By Deagan Urbatsch, Cronkite News

PHOENIX – A boom in manufacturing in Arizona – from electric cars to high-end golf clubs – is helping to lower unemployment in the U.S., Gov. Doug Ducey told business leaders this week, noting that manufacturing jobs in the state now outnumber construction jobs.

Ducey, joined by Tom Gilman, an assistant secretary of the U.S. Department of Commerce, spoke Tuesday at the central Phoenix headquarters of golf equipment manufacturer Ping.

They emphasized the opportunities a technical education can provide young people and pushed for Congress to ratify the U.S.-Mexico-Canada Agreement, which the Trump administration negotiated to replace NAFTA.

“Whatever level it is, there’s a job available,” Ducey said. “Here in Arizona, 65 percent of the jobs available could be filled with a career or technical education degree or certificate.”

Gilman said investing in education is essential.

“We need to educate our people, bring young people into our governments and companies. Investments in education are so important,” he said.

Gilman began his career with Chrysler and worked in private business for more than 40 years before being appointed as assistant secretary for administration of the U.S. Department of Commerce in January. His first job was making engine blocks in Chrysler’s foundry, similar to the foundry Ping uses for its golf clubs.

Gilman and Ducey used the opportunity to promote the USMCA, calling it a better version of the North American Free Trade Agreement, which took effect in January 1994. Mexico approved the USMCA in June.

“We’re proud of the nation’s low unemployment rate,” Gilman said. “But the one thing we do need is the USMCA. That needs to be passed and it needs to be passed quickly. We have basically less than 20 days left in the congressional session. It will grow our GDP by 1.2 percent, it will create 179,000 jobs. It’s been ratified already in Mexico. It’s in the process of being ratified in Canada; they just had an election last week. We need to bring it to the floor.”

Ducey cited Arizona’s close trade relationship with Mexico as a reason to pass the USMCA.

“This is a no-brainer,” the Republican governor said. “I talk a lot about Mexico being our number one trade partner, and it’s not even close, times four. NAFTA is something that happened 25 years ago. I call it a rotary phone agreement. It happened in an absolutely different world and economy. This updates the trade agreement.”

Discussing the manufacturing boom in Arizona, Ducey credited light regulation as a major contributor, saying that since he became governor more than five years ago, 2015, 300,000 jobs have been added to Arizona’s economy.

“In Arizona today, we have more manufacturing jobs than we do construction jobs – 179,800 manufacturing jobs, and 174,000 construction jobs,” he said. “I think a lot of it is the economy, and a lot of it is opportunity.”

Ducey said he often talks of low taxes, light regulation, low liability and litigation as being the cornerstones of his policies to support business.

“The one commitment I can make to any decision-maker, leader, chief executive or business owner is we are not going to pull the rug out from underneath you in Arizona. You are going to have a predictable, consistent environment in which to build your business.”

TUCSON, ARIZONA — Cole Valley Partners of Portland, Oregon purchased the former Hobby Town Tucson store at 3700 E Speedway Blvd., in Tucson for $885,000 ($29 PSF) from ADJ Enterprises (Adam and Janet Crippen, directors).

After 25 years in business, Hobby Town Tucson closed its doors in January 2019. The popular Tucson location sold hobby related merchandise and gave a place for those with remote controlled cars to race.

Located at the southeast corner of Speedway and Dodge Blvd, the 3,100-square-foot building to be razed leaving a 30,300-square-foot site will soon become the eighth Dutch Bros Coffee in metro Tucson.

Other Dutch Bros sites in Tucson MSA include:

• 5690 W Cortaro Farms Rd, Tucson, AZ
• 1971 Valencia Rd, Tucson, AZ
• 120 S Wilmot Rd, Tucson, AZ
• 9330 E Golf Links Rd., Tucson, AZ
• 10105 E Old Vail Rd, Tucson, AZ
• 18800 S Nogales Hwy., Tucson, AZ
• Coming soon: 3901 E 22^nd, Tucson, AZ

Craig Finfrock of Commercial Retail Advisors handled the Hobby Town transaction for the seller. Marty “O” Olejarczyk and Greg Saltz with GPS Retail Advisors represented the buyer.

For more information, contact Finfrock at 520.290.3200; Saltz can be reached at 480.612.0510 and Olejarczyk is at 602.762.0754.

To learn more, see RED Comp #7085.

 

More Retailers to be Announced Soon at Scottsdale’s Latest Shopping Destination

Scottsdale, Arizona — Starbucks, Texas Roadhouse and an additional, iconic restaurant brand have all signed leases this month to open restaurants at The Block at Pima Center, paving the way for vertical construction to begin.  Further lease announcements are expected soon as additional tenants are poised to sign contracts on the remaining shop spaces and the two remaining pads in Scottsdale’s newest retail center.

Located on the northwest corner of the Loop 101 and Via de Ventura on the Salt River Pima Maricopa Indian Community, The Pima Center is one of North Scottsdale’s largest and most successful mixed-use developments.  The development currently contains 1.5-million-square- feet of office, flex, medical, and light industrial space, and is expected to double in the next three years.

A freeway pad lease has been signed with the undisclosed restaurant brand. The principals at Mainspring were tight lipped about the brand’s identity, citing the terms of an NDA, but did say that this long sought after iconic brand’s first venture into Arizona will be a welcome addition to the Scottsdale scene.  ” It’s an amazing testament to our site and development that they chose The Block for their first store in Arizona,” said Curtis Brown, principal with MainSpring Capital Group, who is leading the development effort.  “I’m sure the Recreation Corridor developments and the 101 traffic counts had a lot to do with their selection. For all the visitors and resident transplants this restaurant will be a tourist attraction in and of itself,” said Brown.

Texas Roadhouse has also signed a lease and will occupy a 7,162-square-foot, free-standing restaurant with Loop 101 frontage.  This will be the 11^th Texas Roadhouse restaurant in Arizona and the first in Scottsdale. The restaurant chain, based in Clarksville, IN, offers tableside service and specializes in steaks, ribs and made-from-scratch side dishes.  Plans call for Texas Roadhouse to also open in first part of 2019.

Starbucks has leased a 2,200-square-foot freeway frontage drive thru end cap at the east end of one of the multi-tenant buildings. They also plan to open in early 2019, along with several other small shop tenants that are ether already signed or in various stages of negotiations.

“We are very excited about the traction our leasing efforts have gained,” continued Brown. “Landing such well-known brands like Texas Roadhouse, Starbucks and others is really great for building our momentum as we complete phase one and open up leasing for the second phase. The real testament to the site coming of age is the signing of our ‘mystery’ restaurant brand. They could have selected any location in the western U.S.  for their expansion towards this end of the country and they chose The Block.  That speaks volumes,” said Brown.   “We still have some smaller shop space opportunities and only two pads left, all of which can be delivered fourth quarter 2018 with early 2019 openings.”

When fully build out, The Block at Pima Center will contain upwards of 60,000-square-feet of restaurant and service retail space with 65ft monument signage opportunities along both Loop 101 and Via De Ventura to provide additional visibility for The Block’s tenants.  Construction has already begun and all the offsites and retention have been completed.  Mass grading will begin in a couple weeks.

