GTIS Partners and Clyde Capital Joint Venture Announce $250 Million Mixed-Use Development Project in Phoenix Submarket of Surprise

GTIS Partners and Clyde Capital Joint Venture Announce $250 Million Mixed-Use Development Project in Phoenix Submarket of Surprise

PHOENIX, AZ - GTIS Partners, a global real estate investment firm managing $4.5 billion in gross assets with a U.S. focus on residential and industrial/logistics investments, and Clyde Capital, a vertically integrated commercial real estate investment and development company, announced the development of a $250 million mixed-use, master-planned community in Surprise, Arizona, which is located within the Phoenix MSA. The project will include a build-to-rent community, retail space and a medical facility, and will be built across 90 acres of land acquired by GTIS and Clyde.

In conjunction with the land acquisition, GTIS and Clyde sold 20 acres within the project to HonorHealth, one of Arizona's largest hospital systems, to develop the medical facility. Forty-five acres will be allocated to a joint venture between Clyde and Simon CRE, a national commercial real estate acquisition and development company, to establish a multi-phase retail center. GTIS will retain the 25-acre balance of the site for a build-to-rent development.

GTIS and Clyde initially pursued the property in April 2021 and took the project through a rezoning and site planning approval as it secured entitlements. The site is 40 miles from Downtown Phoenix, located along North 163rd Avenue and bound by U.S. Highway 60 and Pat Tillman Boulevard. It sits directly across from a 175,000 square foot Fry's-anchored retail center, is conveniently located to many of the area's top employers, and is about one mile from a Loop 303 interchange, providing easy access to the 303 industrial corridor. The site is also 20 miles from Taiwan Semiconductor Manufacturing Corporation's plant, one of the largest foreign investments in U.S. history and the largest ever in the state of Arizona.

The GTIS-owned residential parcel at Asante Trails is approved for a build-to-rent community called Tavalo at Asante. Tavalo at Asante will offer 282 single-story homes (duplexes and detached) ranging from one to three-bedrooms with a gated entry, on-site leasing center, resident lounge, resort-style pool, dog parks and a central park, all contiguous and walkable to the masterplan's future neighborhood retail center.

Clyde and Simon CRE's Phase I of the commercial portion of Asante Trails will consist of a 12- acre retail center at the southwest corner of Pat Tillman and 163rd Avenue, providing a mix of neighborhood entertainment and services. 

HonorHealth, a locally governed and operated non-profit healthcare provider, is committed to the responsible development of healthcare services that increase access to world-class care for the community. Rick Murdock, Vice President of Strategic Planning, commented, "With the purchase of 20 acres, HonorHealth is excited for the opportunity to align healthcare services with community needs while partnering with the City of Surprise to improve the health and well-being of those we serve for decades to come."

Rob Vahradian, Partner & Head of U.S. Investments at GTIS, said, "We are excited about delivering more housing and employment options to the region. This site is strategically located in the rapidly growing Surprise submarket of Phoenix, which is currently undersupplied with rental housing options yet is adjacent to the Loop 303 industrial corridor, Phoenix's fastest growing job market."

"We would like to thank the City of Surprise's Planning Department, City Council, City Manager and Economic Development Director for their leadership and counsel as we navigated through the project's entitlement process. This acquisition represents a great opportunity for the residents of Surprise to get the commercial services and quality rental housing they need in response to the city's rapid growth. Asante Trails will be an important part of Surprise's future and we look forward to being a part of it," said Theodore Karatz, Managing Director, U.S. Acquisitions and Head of Build to Rent Acquisitions at GTIS.

Jim Stockwell, President at Clyde Capital, commented, "The Phoenix MSA has experienced steady growth over the past five years and continues to face an unprecedented shortage of housing at all price points in every submarket. Asante Trails will be a beautiful master-planned community for the Northwest Surprise neighborhood offering best-in-class healthcare, shopping, dining and housing opportunities, all in a walkable and integrated setting."

Source: GTIS Partners / Clyde Capital

More Stories

Get The Newsletter

Get The Newsletter

The latest multifamily industry news delivered to your inbox.