KJZZ is a service of Rio Salado College,
and Maricopa Community Colleges

Copyright © 2024 KJZZ/Rio Salado College/MCCCD
Play Live Radio
Next Up:
0:00 0:00
Available On Air Stations

High Demand For High-End Office Space In Tempe

Rendering of rooftop lounge for The Grand Building Two.
(Image courtesy of Lincoln Property Company)
Rendering of rooftop lounge for The Grand Building Two.

Demand for high-end office space in Tempe is so strong, a developer recently broke ground on a nine-story building without having a single tenant lined up.

It’s the second office building at a mixed-use project called The Grand at Papago Park Center, a nearly 60-acre development near Priest Drive, the Loop 202 and Washington Street.

“The vacancy rate for Class A Tempe office space is at a record low, currently sitting at sub-two percent, and companies continue to flock here for Tempe’s amenities, educated labor pool and premier work environments,” David Krumwiede, executive vice president with Lincoln Property Company, said in a statement.

At 352,000 square feet, Lincoln Property Company says The Grand Building Two is one of Arizona’s largest speculative office buildings. It will feature floor-to-ceiling windows, a rooftop lounge and private fitness facility.

The Grand at Papago Park Center is about a quarter mile from Tempe Town Lake and the Marina Heights Development, which serves as a regional hub for State Farm Insurance.

At buildout, The Grand at Papago Park Center is expected to encompass 1.8 million square feet in eight office buildings and three parking garages.

As a senior field correspondent, Christina Estes focuses on stories that impact our economy, your wallet and public policy.