhood and developers who want to cash in on the area’s cachet and add more density.

Currently, developers are proposing three separate mixed-used projects on three of the intersection’s corners.
They include:

 • Arcadia Place, a luxury condominium and retail development by Opus West Corp. Plans call for it to be located on the southeastern corner next to a Chase bank.

• CamelSquare, a resort-style residential development from M3 Cos. that includes single-family homes, condos, retail, offices and a hotel on the northwestern corner.

• A third development, as yet unnamed, that includes a boutique hotel, residential, retail and office space. Grace Communities planned to submit revised site plans Friday for the project, located on the southwestern corner.

The two proposals discussed Thursday evening were the Opus West and M3 Cos. developments.

Opus West sought a delay to work out new plans with neighborhood residents, who opposed the initial concept. Opus’ attorney, Stephen Earl, said the company wanted to reduce the heights and densities to address concerns.

It’s not clear whether that will be feasible because neighborhood activist Paul Barnes said the company remains “a long way from anything the neighborhood would deem acceptable.”

The CamelSquare proposal, a mixed-use development expected to cost $450 million, was delayed after nearly three hours of discussion.

Attorneys for the developer said that the project fits with the city’s desire to grow smarter, but opponents argued that the plan violated several existing Phoenix regulations that call for compatible development and the maintenance of views of nearby Camelback Mountain.

It’s not clear whether M3 could live with a development that is less than 98 feet in height, which is what the existing proposal calls for.

“Without seeing the puzzle in total, it’s hard to say,” managing partner Scott Schirmer said.

In terms of housing, CamelSquare would include nine single-family homes, 33 townhomes, 20 lofts and 408 condominiums with a maximum height of 98 feet, Schirmer said.

The development also would include 19,000 square feet of retail, 28,000 square feet of office space, 15,000 square feet of restaurants, a 40,000-square-foot wellness center and a 40-room boutique hotel.

Jeff Roberts, vice president of real-estate development for Opus West, said Friday that the commission’s decision likely would not have an impact on the company’s progress on its “Arcadia Place” proposal.

That proposal calls for 57 condos and 23,000 square feet of retail.

“We’ve been assured that we’re on the right track and that we need to continue doing what we’re doing to strike a compromise,” he said.

Meanwhile, Planning Commission Chairman Don Keuth said he expected a third proposal, for the site of the Londen Center on the southwestern corner, to be filed on Friday.

Scottsdale-based Grace Communities submitted a pre-site plan application in January for the development, which tentatively includes a boutique hotel, 26,000 square feet of restaurant space, 40,000 square feet of retail, 142,148 square feet of offices, 63 condos and a church.

Keuth proposed that the commission be proactive and look at the entire 44th Street and Camelback intersection together and “develop a reasonable solution” to the growth pressures facing the area.

Commissioner Wes Gullett will lead the effort.

Neither side seemed happy with the outcome. Steve Sanchez, who spoke against the CamelSquare project, said that he feared neighbors would be cut out of the discussion.

Schirmer said while he was hoping for a more concrete decision, he understands the need to ensure all parties’ interests are considered. However, he said there is danger in making a blanket decision regarding all the proposals.

“We will make a mistake if we treat every piece of property the same,” he said. “We would then be dumbing down the potential of what Camelback Road could be.”

Keuth said the CamelSquare matter represented a turning point in city planning.

Because of Phoenix’s rapid growth, he said the city needs to consider higher, denser projects, and he added that he expects similar proposals to start popping up all over the Valley.

As a result, it’s likely that the commission’s decision about the Camelback area will be closely followed.

The 44th Street and Camelback intersection is one of east Phoenix’s most prominent, balanced between the residential enclaves of Arcadia and Paradise Valley.

The corner currently not proposed for redevelopment includes the Cork’n Cleaver and an AJ’s grocery.

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