The development is located near the $1-billion M Resort, Spa and Casino, which is under construction, as well as Henderson Executive Airport. It will serve the residential communities of Southern Highlands, Inspirada, Seven Hills, Anthem, Sun City, Silverado Ranch and Green Valley.
Originally, the plan called for 1.5 million sf of class A office, 600,000 sf of retail, 2,500 luxury condominiums and two boutique hotels. As things now stand, the office component has been reduced to one million sf, the retail has been increased to one million sf, and the residential component, which remains at 2,500 units, will now include an apartment component that will be built before the for-sale product, allowing time for the local housing market to rebound.
"With housing shut down nationally and here locally, we are looking at our property from a commercial angle right now," Field says. "We will be including apartments in the first or second phase but [for-sale] residential is down the road, in a later phase. The focus right now is on office and retail."
In order to get more food and beverage pads and more in-line service retail along Executive Airport Drive, Field says four office buildings have been shifted, which required them to be downsized by one floor. The loss is being made up by adding a level of office above some of the lifestyle retail planned for the project, he says.
The project's first phase now is slated to include 175,000 sf of mostly "daily needs" retail, 215,000 sf of office space with structured parking, 180 apartments and a 160-room boutique hotel. First phase completion is slated for the second half of 2009. Overall project completion is estimated for 2015. Project amenities include 25 acres planned for parks, pedestrian trails, a community center, spa and fitness facilities and sport courts.
The bulk of the retail will come in the second phase in the form of an 800,000-sf lifestyle center to include several mini-box anchors. "Retailers have identified us as a premier location due to our proximity to existing rooftops," Field says. "Our project already has the necessary critical mass (of housing) around it to create a successful lifestyle center; it's not dependent upon the rooftops that will be part of our project."
Also slated for the second phase is a second 215,000-sf office building and 400 additional residential units above some of the retail, which was cut back from 1,000 residential units in order to add the aforementioned office space and additional retail. The displaced residential units will be added back in later phase in freestanding buildings.
Phase Three would include additional office buildings, the second hotel and possibly additional retail and for-sale residential. In addition to other office buildings planned for the third phase, two office buildings proposed for the corner of Bruner and Executive Drive likely will be replaced by retail, Field says.
"We will be brining this development online right around the time the economy should be bouncing back," Field says. "If we were opening in the second quarter of 2008, we would be at risk."
Plise, the developer and general contractor, is partnering with CB Richard Ellis on the leasing team. Architects Orange is the architect of record. Chaparral Contracting and WRG Engineering have also been hired to serve on the project.
Field says he hopes to have the anchor tenants for the lifestyle center finalized this spring. "ICSC New York [in early December] was very productive," he says. "We identified and now are attempting to finalize deals with some select national tenants, tenants that would serve as anchors and drivers of other, smaller national retailers. Once the anchors are finalized, then everything will snowball from there."
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