Under a new deal with developers of the Bautista project, the Rio Nuevo District will own the parcel that sits between the Mercado and the Santa Cruz River on the West Side.
TUCSON, ARIZONA -- The Rio Nuevo Board unanimously approved a revised deal with The Gadsden Company, developers of The Bautista, a $72.5 million, mixed-use project near the Mercado District on the West Side.
As part of the new agreement, the Rio Nuevo District will buy the land, valued at about $7.2 million, for the development near West Cushing Street and South Linda Avenue. In return, Gadsden will prepay about $4.7 million in rent on the land and contribute $20 million in equity to the deal.
The project will create 16,500-square-feet of retail space, 253 residential units and a restaurant. The central plaza of the development will allow visitors to walk to the Santa Cruz River, which now flows year-round. Other water features will harken back to canals associated with 18th-century farms that were in the area.
In other business, the Board approved a finance package potentially worth more than $900,000 to help the Fox Theatre Tucson, which Rio Nuevo owns, and continues to operate during the coronavirus crisis.
To help theater management meet operating expenses, the Board unanimously agreed to deposit up to $500,000 with National Bank of Arizona in an effort to acquire a line of credit for the theater. Rio Nuevo will also contribute up to $250,000, contingent on theater operators matching the funds.
The deal also defers two years of rent, about $180,000, with the condition that the money will be used exclusively for repairs and maintenance.
More information on these projects and downtown can be found at RioNuevo.org.