Tempe is gearing up to become the latest big apartment developer to get into the rental housing business with a $200,000 loan for a $20 million apartment project.
The project is a one-bedroom apartment on a one and a half acre site in Temepas downtown area.
The developer is a group of Tempe investors and is owned by the developer and Tempe Valley Hospitality Group, which owns the hospital.
It will be a mix of commercial, luxury and retail units.
The site is a prime area for a restaurant and retail space.
The $200k loan will be used to finance construction of the first units and is contingent upon building a site plan, construction of permits, environmental approvals, and the approval of the city of Temprans zoning bylaws.
The project is being funded through a combination of private and public financing, according to the developer.
The site was listed for sale in August 2016 for $30,000.
The sale price was later bumped up to $30 million.
The developers announced the deal in late December.
The city approved the project in May, with the approval from the city’s zoning commission, said Stephanie Fuhrmann, a spokeswoman for Tempe City Councilor Kevin McCarty.
She said the developers are in the process of obtaining city approval to build the site.
The city is in the final stages of approval.
The development is expected to be complete by early 2019.
The zoning commission is expected next week to give the city final approval.
Tempe, with a population of about 9,000 people, has seen a dramatic increase in apartment development in recent years.
In 2014, the city approved nearly 2,200 apartments for sale, which is a 35 percent increase from 2015.
This year, the number of apartments is up 30 percent.