TUCSON, ARIZONA, July 24, 2023 — Highlighted this week is a new 14,027-square-foot office lease at 5441 E 22nd Street in Tucson handled by Isaac Figueroa with Larsen Baker.

The following leases were reported to Real Estate Daily News from July 24-28, 2023

OFFICE – 5441 E 22^ND STREET, TUCSON, 85711, East Submarket
Larsen Baker is pleased to announce that Blossom Living, LLC, has leased the 14,027 square feet at 5441 E 22^nd St, Suites 101, in Tucson, AZ. Craycroft Center is located at the NWC of 22^nd and Craycroft. Blossom Living is a behavioral health provider offering outpatient services, including counseling.  Isaac Figueroa with Larsen Baker represented the Landlord and handled this transaction.

OFFICE – 5557 E GRANT RD., TUCSON, 85712, Northeast Submarket
Topchiy Blooms LLC leased 1,263 square feet of office space at 5557 E. Grant Rd. in Tucson from LLJ Holdings, LLLP. Molly Gilbert and Ryan McGregor, Office Specialists with Cushman & Wakefield | PICOR, represented the landlord.

OFFICE – 310 S WILLIAMS BLVD., #176, TUCSON, 85711, East Submarket
IME Incorporated leased 836 square feet of office space at Williams Centre, 310 S. Williams Blvd., Suite 176 in Tucson, from DHS Property Investments, Ltd. Partnership. Ryan McGregor and Thomas J. Nieman, Principal, Office Specialists with Cushman & Wakefield | PICOR, represented the landlord.

OFFICE – 1955 W GRANT RD., TUCSON, 85745, West Submarket
Tucson Home Works LLC leased 159 square feet of office space at West Grant Centre, 1955 W. Grant Rd., Executive Suite P in Tucson, from WestGrant Investors, LLC. Molly Gilbert, Office Specialist with Cushman & Wakefield | PICOR, represented the landlord.

OFFICE – 1955 W GRANT RD., TUCSON, 85745, West Submarket
Tucson Plumbing and Drain leased 152 square feet of office space at West Grant Centre, 1955 W. Grant Rd., Executive Suite 125-L in Tucson, from WestGrant Investors, LLC. Molly Gilbert, Office Specialist with Cushman & Wakefield | PICOR, represented the landlord.

RENEWALS

OFFICE – 100 N TUCSON BLVD., TUCSON,85716, Central Submarket
Florence Immigrant and Refugee Rights Project, Inc. renewed its lease with Eria, LLC for 7,000 square feet of office space at 100 North Tucson Blvd. in Tucson. Ryan McGregor, Office Specialist with Cushman & Wakefield | PICOR, represented the landlord.

OFFICE – 620 N COUNTRY CLUB RD, TUCSON, 85716, Central Submarket
True Potential, PLLC renewed its lease with Siegmund Properties, LLC for 2,100 square feet of office space at Country Club Business Center, 620 N. Country Club Rd., Suite 150 in Tucson. Ryan McGregor, Office Specialist with Cushman & Wakefield | PICOR, represented the landlord.

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By: Erin Murphy/Cronkite News

Tucson officials said a $50 million federal grant will allow the city to begin work on long-awaited “transformational” redevelopment of the Oracle Road and Miracle Mile area near downtown.

The grant for the so-called “Thrive in the ’05” plan – named for ZIP code 85705 – will mostly go toward the redevelopment of Tucson House, the largest public housing facility in the city and home to more than 450 seniors and residents with disabilities.

Tucson Mayor Regina Romero said in a statement that the grant from the Department of Housing and Urban Development’s Choice Neighborhoods Initiative program will also allow the city to leverage about $300 million in additional public and private funding for the Thrive in the ‘05 neighborhood transformation plan.

The overall plan calls for investments aimed at improving education and training, reducing crime, and boosting health and wellness in the region. But the main focus is on on housing development.

In addition to renovating Tucson House, the grant will fund three additional “affordable, mix-income housing” developments, including developments by the Amazon Motel and on Stone Avenue, said Alison Miller, manager of the Thrive in the ‘05 project.

But Miller said the Tucson House, a 17-story public housing site development, will serve as the “nexus” for the rest of the project.

Tucson House was originally built as a luxury apartment complex in 1963, but the area began to decline in the 1970s and the complex was abandoned by the time HUD bought it and converted it to public housing in the 1980s. Miller said the building has not received any significant renovation since the 1990s and is in serious need of redevelopment.Tucson House and make it a modern amenity,” she said.

The project will do more than just revamp the physical space. Plans call for the introduction of assisted living services and proposed amenities, including a health clinic, grocery store and cafe, all aimed at letting Tucson House residents age in place. These changes will allow the complex to better serve the aging population of those over 65, who now account for almost half the population in the ’05 area, according to the plan.

Miller said renovations will take place floor by floor to minimize the disturbance to residents, who will be moved out of their units before construction. She said special care will be taken to connect residents with relocation specialists or to move them elsewhere in the building if they are unable to leave.

