TUCSON, AZ (April 14, 2026) — A groundbreaking ceremony is scheduled for Amazon Flats on Friday, April 17, at 10:30 a.m. at 1135 W. Miracle Mile in Tucson, advancing the next phase of an affordable housing redevelopment effort on the former Amazon Motel property.
Amazon Flats is planned as a 59-unit affordable housing project on vacant land adjacent to the former motel, which was previously converted into 30 studio apartments for permanent supportive housing. Together, the two phases represent a significant reinvestment in the Miracle Mile corridor and expand the city’s supply of deeply affordable housing in an area long associated with older motel properties and housing instability.
City and project materials describe Amazon Flats as part of the HUD Choice Neighborhoods Implementation Housing Strategy within Thrive in the 05, the broader neighborhood reinvestment initiative centered on housing, residents, and neighborhood improvements. The City of Tucson said in 2025 that Amazon Motel was the first of two developments on the property, with Amazon Flats planned as the second phase.
Project documents show the new development will include 59 income-restricted one-bedroom apartments in a four-story building with a community room, leasing office, supportive service meeting room, and outdoor amenities including a landscaped play area, basketball court, and surface parking. The project is being developed by the City of Tucson, El Pueblo Housing Development, and Gorman & Company.
City documents indicate Amazon Flats is expected to be financed primarily with Low-Income Housing Tax Credits awarded by the Arizona Department of Housing, along with $500,000 in HOME funds through the City of Tucson Housing & Community Development Department. The project is also slated to receive 39 HUD project-based vouchers through the City of Tucson Public Housing Authority, representing an estimated $6.65 million in voucher support over 20 years. That operating subsidy supports long-term affordability and project feasibility, while the tax-credit financing appears to make up the core of the development capital stack.
According to El Pueblo Housing Development, the units will serve households earning up to 50% of the area's median income, with project completion expected in summer 2027. A city environmental review notice issued in late 2025 projected completion in September 2027, indicating the buildout is expected to continue well beyond this month’s ceremonial start.
The broader Amazon site has already become a visible example of the city’s housing-first strategy. The City of Tucson said it purchased the Amazon Motel in April 2023, initially using it as a low-barrier shelter for 140 people during the planning process. Of those, the city said 86 found permanent housing.
With the April 17 groundbreaking, Amazon Flats moves from planning into a more visible construction phase, adding another piece to Tucson’s ongoing effort to expand supportive and income-restricted housing options near services, transit connections, and the Pima County Northwest Service Center across the street.