Issuu

T H E

V O I C E

O F

T H E

A I R P A R K

B U S I N E S S

C O M M U N I T Y

F O R

4 0

Y E A R S

MAY 2021

Keeping it

FRESH Melinda Hinkson shares Sigma Contracting's varied portfolio

Beard Papa's

Your banker should say what they’ll do and do what they say. Not one time, but every time. It’s not about making promises, it’s about keeping them. That’s the kind of accountability you’ll get from Alliance Bank of Arizona.

Meet Your Local Banking Expert: Gary Hanneman Senior Director, Commercial Banking GHanneman@westernalliancebank.com (602) 629-1791

alliancebankofarizona.com One of Forbes’ Best Banks in America Year After Year Alliance Bank of Arizona, a division of Western Alliance Bank, Member FDIC. Western Alliance Bank ranks high on the Forbes “Best Banks in America” list year after year.

IT’S A THREE-PEAT Avery Lane Named Best Consignment Store 3 Years in a Row by

Darlene Richert, Proprietor

t cocktail parties, on the tee box and amongst the ladies who lunch, there’s a subtle whisper about an unusual design mecca — Consignment. The valley’s most savvy shoppers and discerning designers are regulars at Avery Lane Fine Consignments and they are rewarded with great deals on one-of-a-kind home décor. Avery Lane’s design style is “Paris Apartment” which is a curated aesthetic of items collected from a lifetime of international travels, inherited from generations or salvaged when the flat upstairs was vacated. And, the 30,000 sq. ft. of inventory is like a Parisian merry-go-round — constantly changing and revolving. Come check it out … sit for a spell … we’ll pour the champagne. Discover more at AveryLaneHome.com

10% OFF ANY SINGLE ITEM * Not to be combined with other in-store promotions, expires May 30, 2021

Monday-Saturday 10am-5pm • Closed Sunday 15613 N. Greenway-Hayden Loop 480.991.0700 FONT: Edwardian Script and Charlemagne

Now Accepting Fine Furniture, Antique and Art Consignments

Contents May

32 T H E

V O I C E

O F

T H E

A I R P A R K

B U S I N E S S

C O M M U N I T Y

F O R

4 0

Y E A R S

MAY 2021

12 Home Sweet Home

26 House of Lagers

17 Keeping It Fresh

29 Smart Investments

24 Bank Local

32 Style, Service, Sustainability

Skyrocketing housing prices impact entire city

State 48 brewery remains a popular Airpark destination

Sigma Contracting’s varied portfolio allows staff to reinvent themselves

Keeping it

URA Group AZ helps people achieve financial goals

CBAZ puts its customers first

FRESH Melinda Hinkson shares Sigma Contracting's varied portfolio

Jet Aviation takes flight with great customer service

Beard Papa's

On the cover:

Melinda Hinkson (Photo by Pablo Robles)

10 Up in Smoke

Vape company slammed with $1.2M fine

36 Big in Japan

Beard Papa’s cream puffs bring lines to the Quarter

2 / SCOTTSDALE AIRPARK NEWS / MAY 2021

6 38 42 43 44

Business News Remember When Business Horoscopes Business Directory Scottsdale Airpark Map

www.pcgagents.com/8100N68thSt PrivateClientGroupAgents.com

1620 W. Fountainhead Pkwy., Suite 219, Tempe, Arizona 85282 Phone: (480) 348-0343 • Fax: (480) 348-2109 Website: www.scottsdaleairpark.com

PUBLISHER Steve T. Strickbine steve@scottsdaleairpark.com VICE PRESIDENT Michael Hiatt mhiatt@timespublications.com EXECUTIVE EDITOR Christina Fuoco-Karasinski christina@timespublications.com STAFF PHOTOGRAPHER Pablo Robles CONTRIBUTING WRITERS Kristine Cannon, Connor Dziawura, Joan Fudala, Weiss Kelly, Kamala Kirk, Wayne Schutsky DESIGNER Veronica Thurman vthurman@timespublications.com AD DESIGN Christy Byerly - cbyerly@timespublications.com ADMINISTRATION Courtney Oldham production@timespublications.com

Published monthly since 1981, Scottsdale Airpark News serves the fastest-growing area in Arizona. Scottsdale Airpark News is delivered to businesses in and around the Greater Airpark Area. ©2020 Scottsdale Airpark News. For calendar and news items, the deadline for submission is the first of the month previous to the month you would like it to run. All submissions are handled on a space-available basis. Unsolicited manuscripts, photographs, or illustrations will not be returned unless accompanied by properly addressed envelope bearing sufficient postage. Scottsdale Airpark News has made every effort to authenticate all claims and guarantees offered by advertisers in this magazine, however, we cannot assume liability for any products or services advertised herein. The tradename Scottsdale Airpark News is registered. Reproduction of material in Scottsdale Airpark News in whole or in part without permission is prohibited. Times Media Group sets high standards to ensure forestry is practiced in an environmentally responsible, socially beneficial and economically viable manner. Scottsdale Airpark News is printed by American Web on recycled paper fibers with inks containing a blend of soy base. Our printer is a certified member of the Forestry Stewardship Council, the Sustainable Forestry Initiative, and additionally meets or exceeds all federal Resource Conservation Recovery Act standards. Scottsdale Airpark News is distributed by AZ Integrated Media, a circulation service company owned by Times Media Group. The public is permitted one copy per reader. For further information regarding the circulation of this publication or others in the Times Media Group family of publications, please contact AZ Integrated Media at circ@ azintegratedmedia.com or 480-898-5641. For circulation services please contact Aaron Kolodny at aaron@azintegratedmedia.com.

