The Arizona Republic
Nov. 29, 2007 11:29 AM
SCOTTSDALE – State trust land will be in play next year in the Northeast Valley with close to a dozen auctions planned for more than 2,400 acres. That includes a key development site on the Phoenix side of Scottsdale Road, and nearly 1,700 acres that Scottsdale has targeted for its McDowell Sonoran Preserve.
The Arizona State Land Department on Jan. 23 will auction 112 acres in a 99-year lease. The Paradise Ridge parcel, valued at $32 million, is northwest of Loop 101 and Scottsdale Road. Westcor has long targeted the land for a shopping center it calls Palisene but other developers are interested in the prime commercial land.An Oct. 29 auction of the land was postponed after a dispute over the bidding rules that has since been resolved, said Jamie Hogue, deputy state land commissioner.
“We’re ready to go forward,” she said. “We won’t know until it happens but we are hoping that bidders will show up.”
Site still needs water and roads
A new agreement was drawn up requiring the winning bidder to deposit $20 million for water, drainage and road improvements for the site. The Paradise Ridge site is one of three that developers are targeting for major mixed-use developments north of Loop 101 from Scottsdale Road west to 56th Street.
In addition to Westcor’s Palisene project, the Thomas J. Klutznick Co. is making progress on CityNorth on 144 acres northwest of the freeway at 56th Street.
Plus, DMB Associates is planning One Scottsdale northeast of Loop 101 and Scottsdale Road. Dial Corp. is building its new headquarters at One Scottsdale and plans to open it next fall.
Both DMB and Klutznick have expressed interest in the Paradise Ridge site.
Rawhide Wash also is in the mix
The other major parcels of state trust land coming up for auction in Scottsdale next year are four sections of nearly 1,700 acres that stretch from Happy Valley and Scottsdale roads northeast to east of Pima Road and Dixileta Drive. Scottsdale wants the land in the Rawhide Wash for its preserve but it must bid against homebuilders. The value of the land has not been established and no date has been set for the auction.
Carla, the one-named activist and former executive director of the McDowell Sonoran Conservancy, said the focus needs to be on getting a state-land reform initiative on the ballot in 2008.
That would allow Scottsdale and other Arizona communities to have a clear picture of the costs to acquire state trust lands like the Rawhide Wash for open space, she said.
Four sites planned for auction
The other four parcels of state land in Scottsdale up for auction next year include: • 10 acres south of Bell Road at 98th Street that has zoning for hotel.
• 17.87 acres southwest of Pima Road and Thompson Peak Parkway with commercial zoning.
• A pair of 30-acres sites north of Deer Valley Road and east of Pima with residential zoning.
• 16.81 acres near the Pinnacle Peak trailhead that is identified as a resort site.
All planned for auction in 2008
No appraisals or auction dates have been released for any of the four parcels, but they are targeted for disposal in 2008. The Arizona State Land Department will also test the land market Dec. 6 when it auctions 413 acres near Deer Valley Drive east of 32nd Street with bids starting at $100 million.
An auction to least 43 acres just west of the Scottsdale 101 shopping center is also planned next year.