RED Development Inks Lease in Downtown Phoenix

February 6, 2025

Brokerage Mixed Use News Office More Phoenix West

A non-profit organization will establish its new headquarters at the location.

Aerial shot of the 27-story office tower on Washington Street in downtown Phoenix, part of the 1.2 million-square-foot mixed-use CityScape. — The 27-story office tower in downtown Phoenix is part of the 1.2 million-square-foot mixed-use CityScape. *Image courtesy of JLL*

The non-profit organization Visit Phoenix has signed a 24,722-square-foot lease at RED Development’s mixed-use CityScape in Phoenix.

Visit Phoenix will relocate its offices from 400 E. Van Buren St., less than one mile from CityScape. The tenant will establish its headquarters at the new space and will move to the location in the fourth quarter of 2025.

JLL represented both parties in the lease negotiations.

The 1.2 million-square-foot property features a 27-story office tower, retail, dining and entertainment spaces, as well as the Kimpton Palomar hotel.

The office component’s tenant roster includes Alliance Bank, United Healthcare and Gust Rosenfeld and is currently at 6.0 percent vacancy, Phoenix Business Journal reported.

The office tower at CityScape

Located at 1 E. Washington St., the property is in downtown Phoenix, in the city’s central business district. Phoenix Sky Harbor International Airport is some 4 miles southeast.

The 641,718 rentable-square-foot office building came online in 2010 and features 23,600-square-foot floorplates and 33,000 square feet of retail space. Amenities include shared conference rooms, a fitness center and some 2,670 car parking spaces. In 2024, the high-rise became subject to a $170 million loan originated by Western Alliance Bank, according to CommercialEdge information.

JLL Executive Vice President Mike Gordon worked on behalf of Visit Phoenix in the lease negotiations, while Senior Managing Director Ryan Timpani and Senior Vice President Brett Thompson represented the ownership.

The office market in Phoenix had a vacancy rate of 19.4 percent as of December 2024, a 40-basis-point uptick over a 12-month period, but slightly lower than the national average of 19.8 percent, a recent CommercialEdge report shows. The metro’s asking rents reached $28.4 per square foot, up 2.7 percent year-over-year.