The Corritore Company will be handling the leasing assignment for phase two of The Block.  “We are extremely excited about what will be the best freeway infill retail development opportunity along the 101 in Scottsdale. This trade area is under-served and in desperate need of retail, restaurants and services,” says John Corritore, president of The Corritore Company.  “The area’s variety of entertainment is expanding, which will make this an even more appealing destination.  We intend to attract the best retailers and restaurants to this highly visible project.”

Located in the heart of the Talking Stick entertainment corridor, Pima Center is surrounded by Salt River Fields baseball stadium, the Butterfly Pavilion, TopGolf, Talking Stick Resort, and the Odysea in the Desert aquarium, as well as the future Great Wolf Lodge and upcoming Renaissance Dinner Theatre.  An estimated seven million people will annually attend various entertainment venues within a mile of The Block.  The area benefits from approximately 195,000 cars per day on the Loop 101 freeway.  The immediate trade area also includes 20,000 employees.

 

12-acre Retail Development at Pima Center Attracts Five Retailers & Two Hotels

Scottsdale, Arizona — MainSpring Capital Group, developer of The Block at Pima Center, announced today that five retail tenants and two hotels have committed to the project.  The Block, which has been under construction for just 30 days, has already attracted 28,835-square-feet of retail space and two hotels with a total of 166 rooms.

Located on the Northwest Corner of the Loop 101 and Via de Ventura on the Salt River Pima Maricopa Indian Community, The Block at Pima Center is situated on approximately 12 acres.  The retail center is being developed within Pima Center, one of North Scottsdale’s largest and most successful mixed-use business park with 1.4-million-square-feet already developed.

Texas Roadhouse is currently negotiating a lease to occupy 7,163-square-feet of space in a free-standing building.  The restaurant chain currently operates 17 locations in Arizona and The Block will be its first dining establishment in Scottsdale.  “Texas Roadhouse and I have long looked for a suitable location along the Loop 101/Price corridor that will meet their long-term needs.  The Block brings all of Texas Roadhouse’s requirements together; strong employment, a great tenant mix and excellent freeway visibility to nearly 185,000 cars per day.  We look forward to being a part of The Block and this dynamic trade area, “says Chuck Wells, managing partner of CBC Advisors, who represented Texas Roadhouse in the transaction.

Starbucks  is also committing to The Block.  The well-known coffee retailer will occupy a 2,200-square-feet of space at the end of a multi-tenant building.  The store will offer drive-thru service and patio space.  This Starbucks location will be highly visible from the Loop 101.  Lance Umble of Phoenix Commercial Advisors represented Starbucks in the transaction.

Common Ground, a state of the art health and wellness center that is open to the public offering innovative fitness, top notch spa services, casual dining and mixed retail in an inviting social space will open its first location at The Block. This 20,000-square-foot, two-story, free standing building’s first floor will house a lively sports bar offering healthy post workout meals as well as cheat day indulgences and creative cocktails. The private events room, wine tasting bar, social lounge area and lush patio seating make it the perfect spot for business meetings and social meet ups.  The mixed retail will include affordable fitness wear, uncommon street wear and unique gift items.  The second floor will hold state of the art group fitness rooms for yoga, cycle, cardio & strength classes, a personal training gym and private treatment rooms for massage, beauty and wellness complete with a peaceful upper deck & refreshment bar to relax after workouts and treatments.  Scott Johnson of MKJ Advisors represented Common Ground in the lease transaction.

Foosia Asia Fresh, a contemporary fast casual eatery offering enticing flavors of Southeast Asian street fare in a fresh, convenient and mindful way. Foosia has created a meal experience designed for today’s balanced lifestyle-served fast, mindfully nutritional for the body and the world around us.  Foosia will be opening its 2^nd Scottsdale location.  The Asian Bistro will occupy a 2,100-square-foot end cap space with patio on Via De Ventura Boulevard.  www.foosiafresh.com

Scott Johnson of MKJ Advisors represented Foosia.

Happy Feet, a high-end nail salon, will open its second Valley location at The Block.  The full-service nail salon will occupy 2,400-square-feet of shop space.  Larry Miller of Colliers International in Greater Phoenix represented Happy Feet in its lease negotiation

In addition to these four retailers, The Block has also attracted a dual brand set of Hilton hotels.  Western States Lodging has acquired property and will develop a four-story building to house two hotels that will share common registration and lobby space.   Tru by Hilton and Home 2 Suites will offer a combined 166 rooms.  Tru by Hilton is a new hotel experience that was designed to be vibrant, affordable and young-at-heart.  The lobby space provides opportunities to work, play games, lounge or eat.  The public lobby offers semi-private, sound absorbing alcoves to work, or collaborative space to work with others.  Home2Suites by Hilton is a stylish, extended stay hotel concept.  The suites offer sizable accommodations for work or sleep.  Extended stay amenities include an in-suite kitchen, patio with grills, the Home2Mkt for retail needs, and an outdoor lounge.

“The Pima Center development and its surrounding Salt River Community represent a dynamically growing commerce area,” says Cole Smith with Western States Lodging.  “The expanding list of businesses at Pima Center generate notable demand for hotel space.  Additionally, nearby healthcare facilities, entertainment venues and commercial projects have created a great market for these unique hotel concepts.  We are excited to bring the latest dual-branded hotel concept by Hilton to The Block.”

Each of the new tenants, as well as the hotel development, is planned to begin construction of space immediately.  Plans call for all of the spaces to be open for business mid-year 2018.

Stan Sanchez, Larry Miller and John “JK” Jackson of Colliers International in Greater Phoenix are exclusive leasing/sales agents for The Block at Pima Center.  The team is in negotiations with eight more tenants totaling an additional 35,000 square feet of retail space.  Announcements confirming additional tenants for both shop space and freestanding pad developments are expected very soon.

Located in the heart of the Talking Stick entertainment corridor, Pima Center is surrounded by Salt River Fields baseball stadium, the Butterfly Pavilion, TopGolf, Talking Stick Resort and the recently opened Odysea Aquarium in the Desert.

MESA, AZ – ORION Investment Real Estate is proud to announce the sale of the NNN Investment property leased to Starbucks for $2.32 million ($1,194 PSF). This 1,943 square foot freestanding building is situated on the hard corner of Country Club Drive (SR 87) and Juanita Avenue, visible to ±51,000 cars per day. Brand new construction, the building is leased to Starbucks on a corporate guarantee. Starbucks Corporation is an American coffee company and coffeehouse chain who first opened its doors in 1971. Today, Starbucks has more than 22,000 retail stores in 67 countries.

The property is located just off of Arizona State Route 87, commonly known as the Beeline Highway from Payson through Fountain Hills to McDowell Road, just north of Mesa. Once it gets to Mesa, SR 87 is known as Country Club Drive, a major-arterial street, six lanes wide in most sections. Major attractions and retailers are close by, including Fiesta Mall, Golfland Sunsplash, Fiesta Lakes Golf Course, Kokopelli Golf Club, and Mesa Community College.

