Phoenix’s retail landscape is growing, and real estate investors should pay attention. The Phoenix City Council has officially approved Black Mountain Village, a 160,000-square-foot retail center in North Phoenix. Developed by Vestar, this project will feature a 65,000-square-foot grocery store alongside additional retail and restaurant space. Here’s why this matters to landlords and investors in the area.
Key Details About the Project
- Location: Southwest corner of Deer Valley Drive & Black Mountain Boulevard (Desert Ridge area)
- Size: 160,000 square feet of retail space
- Main Anchor: 65,000-square-foot grocery store (potential brands: Safeway, Whole Foods, Sprouts, Trader Joe’s, or Fry’s)
- Additional Retail: 65,000 square feet of shops, restaurants, and services
- Timeline:
- Summer 2025: Land auction
- Early 2026: Construction begins
- Q1 2028: Expected grand opening
Why Investors Should Care
1. Increased Property Values
Retail development often boosts surrounding home values and rental rates. With a new grocery store and shops, the Desert Ridge area could see an uptick in desirability for both renters and buyers.
2. Improved Walkability & Amenities
The project includes pedestrian-friendly plazas and shaded walkways, making the area more appealing for families and professionals looking to live near convenient shopping and dining options.
3. Economic Growth & Tenant Demand
More businesses = more jobs = more demand for housing. Whether you own rental properties nearby or are looking to invest, this center could attract more high-quality tenants.
4. Diversification of the Retail Market
Currently, Desert Ridge is dominated by big-box retailers like Costco and Walmart. Black Mountain Village offers smaller, community-focused shopping and dining options, which could bring more upscale and niche tenants to the area.
Community Concerns & Project Adjustments
Not everyone was thrilled about the development at first. Traffic congestion and safety concerns (especially near a high school) led to community opposition. In response, Vestar:
✅ Reduced the grocery store footprint from 99,000 sq. ft. to 65,000 sq. ft.
✅ Eliminated plans for a gas station
✅ Added a 5,000 sq. ft. pedestrian plaza and additional landscaping to minimize visual impact
These adjustments helped secure zoning approval and gain broader community support.