Towers get new name, fresh start
The Business Journal of Phoenix - September 22, 2006by Christia GibbonsThe Business Journal
Cielo Phoenix, a twin-tower condominium project originally called Sky Phoenix when it entered the market earlier this year, is about to take flight, and developers are expecting tremendous interest from people who are anxious to get a taste of city living.
Developers of Cielo, planned at the northeast corner of Central and Columbus avenues, were in town this week to talk up the project. Total cost of the pair of 36-story buildings, which received approval from the city in April, is expected to be about $250 million, they said.
A major advertising campaign promoting the condos has been launched in local magazines and on billboards.
Aaron Yashouafar, chief executive of Milbank Real Estate Services, and David Pourbaba, chief executive of 4D Development, both from Southern California, said they chose Phoenix for their alternative-living venture because "it's a prime time to come and do urban living right," Yashouafar said.
Top floors of the 375-feet-high, 500-unit residences will have walk-around balconies angled to provide maximum views, developers said.
"Phoenix people love the outdoors and the big terraces and views go with that," said Douglas Hanson, design principal with the DeStefano + Architects in Los Angeles, architects on the project. "Plus many may be moving from single-family homes and used to more space."
"We are surprised at the number of people moving from Chicago to Phoenix," Pourbaba said, adding that even starting in the $300,000s their condos provide "comparatively cheaper living."
"People are paying $2,000 per square foot in New York, $4,000 in London and $4,000 in Tokyo," Pourbaba said. "It's all relative, and there are not that many choices here."
Cielo's condos will cost between $300,000 and $2 million depending on whether it is a studio, loft or one of the three-bedroom penthouses. Units will range from 600 square feet to 2,700 square feet.
The businessmen said they like the idea of being at the forefront of the emerging urban environment.
Yashouafar said the project offers a middle step for people who want a feeling of openness while having certain expectations for high-rise living.
"Not being raised in Phoenix, it's easier for us to realize how to develop for midtown and for urban residents," he said.
Focus groups in the Central Corridor and in Chicago influenced the project, the developers said, convincing them to provide a dog run, outdoor movie screen and a roof-top garden with a bar, hot tubs and fire pits.
Construction is scheduled to start in the middle of next year with completion of the first tower by the end of 2008.
The partners' $350 million, 45-story condo on the Las Vegas Strip -- called Sky Las Vegas -- is expected to be completed by the end of the year.
The Phoenix project was renamed Cielo, which means "sky" in Spanish, because the developers said it turned to be very different from the Las Vegas project.
"They are like our children," said Yashouafar. "You wouldn't name both of your children Jack."
A big attraction to Phoenix, they said, is the coming of light rail. Yashouafar and Pourbaba said easy access to transportation fits into their concept of creating community.
"We try to discourage investors. We like residents," Yashouafar said.
Steve Muenker, assistant planning director with the city of Phoenix, said Cielo Phoenix was approved to exceed the area's 250-feet height limit in April.
"There's a lot of interest along the light rail corridor as (developers) position themselves there. A number of applications are pending," Muenker said.
Mark Stratz, senior associate with Grubb & Ellis/BRE Commercial LLC, said there's plenty of room for residential living in the Central Corridor.
Stratz said investors are re-evaluating the area to figure out the best type of residential building, and by the end of the third or fourth quarter will figure out whether high-rise or boutique projects make the most sense.
Hanson, the project's architect, said one of the most impressive aspects of the project has been the city's preplanning for the midtown, Central Corridor area.
"Lots of Western cities don't have plans for development along mass-transit lines or have zoning in place," he said. "It was a pleasure designing a building there."
Early on, Hanson said, the thinking was to do one taller tower, but the two, shorter ones made for more design options. "It's not going to be a single tower marching down Central. You can imagine two people standing next to each other, kind of dancing."
The towers will have a retail level, and there will be separate security arrangements between shops and restaurants and the residents, the partners said.
Pourbaba's 4D Development, with more than 20 years of experience, focuses on developing and repositioning mixed-use projects in California, Nevada and Texas.
Yashouafar's Milbank Real Estate Services owns, manages or is developing more than 2 million square feet throughout Southern California, Nevada, Oklahoma and New York.
Get connected
DeStefano + Architects:
www.destefanoandpartners.com
Cielo Phoenix:
www.cielophoenix.com
Cielo at a glance
Price range: $300,000 to $2 million
Styles: Studios, lofts, three-bedroom penthouses
Square footage: 600 to 2,700
Units: 500
Retail: 15,000 square feet at ground level
**credit to ArtDecoFan for having the rest of the article**
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Cielo:
Toll Brothers...no pretender
I agree!!! Here is a link to the Toll Brothers site. The page contains several PowerPoint presentations from a recent "Analyst/Investor" meeting. They look very strong and have the kind of muscle needed to make such a grand project come to fruition. Of course, their history has been higher-end single-family homes but urban, hi-rise housing is definately an increasing component of their business plan. 
Cielo Phoenix
I hate that damn post office. Knock the f-er down, along with a million other eyesores. I'm not saying we need endless towers, but new, fresh, inviting buildings, parks, etc. sounds good, even if it's one- or two-story buildings.
Linear Mode