Nick Miner, CCIM, Senior Vice President at ORION Investment Real Estate, noted, “This is the last property I assisted my client with in buying as a part of his 1031 Exchange. The property was identified because of the location in Mesa and the 10-year lease that was corporately guaranteed by a well-known, national Tenant.”

The property was sold by Native Arizonan Acquisitions VI, LLC and purchased by JKB Properties, LLC, a client of Miner’s.

 

Pulte Homes closed on additional land for 241 SFR lots in the Del Webb at Dove Mountain Active Adult Community where it plans to build approximately 650 homes on 208 acres when complete. The latest takedown for 241 lots sold for $6.96 million ($28,863 per lot). This was phase three of a five phase option.

Sales have been brisk in this Del Webb community since it broke ground in February 2013. To date Del Webb has sold 98 homes, closed on 65 of these with 33 under construction. As reported back in February, there were nearly 100 inquiries within a day of posting a “coming soon” sign on the property.

Del Webb Corporation was acquired by Pulte Home in 2001 and is a leading builder in active adult communities. The Del Webb at Dove Mountain Community is located southwest of the Ritz Carlton Resort off Dove Mountain Blvd and is a mixture of 40-, 50- and 60- foot wide lots.

Bob Hadd of the Hadd Company in Tucson represented the seller, Cottonwood Properties’ affiliate, DM Phase IV Investments, LLC (Carson Mehl, member).

Cottonwood Properties of Tucson is privately owned and the original developer of the 6,200-acre Dove Mountain community in Marana, Arizona. In addition to the many neighborhoods within Dove Mountain, Cottonwood developed The Ritz-Carlton Resort, Residences and Golf Club – home to the Accenture Match Play World Golf Championships.

Recently, a 2.04 acres sold at The Ritz-Carlton Resort, Residences and Golf Club for $845,000 for a single custom home lot to an out of state buyer. “We’re very happy with the activity we’ve been seeing at Dove Mountain,” Carson Mehl, president of Dove Mountain Homes, told us. “This was the highest price paid for a single lot since the recession.”

In addition at Dove Mountain, Mattamy Homes recently opened with 11 sales and Miramonte Homes has models under construction that should be ready in a couple of months.

Also in the Northwest, at nearby Tortolita Vistas, Maracay took down six more lots for $963,230 ($160,538 per lot). Located north of Tangerine Road on Thornydale Road, Tortolita Vistas is set in the foothills of the Tortolita mountain range, surrounded by stunning views. Homes are on over-sized one acre sites that feature lush desert open space. Maracay is building a total of 54 homes that began October 2013 in Tortolita Vistas.

Will White of Land Advisors Organization in Tucson represented Maracay in the rolling option.

To learn more, Hadd can be reached at 520.403.2812 and White is at 520.514.7454. Mehl can be contacted at 520.572.8000.

Also see RED Comp #3321 and #3328.

Related story: A Perfect Storm for Home Builders at Dove Mountain

 

Real Estate Daily News Buzz is designed to give news snippets to readers that our (yet to be award winning) editors thought you could use to start your day. They come from various business perspectives, real estate, government, the Fed, local news, and the stock markets to save you time. Here you will find the headlines and what the news buzz for the day will be.

Thursday, the Dow Jones industrial gained 259.83 points, or 1.5%, to 17,895.22. The Standard & Poor’s 500 index climbed 25.71 points, or 1.3%, to 2,065.95. The NASDAQ composite climbed 43.35 points, or 0.9%, to 4,893.29.

Benchmark U.S. crude fell $1.12 to close at $47.05 a barrel in New York. Brent crude, a benchmark for international oils used by many U.S. refineries, fell 46 cents to close at $57.08 in London. Wholesale gasoline rose 1.6 cent to close at $1.810 a gallon. Heating oil rose 4.1 cent to close at $1.779 a gallon. Natural gas fell 9 cents to close at $2.734 per 1,000 cubic feet.

FIESTA MALL MACY’S TO REDEVELOP AS CORPORATE CAMPUS
The former Macy’s space at Fiesta Mall in Mesa will become an urban office space, officials announced Thursday. The transformation of the space into the Fiesta Corporate Campus begins this fall with development by Verde Fiesta I LLC, a corporation represented by Scott Jackson and Steven Johnson. The pair has acquired the building in a deal with Macy’s (NYSE: M). Mesa has been concerned about deteriorating conditions in the Fiesta Mall area for years. In 2013, it pumped $11 million into streetscape improvements, after spending nearly $5 million on a modern police substation. The Macy’s conversion to a corporate campus built into a shopping mall turns an obsolete shopping complex into a mixed-use opportunity. The department store has been empty for about a year.

COURT OF APPEALS RULES IN FAVOR OF ORO VALLEY TOWN CLERK; REJECTS PETITION 
Oro Valley, Arizona – The Arizona Court of Appeals has ruled in favor of the Town of Oro Valley and Town Clerk in rejecting petitions for referendum because they did not contain the serial numbers required by state law. The opinion was issued by presiding Judge Miller, in concurrence with Chief Judge Eckerstrom and Judge Espinosa. The petitions in question sought to refer to a ballot the December 17, 2014 Town Council decision to acquire the El Conquistador Country Club and its related amenities. In the court opinion released Thursday Judge Miller states, “We conclude that Lamonna failed to strictly comply with § 19-111(B), which requires the serial number issued for the referendum petition to appear on both sides of each petition sheet, and application of this and related statutes in this case is constitutional. Bower therefore acted correctly and we affirm the trial court’s denial of Appellants’ petition for a writ of mandamus.” The acquisition, which should be finalized in the coming weeks, includes 324 acres of land, a 31,475 square-foot building, restaurant, 31 tennis courts, 45 holes of golf and two swimming pools for $1 million.

CHINA’S ECONOMIC EVOLUTION CAUSES SMALL TOWN UPHEAVAL
GUJIAO, China (AP) — This city in China’s northern coal country hardly looks like it is in trouble. After three decades fueling China’s industrial boom, its wide, tree-lined avenues are filled with late model cars. Markets are crowded with people. That activity masks malaise. Surging demand for coal that once propelled Gujiao and its 200,000 people is ebbing, and along with it the local economy. From coal country to the export-driven manufacturing heartland of China’s southeast, millions of people are enduring wrenching change. Beijing is trying to replace an economic model that has run out of steam after delivering years of blistering growth based on trade and investment in construction and heavy industry.

GOOGLE’S SAFE BROWSING SYSTEM TARGETS ‘UNWANTED SOFTWARE’
SAN FRANCISCO (AP) — Get ready to see more red warning signs online as Google adds ammunition to its technological artillery for targeting devious schemes lurking on websites. The latest weapon is aimed at websites riddled with “unwanted software” — a term that Google uses to describe secretly installed programs that can change a browser’s settings without a user’s permission. Those revisions can unleash a siege of aggravating ads or redirect a browser’s users to search engines or other sites that they didn’t intend to visit. Google had already deployed the warning system to alert users of its Chrome browser that they were about to enter a site distributing unwanted software. The Mountain View, California, company just recently began to feed the security information into a broader “safe browsing” application that also works in Apple’s Safari and Mozilla’s Firefox browsers.

