Chandler office project Valley’s first since 2009
The Republic | azcentral.com
A San Diego developer has broken ground in Chandler on what company and city officials say is the first speculative office project in the Valley since 2009.
Douglas Allred Co. is putting up a 92,109-square-foot two-story building in Allred Park Place, near Price and Willis roads, where there are three other office complexes on 75 acres.
The current project and planned expansion eventually will bring more than 1 million square feet of commercial space to the site, said Dave Allred, son of the company’s founder. The firm also is buying the 65-acre former Kuiper Dairy across the street for another office and industrial project.
Founded in 1970, Douglas Allred Co. has holdings in Arizona and California.
“We think Chandler is a great place to be doing business and when you have two converging freeways and a major mall, how can it not be a good location,” Allred said, referring to the site’s location near the Price and Santan freeways and Chandler Fashion Center.
“It’s been awhile since we’ve seen speculative construction in the Valley, but it is no surprise that the first office project coming out of the ground in several years will be in the Price Corridor,” Mayor Jay Tibshraeny said.
Allred said the company purchased the acreage about six years ago and has been leasing office space as it’s built through CBRE. One of the Park Place tenants is Education Management Corp., a for-profit online university. Another is International Rectifier, a company that develops components or consumer electronics and aerospace.
The dairy site, which is in escrow, was a victim of the economic downturn in 2008, when a previous sale to a developer fell through just as milk and land prices plummeted.
The Kuiper family sold the herd and the dairy quietly closed but cows were later brought back to the property. Another operator is leasing the facility and operating a dairy on the site now, Allred said.
The Chandler construction comes at a time when lenders have been reluctant to finance speculative projects. Allred said his company’s reputation and more than 40 years of business have helped it develop a “wonderful relationship with Union Bank of California.”