Council approves Arcadia Motor Club PUD amid neighborhood concerns about lost housing potential
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Summary
The council approved a Planned Unit Development that would allow 26 condominium car-storage units on a narrow mid-block parcel after developers argued multifamily housing "didn't pencil out"; neighborhood speakers and housing advocates urged the council to prioritize housing. Vote: 8–0.
Phoenix City Council approved, by unanimous roll call, a Planned Unit Development (PUD) that would allow 26 condominium car-storage units on a narrow mid-block parcel in the Camelback East area, following a contested public hearing in which residents and housing advocates urged the council to preserve the site for housing.
Mike Marowitz, attorney for the applicant Go Industrial, and co-owner and broker Jeff Seaman told council members that the parcel's small size and recent market conditions made multifamily development infeasible. Seaman said the ownership group had pursued a housing project but could not secure financing or achieve the density necessary for a viable multifamily project: "We bought this site four years ago ... interest rates started to rise, construction costs started to rise ... it just wasn't economically feasible," he said.
Neighborhood representatives and housing advocates disputed that conclusion. Larry White, co-chair of the Peak Neighborhood Association, told council the council was being asked to "prioritize housing over a luxury garage for 26 homeowners," and urged the council to preserve the site's residential potential. Nearby residents raised concerns about compatibility, traffic, safety and the loss of potential affordable housing opportunities.
Staff and the developer said the proposed condominium storage units are low-traffic, quiet commercial uses and that the most immediately impacted neighbor supported the plan; staff also noted the PUD retains existing R-5 zoning rights, meaning residential uses would remain available under the zoning code if a future developer chose that path.
The council voted 8–0 to adopt the planning commission recommendation and related ordinances for the PUD. City staff said the project would proceed subject to stipulations included in the staff report and that the underlying R-5 designation would remain, preserving the theoretical path back to residential development.
What happens next: The applicant will move forward with permitting steps subject to staff conditions. Council members and neighborhood groups indicated continued interest in pursuing housing opportunities in nearby corridors.