CHINESE MAKERS ROLL OUT WAVE OF APPLE WATCH LOOKALIKES
BEIJING (AP) — A month before Apple Inc.’s smartwatch hits the market, China’s thriving copycat manufacturers are selling lookalikes, some openly advertised as Apple copies. “Apple Smart Watch with Bluetooth Bracelet,” says one vendor on Alibaba Group’s popular Taobao e-commerce website. Photos on the vendor’s page appear to be the real Apple Watch. It says features on the Chinese version include text messaging and a music player. It starts at 288 yuan ($45), or one-eighth the $349 price of the cheapest Apple Watch.

Déjà vu? WINTER CHILLS US ECONOMY, BUT SLOWDOWN SHOULD THAW
WASHINGTON (AP) — For a second year, harsh winter weather has kept Americans away from shopping centers, slowed home sales and weighed on U.S. economic growth. Yet there may be little cause for concern. The steadily strengthening U.S. job market and low gas prices suggest that the slowdown will likely prove temporary — just as a winter-related slump did last year. Retail sales fell 0.6% in February, the government said Thursday, the third straight drop. A separate report Thursday showed, though, that far fewer people applied for unemployment benefits last week than in the previous week.

US BUSINESS STOCKPILES FROZEN IN JANUARY
WASHINGTON (AP) — U.S. businesses did not add to their stockpiles for a second straight month in January as total business sales fell by the largest amount in nearly six years. Business stockpiles were unchanged following a similar flat reading in December, the Commerce Department reported Thursday. Sales in January dropped 2%. That was the sixth straight monthly sales decline and the biggest monthly drop since sales tumbled 2.7% in March 2009 during the depths of the last recession.

US HOUSEHOLD WEALTH TOUCHES RECORD HIGH: NEARLY $83 TRILLION
WASHINGTON (AP) — Fueled by higher stock and home values, Americans’ net worth reached a record high in the final three months of 2014. Household wealth rose 1.9% during the October-December quarter to nearly $83 trillion, the Federal Reserve said Thursday. Stock and mutual fund portfolios gained $742 billion, while the value of Americans’ homes rose $356 billion. The typical household didn’t benefit much, though. Most of the wealth remains concentrated among richer families. The wealthiest 10% of U.S. households own about 80% of stocks.

US BUDGET DEFICIT TOTALS $192.3 BILLION IN FEBRUARY
WASHINGTON (AP) — The federal government ran a slightly smaller deficit in February than a year ago but the imbalance through the first five months of the budget year is still running ahead of last year. The Treasury Department reported Thursday that the deficit in February was $192.3 billion, down from a deficit of $193.5 billion a year ago. For the first five months of this budget year, the deficit totals $386.5 billion, up 2.7% from a deficit of $376.4 billion during the first five months of the 2014 budget year.

AVERAGE US RATE ON 30-YEAR MORTGAGE RISES TO 3.86%
WASHINGTON (AP) — Average long-term U.S. mortgage rates rose this week yet remained near historic lows reached in May 2013. Long-term rates resumed their upward trend of recent weeks after declining last week. Mortgage giant Freddie Mac said Thursday the national average for a 30-year fixed-rate mortgage increased to 3.86% from 3.75% last week. The average rate for a 15-year mortgage, popular with homeowners who refinance, rose to 3.10% from 3.03% last week.

HONDA RUNNING AD CAMPAIGN TO BOOST RECALL REPAIRS
DETROIT (AP) — Honda is launching an unprecedented U.S. ad campaign urging owners to get vehicles repaired if they have been recalled to fix defective air bags. The Japanese automaker will spend several million dollars on ads in 120 newspapers and 30-second radio spots in 110 markets. It’s also sponsoring customized Facebook posts that will appear in owners’ timelines. The ads — in English and Spanish — will begin running next week.

GENETIC TEST MAKER 23andME LAUNCHES DRUG R&D EFFORT
WASHINGTON (AP) — Google-backed genetic testing company 23andMe is launching its own drug development unit, betting that it can translate its database of customer DNA information into novel medicines. The Silicon Valley-based company announced Thursday that it hired Richard Scheller, a former Genentech executive, to become its chief scientist and lead the company’s research and development efforts. Scheller recently retired from a 14-year career with South San Francisco, California-based Genentech, a pioneer of biotech cancer drugs.

THE YOGURT FILES: FRENCH DAIRY BOSSES CAUGHT COLLUDING
PARIS (AP) — Frantic text messages between French CEOs about cottage cheese prices. Clandestine smoke breaks in a Left Bank apartment to collude on yogurt strategy. A ruling Thursday by France’s competition authority makes for rich reading, detailing a web of secret meetings, hand-written charts and phone exchanges over six years to fix prices on many of the yogurt-related goods on French supermarket shelves. Eleven companies were hit with 192 million euros ($203 million) in fines for the cartel, including Yoplait and Lactalis and makers of most of the store-brand yogurt sold around France.

Real estate will always be about location, location, location but with land especially, it’s future location, future location, future location. Today, looking at Dove Mountain in Marana it’s not difficult to understand why home building there hasn’t experienced the same slow down as other places.

We sat down with Carson Mehl, President of Dove Mountain Homes and the general contractor of The Ritz-Carlton Residences, who also oversees sales and marketing for Cottonwood Properties at Dove Mountain to ask the question: What has made Dove Mountain the exception rather than the rule for home building over the past 18-months?

Mehl told us that the long-term vision and planning that has gone into Dove Mountain makes it an exceptional community in several ways. “When the Ritz Carton decided to partner with Dove Mountain, it was a sign of confidence that showed the path forward. The Ritz opened in December 2009, just at the start of the economic recession,” Mehl said. “Forbes recently named the Ritz-Carlton at Dove Mountain one of only two Five-Star resorts in Arizona for 2015.”

The resort opening and its economic impact was precisely the right prescription to keep Dove Mountain away from seeing any recession. Currently, there are six active builders: Del Webb, Mattamy, Miramonte, Meritage, Richmond and Toll Brothers are all in various stages of home sales.

Mattamy and Toll Brothers both chose Dove Mountain as their entry into the Tucson market in 2014; Mattamy for 172 platted lots and Toll Brothers for 72 platted lots. In addition there are more homebuilder transactions pending for 2015. “Homebuilders have been attracted to the premium real estate and the “shovel ready” nature of the lots. The success has been building on itself. We expect great things to continue out there for the next several years” said Will White of Land Advisors Organization who has handled the latest round for transactions for both Dove Mountain and the homebuilders.

The Ritz Carlton Residences currently has six homes under construction, ranging in price from $1 – $3 million, however, five of these were sold before completion by buyers from cold winter states, several Canadians, and some Californians, we were told.

Surrounded by saguaros at the foot of the Tortolita Mountains just outside Tucson, Dove Mountain is a luxury camp in the high desert. The sprawling community is a destination in its own right with the Ritz Carlton boasting more than 20 miles of hiking trails, three pools, an idyllic spa featuring eco-friendly and holistic treatments and a Jack Nicklaus signature golf course. With numerous dining options, there’s really no reason to ever leave the property.

