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Tempe council hears mixed reactions to Tempe Oasis motel-to-apartments plan; second hearing set
Summary
Developers proposed converting the Tempe Oasis motel at 1635 N. Scottsdale Road into roughly 142 apartments; the owner and applicant emphasized neighborhood rehabilitation while neighbors and council members raised safety and sober-living concerns. Staff said rezoning and permits must be completed before long-term residential use; a second hearing is set for June 25, 2026.
The Tempe City Council on Tuesday heard the first public presentation for a plan to convert the Tempe Oasis motel at 1635 North Scottsdale Road into multifamily housing, but several council members and nearby residents raised safety and neighborhood-trust concerns that a later hearing will have to address.
Deborah Silva of Camber and True, the project applicant, described the proposal as an adaptive reuse that would "maintain the existing buildings but give a complete facelift," add parking and gated resident parking, and create about 130 one-bedroom units, five studios and seven two-bedroom apartments. "We are excited to renovate the current Tempe Oasis Motel into multifamily housing," Silva said during her presentation.
Property owner Danny Fam told the council he has spent years rehabilitating the site and said he wants the conversion to prevent a return to prior problems. "I put my heart and soul into this," Fam said, describing efforts to remove criminal activity and improve guest satisfaction. He said the planned project would include additional security, a strengthened management team and new landscaping.
Neighbors and council members, however, flagged the motel's recent history. Kim Gaffne Loza, who lives about a half-mile away, said she was surprised to learn of the conversion from the council agenda and recalled a longstanding history of prostitution and poor maintenance. "I don't trust this owner and I don't believe that it's going to be a good property for the neighborhood," Loza said.
Vice Mayor Garland and Council Member Hajj said they were concerned by reports of sober-living operations and by accounts of groups of people being transported to the site. "I'm just a little bit nervous about this because the sober living issue happened there," Garland said. Hajj added that when she attempted outreach she encountered an armed person at the door and that episode had been a concern for the school district.
City planning staff (Mr. Le) said the applicant must clear several formal steps before long-term residential use is allowed: the property has been rezoned during this process to MU4 and, if the council approves the planned-area standards, the developer must complete design review and submit building permits for the TI and infrastructure work shown in the renderings. "If approved, their next step is then to finalize the design approval ... then they can move forward with those changes," Mr. Le said, adding that a neighborhood meeting was held earlier and that required owner notices and site signage had been provided.
Council members pressed the applicant on landscaping, green-building measures and likely rental rates. Staff said the palm trees shown in conceptual renderings were illustrative and that code requires canopy trees; the applicant said it intends to review voluntary green-code measures but rental rates are not yet established.
The council took no final action; the item was introduced as a first public hearing and the second and final public hearing was scheduled for June 25, 2026.
What's next: The applicant must complete design review and permit applications before any conversion to long-term rental use occurs, and the council will revisit the proposal at its June 25 meeting.
