Developer Makes Strategic Changes Phoenix Office Development

Developer George Oliver has quickly shifted its strategy on the redevelopment of the Alexander, a class-A office development in the Phoenix suburb of Chandler. The property is currently under construction, and will now reflect new needs in office space as a result of the coronavirus pandemic. The changes will include wellness-focused workspaces with features like touchless accessibility throughout the property and upgraded HVAC systems for better air quality.

“This pandemic hasn’t materially changed our vision for the end product at The Alexander, but it has created opportunities for us to make changes that will deliver a product that’s more in line with user expectations for the safest possible work environment,” Curt Kremer, founder and managing partner at George Oliver, tells GlobeSt.com.

The outbreak of COVID-19 changed user needs in real estate. For office space, safety in touching surfaces and sharing spaces is now a top priority. “COVID has created a significant amount of uncertainty about things we took for granted previously,” says Kremer. “Before this, I’m not sure that I’d ever put any thought into the process of opening a door, but now every door handle I touch I have to think about. I’m hopeful this is something that fades over time, and I believe with a vaccine that this will be the case. But there is no certainty around that at this time. The changes we’ve made to The Alexander will be part of our design and architecture for this asset long term.”

In the near-term, these features will give the office property a competitive advantage, but in the long-term, Kremer expects that these features will be standard. “With us being early adapters, our changes at the Alexander may create a short-term competitive advantage for us at the building,” he says. “But I anticipate that many developers and landlords will also continue to evolve their buildings to create safer workplaces for their users. It’s important for users to understand that many of these changes take time to design, permit, procure and construct.”

Of course, new technology features, particularly touchless technologies, come with a cost. “Any time you introduce new systems and products to an approved design you run the risk of increased costs,” says Kremer. “Our design team at George Oliver Design and the project contractor, RSG Builders, have a great working relationship and were able to implement all of these changes without creating any delays in the schedule, while also keeping the costs as low as possible. The additional cost impact was a relatively easy approval process seeing how significant of an impact they will have on creating additional workplace safety for our tenants.”

Health and safety isn’t the only concern. The pandemic has triggered a recession and brought the use of office space into question. However, Kremer has no hesitation on moving forward with the project. “We made a commitment to our existing tenancy in the building and the City of Chandler, Arizona to give them a best-in-class, modernized workplace and we are committed to execute on that promise,” says Kremer. “The future of office space may be changing, but one factor we expect to stay consistent is the demand for well-amenitized community oriented buildings.”