But, the Sonoran Desert is the real attraction in this harmonious place where finding every amenity under the sun will soon get even easier. Global retail leader, the Simon Property Group is building destination shopping, the Tucson Premium Outlets, at Twin Peaks & I-10, just down the road.

Families should also be more attracted to area, since the Marana Unified School District received voter approval for a $125 million bond that is to include construction of two new elementary STEM system schools nearby.

Mehl explained to us, “Synergy feeds on itself. While the Ritz and Dove Mountain developed a synergy, homebuilders have added to it. Limited lot supply and continued demand by new home builders, combined with the ongoing challenges and delays in rezoning experienced in Pima County. All add up to more emphasis on shovel ready lots in Dove Mountain.”

That bodes well for 2015 and beyond, as home sales, according to several groups of real estate experts anticipate, are on their way up, especially among existing homeowners looking to move up into a larger or secondary vacation home market, as money shifts back from the stock market to real estate.

“It’s decidedly a perfect storm for builders here,” concluded Mehl.

Will White and John Carroll of Land Advisors Organization in Tucson can be reached at 520.514.7454 for more information on available land at Dove Mountain, or click on map below.

If you missed the State of the City Tucson 2015 speech on Friday, delivered by Tucson Mayor Jonathan Rothschild at the Tucson Metro Chamber of Commerce meeting, here is the speech released by the Mayor’s office reprinted in its entirety here.

Good afternoon. Welcome to the 2015 State of the City Address. I’d like to thank the Tucson Metropolitan Chamber of Commerce and the J.W. Marriott Starr Pass Tucson for hosting this year’s event, and I’d like to thank the Chamber for sharing proceeds with three local nonprofits: Arizona’s Children Association’s KARE Family Centers, Emerge!, and Mobile Meals of Tucson.

KARE Family Centers help families caring for children born to others – because the birth parents are incarcerated, deceased, addicted, or for any other reason. Emerge! provides domestic abuse crisis intervention, housing, and support to anyone experiencing domestic abuse. Mobile Meals helps preserve the health and independence of homebound adults by delivering special diet meals.

Cities can become prosperous, but unless they help those who are struggling, they’re not really successful. Organizations like these, and the services they provide, are essential. Please join me in thanking the Chamber for its contribution and these nonprofits for their work.

I’d like to thank my colleagues on the City Council, Interim City Manager Martha Durkin – who’s doing a great job – city staff, my staff, and the many individuals and organizations who worked with our office on a number of initiatives last year and continue to do so.

Thanks also to my wife, Karen, and family, for their love and support, and for allowing me to seek a second term as your mayor.

This is my fourth State of the City Address. I’ve talked about making Tucson work – and we are: ending the Rio Nuevo dispute, creating the city’s Economic Initiatives Office, and streamlining processes at Planning & Development Services.

I’ve talked about doing more together than alone – and we are: partnering with business, government, and nonprofits to open swimming pools, increase our water security, and end veteran homelessness.

I’ve talked about Tucson in transition – and we are: moving from the Five C’s to the Five T’s of technology, trade, transportation, tourism, and teaching, and coming together as a community to lay the groundwork for growth in each of these areas.

Today, I want to talk about opportunity. Economic, social, and civic opportunity. Turning opportunity into results.

ECONOMIC OPPORTUNITY

First, economic opportunity.

I’ve met with many business owners and toured their facilities, at the invitation of the Arizona Technology Council and others. We have new and growing businesses throughout Tucson and Southern Arizona – companies reaping the rewards of opportunity identified and pursued.

Companies like QuakeWrap. Founded by University of Arizona Professor Emeritus Mo Ehsani, QuakeWrap manufactures fiber-reinforced polymers to repair and strengthen infrastructure, with many applications – including blast protection for the new United Nations building in Beirut. QuakeWrap has grown its workforce more than 600 percent in less than two years. At the same time, with help from the Arizona Commerce Authority, export sales grew more than 1500 percent, to in excess of one million dollars.

Tucson has many such success stories, but we need more. We need to turn promising ideas into businesses – turn opportunity into results.

That’s why, in 2014, the city awarded a modest sum to Startup Tucson, which has since gone on to win a highly-competitive 1.44 million dollar five-year contract from the U.S. Small Business Administration to help high-potential, primed-for-growth companies reach the next level.

That’s why, in 2013, the city partnered with the University of Arizona’s Tech Launch Arizona to create the Commercialization Network Alliance, bringing together expertise from the community, the university, and its alumni to help local entrepreneurs.

Tucson researchers are patenting discoveries at nearly twice the rate of those in Phoenix – more opportunity. In fact, technology commercialization at the U of A had its best year to date last fiscal year, with 167 patents filed and 24 issued, 72 licenses executed, and 11 startups created.

Our strengths in technology, STEM, and entrepreneurship are why Tucson was named one of five “emerging entrepreneurial hubs” in the United States by Entrepreneur Magazine.

Of course, patents and startups aren’t all that comes out of our university. To keep more graduates in our community, we worked with the University of Arizona’s STEM Learning, hosting a STEM Internship Business Forum, streamlining the process for employers to get interns from the U of A, Pima, JTED, and area high schools.

Internships help students, who get the one or two years of industry experience employers want. They also help employers, who get up-to-date skills at low cost, as well as a preview of potential new hires.

I encourage Tucson businesses to take advantage of this opportunity. Hire an intern, or add to the interns you already have. The University of Arizona, Pima Community College, Pima County One-Stop, Pima County JTED, and area high schools are ready to work with you. Connect with these resources and you’ll find the workforce you need – right here in Tucson.

We’re also working with state and regional partners to make sure we meet specific industries’ workforce needs, forming sector partnerships in aerospace and defense; architecture, construction, and engineering; healthcare; logistics; and manufacturing. My thanks to the Pima County Workforce Investment Board and TREO for reinvigorating this idea in our community. Done right, sector partnerships can be engines of opportunity, with members identifying and pursuing common goals.

Some goals can only be achieved by working together.

The City of Tucson is working with Pima County, the State of Arizona, our congressional delegation, the business community, and others to develop the best possible case for Southern Arizona’s military installations, which play a vital role in our national defense and our regional economy.

Aircraft maintenance; command and control; communications; electronics; engineering; intelligence, surveillance, and reconnaissance; pararescue; UAVs – Davis-Monthan hosts a wide variety of missions in Tucson’s airspace, flying weather, and location – our aerospace and defense sector, and our university – all continue to make Southern Arizona a strategic choice for both training and operations.

We know the Department of Defense is consolidating infrastructure in Europe. Our goal is to position D-M as a central operations base with the command and control, air support, and logistics, to mount a comprehensive response to crises wherever they arise. A united approach can help us accomplish this goal.

Healthcare is another critical sector, not only for the jobs it brings and the services it provides, but because healthcare, like education, is a key factor businesses look at in determining where to locate and where to grow.

In Tucson, we’re seeing some of the national trend toward consolidation. While Tucson Medical Center remains locally-controlled, the University of Arizona Health Network has been acquired by Banner Health, and Carondelet Health Network is being acquired by Tenet Healthcare and Dignity Health. We welcome these new networks to our community, and look forward to working with all our healthcare providers to create a healthier Tucson.

