Apartment Construction Following in Wake of New Businesses

PHOENIX-Pre-leasing begins this month on Lexington on Central, a 131-unit gated apartment complex along one of Phoenix’s main business corridors. The project, located just west of Central Avenue and south of Camelback Road, will feature 54 one- and 77 two-bedroom units, ranging in size from 798 sf to 1,300 sf. Rents will range from $790 to $1,350.

Lexington on Central is the latest of more than a half a dozen complexes to go up in the central business district area in recent years. The now vibrant Downtown is attracting more and more businesses and along with it residents who don’t want to make the daily one-hour commute to the suburbs.

“Metro Phoenix has enjoyed a banner year for urban and downtown infill residential projects,” says David Picerne, president of Picerne.

Atlanta-based Post Properties recently began leasing apartments at Roosevelt Square, which has more than 400 units in the first phase. The complex is on Central Avenue at Portland Street near Downtown. Last month, Phoenix-based Gray Development tied up a parcel at the corner of Central Avenue and McDowell Road with plans to build Central Square, a mixed-use development that will have 75,000-sf of office space, 25,000-sf of retail and 384 apartment units. Construction could begin by next summer.

United Properties has a parcel under contract at Central Avenue and Encanto Boulevard with plans to begin construction this year on a condominium complex with more than 300 units, underground parking and more than 10,000-sf of retail fronting Central Avenue.

The land for Lexington on Central was purchased by Picerne in December for $1.85 million. The project is a joint venture between Picerne and SunAmerica Inc., a financial services company in Century City, CA.