Carefree’s northeast corner of Carefree Highway and Cave Creek Road finally has a commercial retail developer eager to build a significant retail center on this property in compliance with our approved zoning.
Carefree rezoned this property in 2018 allowing for a neighborhood commercial center featuring about 120,000 square feet of retail, restaurants, and related services. About two-thirds of the Town’s annual revenue relies on the generation of sales taxes. As the community matures, the costs for maintaining aging infrastructure and public safety contracts are expected to rise. Successful commercial development on this property will be the cornerstone of our future economic well-being.
Previous development efforts faced challenges due to high stormwater management costs driven by a major wash traversing this site. This led to unsuccessful projects that did not align with the approved zoning and site plan.
Recently, the property owner, Empire, and shopping center developer Diversified Properties joined forces to create a viable neighborhood shopping center proposal. Their plan aligns with community goals to enhance sales tax generation as well as the publicly vetted and agreed upon site plan.
To support this initiative, the Town Council is considering a five-year 49% sales tax incentive rebate for the developer. This agreement will facilitate the costly relocation of the wash, providing a buffer for the neighborhood to the north, while maximizing retail opportunities for businesses south of the wash. Additionally, amenities will be added to the south side of the wash to create a public walking trail for residents to enjoy this desert open space.
At the Tuesday, November 12 Town Council meeting, the Town Council will consider approving this proposed development agreement. Diversified Partners reports having twenty letters of intent from prospective tenants.
We know that with pending commercial development on the southeast corner in the Town of Cave Creek and the continuing expansion of commercial development to the west on Carefree Highway, we are working in an extremely competitive environment. Time is of the essence.
The proposed development agreement was finalized October 29 and has been posted to the Town website along with videos of recent public presentations made to the Town Council as well as the Economic Development Advisory Board. Links are shown below. The Third Party Carefree Quarter Fiscal Impact Report is pending.
Unfortunately, we find ourselves in a box. The proposal was not finalized until October 29. If we fail to act quickly potential tenants may be lost.
Admittedly, this fast track will preclude the Councilmembers-elect from voting on this very important issue and will preclude a separate pre-vote discussion at a Council meeting. As a result, Town Staff, Diversified Partners, and I will be available to discuss this proposal with the Councilmembers-elect between now and the November 12 Town Council meeting. These newly elected Councilmembers will have an opportunity to share their views and ask questions at that Town Council meeting.
Prior to the November 12 meeting, our residents are encouraged to review the related postings on the Town website and engage with our Town Staff, Council, and myself, either by email, text, phone or by meeting in person.
If passed, I believe, this proposal will provide a positive long-term sales tax revenue asset to our Town that will enhance the finances of Carefree. We want to hear from you.
Sincerely,
Mayor John Crane
Town of Carefree