Though competitive, our healthcare sector can and does work together toward common goals, producing great results.

In 2013, Pima County’s uninsured rate was 17 percent – nearly one in five. In 2014, the first year of the Health Insurance Marketplace, that rate dropped to 10 percent. One in ten – a great accomplishment for the many groups that helped with outreach, and a great result for this community. In economic terms, people who have access to healthcare are more productive. In human terms, they’re healthier – and that’s everything.

Renewable energy is another tech sector with great promise for Tucson – especially solar.

Utility-scale solar at Tucson Water’s land in Avra Valley is going strong, with the two installations producing a total 59 megawatts of power.

And, TUSD has begun installing solar at 42 sites, which is expected to save the district more than 11 million dollars over 20 years. Renewable energy yields results.

After technology, three more T’s. trade, transportation, and tourism.

Mexico at our doorstep – the world’s 15th largest economy, forecast to be 5th largest by 2050 – creates opportunity for Tucson. Expanding I-10, I-19, freight and passenger rail, creates opportunity for Tucson. Opportunity for regional economic cooperation. Opportunity to provide manufacturing and professional services, supply chain, research and development, marketing, and logistics. Opportunity to host international branch offices, as well as corporate headquarters.

Last year, the City of Tucson opened trade offices in Hermosillo, Ciudad Obregón, and Mexico City – in Hermosillo and Ciudad Obregón, with Visit Tucson’s tourism office, Vamos a Tucson, and in Mexico City, with the Arizona Commerce Authority, the City of Phoenix, and others. These offices are not just for the benefit of economic development staff-they’re also available to local businesses.

We continue to advocate for improvements to SR 189, the four-mile bypass route that connects I-19 and the expanded Mariposa Port of Entry. That project is now included in the Arizona Department of Transportation’s current five-year construction program/ We’re working with PAG and MAG, the Pima and Maricopa Associations of Governments, to accelerate the project further. Tucson is a gateway to Mexico and the United States. Having the north-south transportation infrastructure to take advantage of that is a matter not just of local, but of state and national concern.

More than 1,200 companies in Arizona and Sonora signed up for the Arizona-Sonora Business Resource Guide – a resource for anyone interested in the high-value, low-cost manufacturing capabilities of the Arizona-Sonora Binational Megaregion. Together with our counterparts in Sonora, we’ve joined the ranks of other manufacturing megaregions, such as Chi-Pitts and Char-lanta. And, we’re attracting international attention for our access to manufacturing and logistics in both Mexico and the United States.

More than 300 business and government leaders, from both sides of the border, attended our first Borderlands Trade Conference last May. With generous support from a number of sponsors, and experts volunteering their time, we put practical knowledge in the hands of people looking to grow their businesses and help their business constituents.

Programs like this, and the city’s commitment to promoting international trade, earned Tucson a listing as one of the 10 best cities for export assistance in the United States by Global Trade Magazine.

So, how are we doing with exports?

The U.S. Department of Commerce has released data for 2014. Let’s look at some of the states we’re often compared to.

Texas exports were up 3.4 percent from 2013.

California was a little better: up 3.6 percent.

Arizona – any bets where we stand? Can we measure up to the competition?

Arizona’s 2014 exports were up 8.8 percent from 2013.

That’s overall. Exports to Mexico, our top trading partner, were up 22.2 percent, to more than 8.6 billion dollars. Tucson is no small part of that, contributing, on average over the last two years, 15 percent of the state’s total exports/ International trade yields results.

Trade depends on roads, rail – and air. Tucson International Airport broke ground on a new control tower, replacing the second-oldest commercial air traffic control tower in the country with the newest. This 42 million dollar investment from the Federal Aviation Administration is most welcome, and the Tucson Airport Authority is to be congratulated.

TIA also opened a Trusted Traveler Program Enrollment Center, so Tucsonans who want to clear customs through a kiosk no longer have to go to Phoenix or Nogales to enroll.

Infrastructure that facilitates trade is important, but so is local infrastructure.

St. Mary’s Road improvements were completed last year as part of Downtown Links – connecting I-10 to Barraza-Aviation Parkway – and Phase III, from Church Ave. to Broadway, is completing design. The end is in sight for this decades-long, multimodal project, with features for cars, transit, bikes, and pedestrians.

Multimodal is important, as demand for choices in transportation is increasing. People are driving less and using transit more, and this trend predates the recession. Even before the streetcar launched, transit use in Tucson was up 24.5 percent from 2005 to 2010. In fact, Arizonans today drive fewer miles per person than they did in 1994 – more reason to plan for additional transit in any reauthorization of the RTA.

Streetcar ridership and revenue continue to exceed expectations, and the streetcar’s contribution to downtown redevelopment can hardly be overstated.

Our next multimodal challenge is to make our streets safer for bikes and pedestrians – to move from a gold level bike-friendly city, to platinum. Education is part of that, and so is engineering. 40 new infrastructure projects to improve bike and pedestrian access and safety are funded and in design, including 11 new signals to help bikes and pedestrians cross busy streets.

Thanks to falling gas prices and smart management by the city’s Department of Transportation, in the first year of our five-year streets bond, the city resurfaced 241 lane miles at a cost 11.7 million dollars less than projected. Every dollar from the streets bond goes to pavement, so by the time we’re done, we anticipate paving an additional 650 to 700 lane miles, for a total of roughly 1700 newly-resurfaced lane miles. That’s turning opportunity into results.

In fiscal years 2015 and 2016, we pick up the pace. Not only are we under budget with the streets bond, we’re ahead of schedule. This is a program I want to see renewed, so we buy ourselves another five years of road work without having to raise taxes.

City crews are fixing potholes as fast as they can – as they’re reported, with priority given to those on high-traffic, high-speed streets. But potholes come back, and the pavement treatments we’re able to do thanks to the streets bond – fog seal to mill and overlay, preservation to restoration – are the correct, the long-term approach to fixing our streets.

From trade and transportation, to tourism.

We introduced two new festivals last year – the HSL Properties Tucson Jazz Festival, held in January (and very successful) – and the Tucson Festival of Films – a “best of” festival of eight of our local film festivals, to be held in October. With promotional help from Visit Tucson, the hope is for both to grow and become destination festivals, bringing tourists here before our peak season.

Not too many years ago, few saw opportunity in our downtown. How times have changed. Even Scarlett Johansson loves downtown Tucson.

Johnny Gibson Downtown Market is under construction, with opening planned for the spring. After years of trying, we have not one, but two, downtown hotels in the works – a seven-story AC Hotel Marriott, to be located on Fifth Avenue between Broadway and Congress, and a 140¬room hotel on the northeast corner of Euclid and 4th, with retail space and underground parking. A third hotel, a Residence Inn Marriott, is planned for Tyndall and 2nd.

Having a Central Business District and GPLET incentive, a Primary Jobs Incentive, a Site-Specific Sales Tax Incentive, and other financial and assistance programs – these are making it possible for the city to get the right development, in the right place.

