Phoenix breaks ground on Innovation 27 workforce and business hub

At a ceremonial groundbreaking in Phoenix, city officials and education partners unveiled Innovation 27, a planned workforce and business collaborative that will convert the former Kmart at 20 Seventh Avenue into training space, community meeting areas and employer-facing hiring services.

The project “will be a cornerstone for entrepreneurship, talent, and civic pride,” said Chris Mackey, part of the City of Phoenix economic development team, who led the project’s community engagement and planning. Mayor Kate Gallego said, “Phoenix, the jobs of the future start at Innovation 27,” and described the site as a place where “young people and learners of all ages can fall in love with a career path.”

The nut of the project is combining multiple education and workforce partners under one roof to provide industry-aligned training and direct hiring connections. Lucetta Hogan, deputy director of business and workforce for the City of Phoenix and executive director of the Phoenix Business and Workforce Development Board, said ArizonaWORKS “connect[s] job seekers with employer partners and to help people have sustainable wages and grow in career opportunities.” Partners named during the event include Arizona State University, Northern Arizona University, Maricopa Community Colleges, Phoenix College, Washington Elementary School District and ArizonaWORKS.

City and partner speakers outlined planned uses that include advanced manufacturing and semiconductor training, biosciences, construction trades, a veterinary technician program with Phoenix College, interview and employer engagement spaces, and an on-site business team to help residents find jobs. Northern Arizona University representatives said a new, accredited three‑year engineering technology degree in semiconductor manufacturing and fabrication will “stack atop the work that happens here,” and use the facility as a site for program delivery.

Speakers credited a long planning process with extensive neighborhood outreach. Councilwoman Betty Guardado said the project is “a project of hope” that she expects to help reduce high school dropout rates by offering alternatives to a four‑year university path. Washington Elementary School District Superintendent Dr. Santon noted the district’s scale—33 schools, about 20,000 students, roughly 15,000 families and some 3,000 employees—and said the site sits at the heart of the district.

Design and construction partners highlighted sustainability and site improvements: Gensler lead designer Martha DePlasaula Abbot described the project as “adaptive reuse in its grandest form,” and the city said the existing parking lot will be replaced with a “parking garden” with trees and amenities to reduce heat‑island effects. Chase Building Team, the general contractor, affirmed ongoing construction quality and safety commitments.

Speakers said the city and partners secured multiple funding sources for the project, including federal and state contributions and city investment; one speaker described the city commitment as “26 plus million dollars.” City staff and partners also credited Bloomberg Associates and private donors for technical and philanthropic support. Council funding for the project was noted as having been approved by the City Council; the transcript does not provide a motion text or a vote tally.

The ceremonial work on site included a rendering reveal and ceremonial ground shovels; officials said programming and employer partnerships will follow as construction and fit‑out proceed. A specific construction schedule and dates for program openings were not provided during the ceremony.

Speakers and partners urged continued neighborhood engagement. Councilwoman Guardado and other neighborhood leaders were singled out and recognized for persistent community involvement, and several neighborhood organizations were named during remarks.

The groundbreaking was framed throughout as a collaborative, multi‑sector effort to replace a long‑vacant retail site with workforce training, employer connections and community space, with an explicit emphasis on sectoral training pathways, employer placement and locally accessible career ladders.