PHOENIX — RED Development has begun construction on PV, the $2 billion redevelopment of a 100-acre site in Phoenix formerly occupied by Paradise Valley Mall.
Phase I of the project will include retail, dining and entertainment space anchored by Whole Foods Market; AVE Paradise Valley, a 400-unit multifamily community; and a 77,000-square-foot co-headquarters for Fender Musical Instruments Corp. Each component of the development will be linked via centrally located parks.
A groundbreaking was recently held for the office portion of the development — a three-story building designed by SmithGroup to be occupied solely by Fender. Scheduled for completion in fall 2025, the complex will feature a dedicated model shop for its guitar and amplifier designers, an upscale sound room, café, meeting rooms and flexible workspaces.
Openings began on the retail portion of the project last week and will continue through the end of this year. Tenants will include Flower Child, Blanco Cocina + Cantina, The Melt, Trevor’s Liquor, Wren House Brewing Co., Frost Gelato, Sephora, Hammer & Nails, SkinSpirit and European Wax Center.
AVE Paradise Valley is currently preleasing with move-ins scheduled to begin in November. The mid-rise community offers studio, one-, two- and three-bedroom units with private patios or balconies. Shared amenities include a resort-style pool, hot tub and sundeck; outdoor courtyards with grilling stations and fire pits; hot beverage and full-service bars; high-end fitness center; pet spa, lounge and dog park; resident lounge areas; and Amazon package lockers.
Phase II of the development will include Life Time and Life Time Living, a first-to-market dual fitness and multifamily concept that includes an upscale athletic club and a luxury apartment community. The project is scheduled for completion in 2026.
Paradise Valley Mall opened its doors in 1978. RED Development purchased the property from retail REIT Macerich (NYSE: MAC) for $100 million in March 2021. The mall officially closed shortly thereafter, with tenants Costco and JCPenney remaining open, according to local reports.
Locally based RED Development is a privately held commercial real estate firm focused on the development of mixed-use and retail projects. The company’s portfolio is predominantly located in the Southwestern and Midwestern United States.
—Katie Sloan