We know it can be cheaper to develop vacant land. But we don’t want sprawl. Sprawl hurts everyone. So we incentivize infill, and with the incentives the City of Tucson offers, everybody wins. Just last year, our Primary Jobs Incentives helped create 456 new jobs – jobs that pay, on average, more than 67,000 dollars.

For most of us, opportunity starts with a job – and the education and training you need to get one. Industry reached out to students last year with two firsts that I hope become annual events: the Tucson Manufacturing Block Party, which served as an open house for customers and suppliers as well as a career fair for students, and Southern Arizona Construction Career Days, which brought students to the Tucson Rodeo Grounds.

Our office held a job fair for veterans, along with Employer Support of the Guard & Reserve, Hero 2 Hired, and Tucson Veterans Serving Veterans. 74 veterans and service members were hired.

We also held a job fair for returning citizens – returning from incarceration. Employers with experience hiring returning citizens – such as Johns Hopkins, in Baltimore – have found them to be loyal, capable workers, happy for a second chance. With social service agencies there to offer support, as well as employers, more than 65 returning citizens were hired. We’re planning another Second Chance Job Fair this spring.

Every business that extends a helping hand – whether to students, veterans, or returning citizens – deserves our thanks. Everyone should have the opportunity to succeed.

SOCIAL OPPORTUNITY

For that to happen, however, we need social opportunity, as well as economic opportunity. We need access to resources that prepare us for success, sustain us through tough times, and improve our quality of life – starting with a good education.

Last year, with funding from the Helios Education Foundation and assistance from WestEd, the Arizona Mayors Education Roundtable released a report on the high cost of dropping out – to the economy (per dropout, nearly 383,000 dollars) and to local and state governments (per dropout, more than 58,000 dollars). You would hope information like this would get state lawmakers to take notice, and fully fund our public schools. Yet, at the state level, Arizona continues to inadequately fund K through 12 education – ranking at or near the bottom in per-pupil spending.

At the local level, we continue to work with and support our public schools.

With Tucson Unified School District, we held two Steps to Success Walks, knocking on doors of dropped-out high school students with teams of community volunteers and district staff. Chief Villaseñor, Chief Critchley, University of Arizona athletes, and business and community leaders participated in these walks. These kids need to hear from adults in the community that we want them to succeed, that they have what it takes to achieve. You’d be surprised, but the mayor or the school superintendent knocking on your door – sometimes waking you up – and asking you to get back in school, has an effect. Of the students targeted, 269 re-enrolled. That’s giving back opportunity.

We worked with Literacy Connects to recruit volunteers to work with children and adults – adults who are English language learners or never learned to read, and children in grades K through 3 who are struggling readers, primarily in Title 1 schools.

And, we worked with Pima Community College Adult Education, the University of Arizona School of Education, Literacy Connects, and Sunnyside School District to bring a literacy immersion program called Teach the Parent, Reach the Child to Mission Manor Elementary School, a Title 1 school.

Literacy volunteers open the world to those they teach. They help adults overcome barriers to employment. They help children overcome barriers to achievement. We need many more, and I encourage anyone who loves to read to share that gift as a literacy volunteer.

During the school year, I try to visit a classroom and read to children once a week. Through that experience, I’ve found a new favorite in children’s literature. Pete the Cat. If you haven’t run across Pete in reading with your children or grandchildren, let’s just say he’s not a complainer.

We’re partnering with TUSD on a school attendance program, Count Me In!, and placed an AmeriCorps VISTA member in the district to help with the program. Teachers work with parents and students to set attendance goals. Those who meet their goals are eligible to win prizes from participating museums and attractions. Missing just two days of school a month – 18 days a year – can knock students off track, making them less likely to graduate.

We’re partnering with United Way of Tucson and Southern Arizona on their cradle to career initiative to improve educational outcomes throughout the region. We’ve submitted a proposal to bring AmeriCorps VISTA members to Tucson to create community schools at participating sites – where families can find social services, as well as educational services. That’s giving access to opportunity.

Elected officials need to hear from the business community that fully funding K through 12 education is not just a priority, but a necessity – a pro-business necessity. I want to thank the Tucson Metro Chamber for sending a letter to Governor Ducey and legislative leadership urging increased funding for our public schools. That’s the kind of business leadership we need.

When faced with tough social problems, we can take the opportunity to make a point, or we can take the opportunity to get to work.

Last year, we continued our push to end veteran homelessness in Tucson. We have a deadline: December 31, 2015.

To date, our 14 partner agencies, including the city’s housing department, have housed 920 formerly homeless veterans – more than halfway to our goal.

This is not always an easy population to serve. About half of those housed were chronically homeless, some having lived on the streets for decades. Many thanks to all involved in this challenging work.

We end homelessness with housing – permanent housing – and supportive services. We end homelessness by sharing information and procedures, so no matter which agency a person goes to, the right services are accessed. We end homelessness with hard work, not headlines.

Last year brought two new housing programs to Tucson. Ready, Set, Own!, a program of Radian, provides education to help prospective home buyers become successful home owners.

Neighborhood LIFT, a program of Wells Fargo and NeighborWorks America, worked with Primavera Foundation to provide 5.5 million dollars in education, down payment assistance grants, and support for local initiatives. 252 families and individuals qualified for the 15,000 dollar grants, available to low-and moderate-income home buyers, and 207 have already moved from renting to home ownership. I was very pleased to welcome both programs to Tucson. Home ownership strengthens neighborhoods, and can help families build financial security.

Less than 50 percent of Tucson’s homes are owner-occupied. Increasing home ownership – especially renovating homes that are dilapidated or abandoned – is an opportunity for the right contractor.

While home ownership strengthens neighborhoods, graffiti has the opposite effect.

I’ve asked staff and my colleagues on the council to give increased priority and resources to graffiti enforcement and abatement.

With cooperation from the community, we can greatly reduce graffiti. Look what was done with metal theft.

In 2012, this crime was occurring at unprecedented levels. Today, reports of metal theft in Tucson are below 2010 levels – and more than 2.5 million dollars below where they were in 2012. Congratulations to TPD and their business and community partners, including metal recyclers and the Pima County Metal Theft Task Force.

Abating graffiti prevents blight. Planting trees adds beauty.

With help from Tucson Clean & Beautiful Trees for Tucson program, its sponsors, and participating Tucsonans, we planted our 10,000th tree at Oyama Elementary School and started on our next 10,000 trees at Rincon High. Trees provide shade, cool buildings, and reduce energy demand. They lift property values and even hope, renewing pride in our community.

CIVIC OPPORTUNITY

From social opportunity to civic opportunity – turning opportunity into results at the municipal level.

City staff did an excellent job managing renovations at the TCC, with 7.8 million dollars contributed by Rio Nuevo and 1 million dollars by the city. A much-needed change for the better. Please, visit the arena. You’ll be pleasantly surprised.

City Golf and the Tucson Convention Center are under new management – City Golf with OB Sports and the TCC with SMG. Both bring specialized expertise. OB Sports manages golf courses nationwide and SMG manages entertainment and convention venues worldwide. So far, results from both are encouraging.

When you look for opportunity, you find new ways of doing things. Sometimes asking, “What if ” can get you results you never thought possible.

