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Old Town proprietors band together in an effort to ‘save’ Scottsdale

Petition seeks to force SouthBridge Two decision into voters’ hands

Posted 12/9/19

Effort is underway to garner nearly 12,000 signatures for a referendum petition being circulated by Old Town Scottsdale property and business owners to halt changes on private property in their area. …

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Old Town proprietors band together in an effort to ‘save’ Scottsdale

Petition seeks to force SouthBridge Two decision into voters’ hands

Posted

Effort is underway to garner nearly 12,000 signatures for a referendum petition being circulated by Old Town Scottsdale property and business owners to halt changes on private property in their area.

Following the newest approval of a major redevelopment in the Old Town area, SouthBridge Two, taking place Dec. 4, property owners and businesses are fearful of myriad changes in their area.

On Dec. 5, a political action committee was filed through the City of Scottsdale, under the name Committee for the Preservation of Old Town Scottsdale, and an application for a referendum petition serial number was assigned.

The group, who seeks to force the SouthBridge Two project to a public vote in November 2020, needs to obtain 11,930 verified signatures by Jan. 3, in order for the proposal to be on the upcoming ballot.

SouthBridge Two was approved by City Council with a 4-3 vote. The project aims to redevelop nearly 10 acres of property along Fifth Avenue.

The passing vote is stoking fear in nearby stakeholders of how such a large project --- with plans to add luxury real estate, office space and a hotel --- will impact legacy businesses.

Committee for the Preservation of Old Town Scottsdale Chairman, Janet Floyd Wilson, says a project of such a large magnitude should be left up to the community to determine if they want to see changes to the area’s dynamic, an impact that could alter the city’s tourism --- a key driver of the economy.

Two City Council members who were part of the dissenting votes on the project are backing the effort.

Councilman Guy Phillips says he is supportive of the petition.

“Definitely --- even if I wasn’t on that side, I still would be,” Mr. Phillips said. “It’s your right as an American citizen and I’m supportive of any effort to have your voice heard.”

Mr. Phillips’ reasons for voting ‘no’ on the project was anchored in parking and traffic impacts.

“Technically, parking and traffic --- by their own admission --- 3,500 cars daily seems insane,” Mr. Phillips said. “Behind that is the loss of over 70 shops in downtown Scottsdale. This is where Scottsdale started. For people to come along and say we don’t need tourism, we need businesses and residents downtown. If you think like that you should go live in Phoenix.”

In an early-morning Dec. 10 email blast, Councilwoman Kathy Littlefield also directed residents to sign the petition.

“Today, we need your help again, this time to protect Scottsdale’s unique and special Downtown from toxic overdevelopment,” the Kathy Littlefield campaign email read.

“Last week the City Council majority (with Councilmembers Phillips, Whitehead and I dissenting) approved a project named Southbridge II. This project is too tall, too dense, offers too little open space, is way underparked, will increase traffic congestion, encroaches on public space, and its construction will (by the city staff’s own admission) make surrounding shops inaccessible to their customers for years, thus putting them out of business.”

‘It’s bustling down there.”

The petition referendum effort is not solely about SouthBridge Two, Ms. Wilson says, it speaks to all of the development approvals permeating from the City Council dais that’s impacting the area.

Ms. Wilson is a property owner with 44 tenants in the area; some of which have been there for decades, she said.

“We’re just trying to save Old Town, is what we’re trying to do --- all of Old Town Scottsdale,” she said.

“These projects keep popping up left and right, and everyone’s been asleep. We’re just like sitting ducks here. All developers are coming in and taking over.”

Ms. Wilson points to the buildings that will neighbor SouthBridge Two --- one-story buildings vs. multi-story high structures.

“I don’t know how we’re going to endure 10 years of construction. They say they won’t close the streets and all of that --- who is going to shop down there?” Ms. Wilson asked. “I had one tenant tell me that 97% of his income comes from his tourists and 3% from the locals. Is a tourist going to walk down that street when there’s cranes and roads torn up and water lines, sewer lines that need to be put in? What are we all going to do? We’ll disappear.”

A study, Scottsdale 2.0, conducted on the downtown area a few years ago outlined the need for more residents and businesses to sustain the Old Town area for years to come; however, Ms. Wilson says her property is doing stellar as it is.

“I have 44 tenants in Old Town Scottsdale; I am almost always 100% leased up,” she said. “We’re not having any problems down there at all. It’s slow in the summer --- and people know that’s going to happen --- the rest of the time it’s bustling down there.”

Ms. Wilson says the bottom line is saving people’s livelihood from what she believes will be detrimental impacts from redevelopment.

“It should be what the voters want, not what seven City Council members want,” she said. “We only lost by one vote. One vote changes our entire downtown.”

The PAC has set up a shop in Old Town, 7051 E. 5th Ave., Suite E., open seven days a week for residents to sign their petition.

“We don’t have much time,” Ms. Wilson said. “We think we can do this. We have so many volunteers that are just outraged.”

Forcing of the hand

Spring Creek Development is behind SouthBridge Two, and President and CEO Carter Unger says his company’s project is the best outcome for the area.

In a Facebook comment on the PAC’s Facebook fanpage, Save Scottsdale, Mr. Unger brought his fight to stand-up for the approved development to the public realm.

He says, in part, that if the referendum is successful there will be unintended consequences to the very merchants they are attempting to save.

“The approach we have taken has the best interests of the community in mind,” Mr. Unger states in part. “We could just develop within the current zoning and do stick frame apartments over minimal retail. Without the high-end residential, office, and hotel above to support the retail in this new age of online shopping, we would not do much.”

Mr. Carter points to the need of having year-round residents, employees and visitors to bring in grocers; stating with a smaller project, tenants would still be displaced.

“The exact same arguments were made about Southbridge Phase I, that it was too tall, would destroy the charm, construction would hurt the neighbors. None of those fears came true,” he stated on Facebook. “We have a track record of place making with some of the best projects in town. The entire vision of turning the canals into what you see today came from my father, Fred Unger.

The saddest part of all of this is that if you are successful, you will be destroying the character of the area by forcing us to do the same-old safe, cookie cutter apartment deals that everyone seems to complain about. You will NOT be protecting anything, but will be destroying the future, which could be so beautiful.”

Overall, Mr. Unger states overturning the council’s vote does “absolutely nothing” to protect the Old Town merchants, and would force Spring Creek Development’s hand to sell their property, raise rents or develop a lesser project.

“If you really care about the merchants you will stop this and work with me to make this project even more amazing with all of your experience and knowledge of Old Town over the years,” he stated.