Park Algodon, a $250 million industrial and mixed-use project in Phoenix, officially broke ground this week by leading Phoenix-based real estate development firm Creation, alongside joint-venture partner Clarion Partners.
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To mark the occasion, the developer held a groundbreaking ceremony yesterday with local dignitaries, including Phoenix Councilwoman Betty Guardado, along with other notable city and industry guests. Creation’s affiliated nonprofit, the David R. Sellers Foundation, donated $20,000 to nonprofit UMOM, which provides shelter, housing and services for people experiencing homelessness.
“Park Algodon is a special opportunity to deliver an infill, freeway-visible, and highly accessible employment campus in a corridor starved for new inventory,” said Grant Kingdon, principal of Creation’s Mountain West Region. “We want to thank the seller team at John F. Long for a smooth land transaction, and we’re excited to transform the site into a premier employment campus with our partner, Clarion Partners.”
Located on the northwest corner of Loop 101 and Indian School Road in Phoenix, Park Algodon is a two-phase speculative industrial development spread across 87 acres, totaling approximately 1.3 million square feet at full build-out. The first phase comprises four buildings totaling 766,000 square feet, enabling the project to cater to tenants as small as 16,000 square feet and as large as 317,000 square feet. The second phase will consist of a single 556,000-square-foot building. The best-in-class buildings will feature 32’-36’ minimum clear height, ample power and abundant employee parking. LGE Design Build is leading the architecture and construction, with the first phase expected to be completed in the third quarter of 2025. Mike Haenel, Andy Markham and Phil Haenel with Cushman & Wakefield are handling the leasing assignment.
“According to a March 2024 study by CoStar Analytics, Phoenix is among the top 10 markets with an acute shortage of small-bay industrial space that can accommodate users less than 50,000 square feet,” said Mike Haenel, executive vice chair of Cushman & Wakefield. “Park Algodon is a direct response to this shallow-bay inventory shortage. With proximity and accessibility to neighboring major markets and ports, the metro-Phoenix industrial sector continues to field strong demand from a diverse range of industries across the industrial spectrum. Park Algodon is positioned to accommodate users of all industries, from general manufacturing and more traditional industrial occupiers to the emerging technologies that are attracted to the Valley, thanks to the quality of our workforce.”
Separate from the joint venture, Creation is developing The Shops at Park Algodon on an adjoining seven acres, including over 14,000 square feet of restaurant and retail space and four pads for additional restaurant development. As a perfect complement to the Park Algodon employment center, The Shops will feature modern architecture and design similar to Creation’s The Colony in Phoenix and The Collective in Tempe. The Shops will feature a premier assortment of restaurants and retailers that will cater to the demand of the surrounding neighborhoods, both existing and under construction. Matt Milinovich and James DeCremer with Avison Young are handling leasing, which has already been met with significant interest from concepts eager to support the residential growth in the area.
Founded by David Sellers and Bob Agahi in 2018, Creation’s portfolio encompasses $4.5 billion of ground-up developments in major growth corridors in Arizona, Texas, California, Tennessee, New York and New Jersey. In addition to Park Algodon, Creation has a number of new industrial projects underway in the Valley, including Thunderbird Commerce Park in Scottsdale and Nexus Commerce Center in Tempe. For more, visit CreationEquity.com.