The City of Tucson already takes our full allocation of CAP water and banks what we don’t use in the ground – giving us a buffer against prolonged periods of drought.

Last year, we entered into an agreement with the City of Phoenix, where Phoenix banks some of its CAP water in Tucson’s well field at our SAVSARP facility. If a shortage was declared, we would use some of their banked CAP water and they would use some of our CAP allocation.

This is a pilot program. If everything works out, Phoenix funds expansion of our facility, so we can bank more water. Tucson gets a higher water table, which means we spend less to pump water to our customers. Everybody wins. Both cities have greater water security. Both cities have lower costs. Regional cooperation yields results.

Tucson Water also finished construction of an Advanced Oxidation Process Water Treatment Facility last year – part of our commitment to provide safe, reliable drinking water throughout our service area.

We’re setting goals for conservation at city-owned properties, using enterprise software called TUMS, Tucson Utility Management System. TUMS will help monitor water and energy use and track progress toward our goals – a 2 percent reduction in use each year over the next five years.

Businesses can also benefit from conservation.

Next month, our office is partnering with Tucson Electric Power, Tucson Water, and the business community to host an Energy Efficiency Workshop for businesses. Participants will hear from local businesses how they cut costs by improving facilities, and learn about programs and financing that can help with efficiency improvements. What businesses do with the savings is up to them.

One opportunity I’ve talked about before is annexation – bringing back more of the tens of millions in state-shared revenue we lose each year by failing to annex or incorporate.

The City of Tucson completed seven annexations last year – estimated to bring more than 39 million dollars to our community over 10 years. Part of that was by the airport, giving us the ability to offer city incentives to businesses that want to develop that land for manufacturing and logistics – prime industrial properties at the center of our logistics hub.

Sometimes, opportunity requires structural change.

A citizens committee has been reviewing Tucson’s City Charter, which hasn’t been updated in years. The consultant facilitating their work, Raphael Sonenshein, has worked on a number of these projects – most notably, revising the Los Angeles City Charter in 1999.

Of the committee’s recommendations, the most important, to me, is that we raise the city’s bonding capacity.

State law limits a city’s bonding capacity, but Tucson’s City Charter sets much lower limits, making us dependent on other jurisdictions for capital improvements. If we didn’t have this limit in our Charter, we’d be able to do what other Arizona cities are able to do – We’d have an additional 600 million dollars or so in bonding capacity – to fix our streets, and for other projects.

Any bond, of course, would still have to be approved by voters. But we don’t need to set limits lower than other cities in Arizona – lower than what the state allows – on our ability to invest in our own community.

CONCLUSION

Last year, Tucson was in the running for a project that surprised a lot of folks. While we did not ultimately add Tesla as a 6th T of our economy, with good cooperation between the city, county, TREO, Tucson Electric Power, and others, we put together a strong proposal – and we gained visibility with site selectors nationally for Tucson’s very real strengths in technology, transportation, and trade. You don’t always win when you pursue opportunity, but, almost always, you accomplish something worthwhile.

It’s a competitive world. We can swing for the fences – a Tesla – or we can hit singles. Lots of them. But however we get there, nobody should be on the bench. Everybody should be in the game – business, government, and non-profits – each and every Tucsonan. That’s making the most of opportunity. That’s how we turn opportunity into results.

People tend to find whatever it is they’re looking for. Look for problems, shortcomings, someone to blame – and you’ll find them. Look for opportunities, solutions, someone to help – and you’ll find those, too. Ask yourself: Which would you rather find?

Connect yourself with opportunity. Connect others with opportunity.

Thank you for all you do for Tucson. And, thank you for allowing me the great privilege of serving as your mayor.

 

PHOENIX— Nathan Day may be one of the youngest residential developers in the U.S., but he is taking on one of the oldest forms of housing in the luxury market of Scottsdale.

Thirty-one-year-old Day’s company, Cypress Development Group, is launching the first condos to be built in the exclusive Silverleaf neighborhood in the northern part of Scottsdale. They will not only be the only condos in the private golf community of Silverleaf, but also the only ones in DC Ranch, one of the oldest master-planned, upscale zip codes in Arizona.

DC Ranch is a 1,780-acre community located next to the McDowell Sonoran Preserve. It’s a community popular with second-home residents, including scores of Canadian snowbirds. Silverleaf is one of its gated subdivisions. “I think people want to be in new construction and there has been a lack of inventory in the luxury category,” says Day, “especially with a premium address.”

The 213-condo units Cypress is building will be situated near the DC Ranch health club, the Silverleaf golf course and other amenities including restaurants, retail and health services.

They will have views of the McDowell Mountains and the Sonoran Preserve with access to mountain biking and hiking trails that wind their way through Silverleaf. It is also in close proximity to Scottsdale Airpark for those with private planes.

Priced from the low $1 million, the 213-condominiums will feature one-, two- and three-bedroom floor plans, with options for an added den, and range in size from 1,680 to 3,600 square-feet. Several exclusive penthouses averaging 2,500 square-feet will grace the top floors. The exclusive collection of five, four-story private buildings will feature sustainable silver-level LEED new construction, state-of-the-art automated valet parking and private elevators that open directly into each home.

All condominium residences will feature top-of-the-line, custom finishes including Calcutta marble countertops in the kitchen, Pro-Series Sub-Zero and Wolf appliances, natural stone and wood floors, custom cabinetry, ceilings exceeding 11 feet, LED lighting, expansive terraces, professionally designed walk-in closets with custom cabinetry, his and hers bathroom vanities and deep soaking tubs in the master bathroom. Each residence has a built-in iPad system that controls the home automation and security systems providing the ability to remotely control every element within the home such as audio, video, lighting, window coverings and security. Also unique to the community is the steel frame Type I construction, which is atypical for such low-density developments.

Homeowners have access to a 7,000 square-foot Resident Lounge with a demonstration kitchen, private dining room, library, fireplace, flat screen TVs and a conference room.

Additionally, The Sterling Collection will be the first community on the West Coast to debut a robotic valet, which is an automated parking system. The innovative system uses omni-directional, battery-powered robots and a robotics guidance system to carry vehicles parked on self-supporting steel trays to and from storage spaces. At the touch of a button, homeowners can call-up their vehicle to arrive in minutes. The system uses robots and lifts to store and retrieve vehicles without the damage and privacy issues that come with valet drivers.

“This is one of the things we’re most excited about,” says Allan Luster with Cypress Development Group. “It’s something we’ve seen in New York City and Miami in the most exclusive condos—though it’s been used for a long time in Europe. We got to see it work. You just hit a touch-screen button and there you are. These buyers have high net-worth cars and we really took that to heart. This is the solution that best fit the product.”

A priority interest list is currently being developed with a sales gallery and model opening in early November. Construction will begin in the first quarter 2015 with anticipated move-in by early 2016. The Kor Group, well known for creating the Viceroy Hotel brand and developing one-of-a-kind lifestyles experiences that build lasting value for homeowners and local communities, is leading the sales and marketing of The Sterling Collection.

For more information: Silverleaf Realty of DMB Realty Network manages sales for the community. Call (480) 502-6902 or go to www.sterlingatsilverleaf.com.