“We expect to be under construction at Tucson House by the end of next year, and having this grant means we can finalize our timelines better moving forward,” she said.

Wednesday’s HUD announcement was welcomed by Rep. Raul Grijalva, D-Tucson, who called it a “transformational investment in our community.”

“I’m proud to support this vital surge in funding to a neighborhood that is an essential building block of Tucson to ensure its legacy as a thriving, multigenerational community carries on,” Grijalva said in a statement released Wednesday.

Romero said the grant will accelerate the timeline for the housing projects and establish 550 new or rehabilitated housing units. She repeated the “transformative” nature of the project, which in has been in the planning stages for years.

“This transformative grant will benefit Tucsonans for years to come,” Romero said in a prepared statement. “This is a huge win for all of Tucson and the result of strong collaboration necessary to bring federal dollars home.”

The grant may also be used to fund other aspects of the plan including the creation of a “High Capacity Transit” route to boost connectivity from the ’05 to facilities like the Veterans Administration hospital and the University of Arizona.

Miller says the Tucson Department of Housing and Community Development is excited to receive the grant which had an application process of 5 years.

“Honestly, I’m still in shock,” Miller said. “I didn’t necessarily think this day would come but I’m so excited to be able to make good on some of the dreams that we’ve had collectively with residents over this time.”

PHOTO:  Tucson House was built as a luxury apartment complex in 1963, but the area began to decline in the 1970s and the complex was abandoned by the time HUD bought it for public housing in the 1980s. (Photo courtesy City of Tucson)

The TRENDreport’s Hospitality & Tourism issue was released today.  Here are the editor’s insights from this issue.

We all love it when someone from somewhere else succumbs to the subtle charms of Tucson. Less than half of us, after all, were born here. Some get it, and some don’t. Whether it’s the magic of the desert or the mountains, the food or the street murals, or everything combined, there’s satisfaction when someone new “gets it!” We’re reconfirming again why we love Tucson.

We’ve tried to bring ‘that subtle charm’ to this TRENDreport issue.

Arizona’s tourism industry continues to deliver for communities statewide in 2022 as one of the state’s primary economic drivers. According to new data released by the Arizona Office of Tourism, post-pandemic highs were achieved in metrics across the board, including tourism jobs and tax revenue collected.

Visitor spending reached $28.1 billion in 2022, translating into $77 million spent daily across Arizona’s 90+ cities, towns, and communities.

As expected, all topline tourism data metrics, including overnight visitation, visitor spending, taxes collected, jobs generated, and tourism wages earned, topped last year’s figures. Included is $3.98 billion in combined local, state, and federal tax revenue generated in 2022, which supports vital services such as health care, public safety, and transportation.

For additional data, go to https://tourism.az.gov/wp-content/uploads/2023/07/AZ_Final_2023-06-13.pdf

We welcome two of our newest hotels, The Leo Kent and The Eddy, in this Trendreport and thank Madison Beuer and Barbara Damiano-Marshall for these contributions.

Discriminating foodies know: Arizona is making waves on the culinary scene. Long known for our Mexican food, Southern Arizona has a menu for almost every palate and budget. Thanks to Edie Jarolim with Tucson Foodie for drawing attention to our beloved Independent Restaurants that continue to win the hearts and wallets of residents and tourists alike.

Visitors to Cochise County National and State Parks continue to mount, and our Catalina State Park Celebrated 40 years this year.

We appreciate Zabada Abouelhana explaining in “Tucson’s Hotel Industry: Recovered and Evolving” the past to future trends in the hotel industry.

Thanks to Diane Frisch for reminding us of all the fun in Pima County, even during the Dog Days of Summer, and adding to my bucket list of things I haven’t done yet in Tourism Strategy Paying Off in Pima County with Something for Everyone.

As President of Reid Park Zoo, Nancy Kluge will bring a smile with her construction update on the Reid Park Zoo expansion approved by Tucson voters in 2017.

Love for our animals hasn’t gone unnoticed nationally either, as we see Tucson was named #1 Spot for Pet-Friendliest City in the country by Forbes Advisors.

We thank Branden White of CBRE for his insight into Tucson’s Hospitality Market with his keen, trained eye for valuation, as astute and as appreciated as Kimbra Cole and Jerry Hawkins, specialized in Hospitality & Investment Real Estate, bringing details in Metro Tucson Hotel Investments for Summer 2023. We are proud and excited to have 606 New Hotel Rooms opened or opening soon this Summer.   

To all who helped with this Trendreport issue, we extend our sincere thanks. These noted individuals sharing of their time and knowledge make these reports possible.

In addition, we thank the Trendreport team: Patti van Leer, Michael Rossmann, Melissa Vucijevic, Jack Paddock, and Cindy Erwin.

We will be starting work right away on next month’s Multifamily issue.

We also thank you, our readers, for your continued support. As always, we appreciate your feedback and welcome your comments!