Distribution Services Provided By

4 / SCOTTSDALE AIRPARK NEWS / MAY 2021

AHS Publishing, LLC

480-898-5641

WITH YOU FROM

S TA R T- U P T O SUCCESSION.

Every day is different for your business. The financial service and expertise you require from day to day will change, too. As your finance, benefits program, and payroll demands change, it’s important to have a partner who can meet your needs as you need them. An Alerus advisor is a business expert who tailors all our financial resources to help your business take flight. See how we take business personally at Alerus.com. BA N K I N G : : PAY R O LL : : R E T I R E M E N T : : B E N E F I T S

Specializing in the AIRPARK! CALL JIM LIEBERTHAL 602.955.3500 or www.JimLieberthal.com OFFICE SPACE for Lease

7835 E. Redfield Rd.

INDUSTRIAL SPACE for Lease

PROPERTIES for Sale 7607 E. Greenway Rd.

RECENTLY SOLD & LEASED

7745 E GELDING SOLD

15979 N. 76TH UNIT C SOLD

8350 E. EVANS RD. FULLY LEASED

16071 N. 76TH ST SOLD

7735 E. GELDING DR. FULLY LEASED

16655 & 16679 N 90TH STREET SOLD

LE AS ING | S AL E S | PROP ER TY M AN AG EMEN T | DE VELO P MEN T CUTLER COMMERCIAL

7575 E. Redfield Rd.

2150 E. Highland Avenue, Suite #207 Phoenix, AZ 85016 602.955.3500 Phone | 602.955.2828 Fax

www.cutlercommercial.com

Clifford J. Cutler James M. Lieberthal Rod Crotty

This information has been secured from sources we believe to be reliable, we make no representations or warranties, expressed or implied as to the accuracy of the information.

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

AIRPARK BusinessNews By Christina Fuoco-Karasinski

Barrett-Jackson Scottsdale Auction sales top $105M

Barrett-Jackson, the World’s Greatest Collector Car Auctions, showed that the collector car market is thriving during its weeklong Scottsdale Auction at WestWorld of Scottsdale, March 20 to March 27. Among the most notable sales during the week was the 1966 Shelby Cobra 427 Super Snake (Lot 1396) that sold for $5.5 million and a 1967 Ferrari 275 GTB/4 (Lot 1394) that sold for $2.475 million. In total, 1,054 vehicles sold for over $95 million, while over 1,000 pieces of automobilia brought in over $4.4 million, and $5.8 million was raised through the sale of charity vehicles, bringing the total auction sales to more than $105 million with a 100% sell-through rate and over 95 world-record auction sales achieved. Barrett-Jackson also brought back the prestigious Barrett-Jackson Cup to recognize the talent and craftsmanship of custom car and truck builders. Barrett-Jackson Chairman and CEO Craig Jackson and President Steve Davis announced the Ultimate Best in Show was a 1970 Dodge Challenger known as “Havoc.” “It was wonderful to be back among our friends and family in the collector car community,” Jackson says. “The pandemic challenged us all in different ways, which is why it was great to reconnect and celebrate this passion we all love so much. It’s also why we curated a quality docket that included some of the very best examples of collector cars. With so many auto shows and traditional events canceled over the past year, we were thrilled to provide a stage for the world’s top automakers to showcase their latest vehicles. We also relished the chance to write history with the sale of the most VIN 001 and first production vehicles ever offered at auction, which raised $5.8 million for charity.” The top 10 vehicles sold during the 2021 Barrett-Jackson Scottsdale Auction included:

1966 Shelby Cobra 427 Super Snake (Lot 1396): $5.5 million.  1967 Ferrari 275 GTB/4 (Lot 1394): $2,475,000.  2018 Ford GT ’67 Heritage Edition (Lot 1408): $1.21 million.  2017 Ford GT (Lot 1377): $990,000.  1965 Shelby GT350 (Lot 1395): $962,500.  1959 Chevrolet Corvette Custom Convertible (Lot 1358): $825,000.  2020 Ferrari 488 Pista (Lot 1374.2): 

Barrett-Jackson Scottsdale Auction sold more than $105 million through vehicles, automobilia and charity vehicles. (Photo courtesy of Barrett-Jackson)

$467,500. 1963 Chevrolet Corvette Custom SplitWindow Coupe (Lot 1414): $451,000.  1967 Chevrolet Corvette Custom Convertible (Lot 1367): $440,000.  2005 Ford GT (Lot 1415): $440,000. 

Barrett-Jackson raised $5.8 million for charity through the sale of eight VIN 001 and first production vehicles offered at auction, along with a 2003 Chevrolet Monte Carlo NASCAR race car (Lot 3000). To date, Barrett-Jackson has helped raise over $133 million for charity for organizations around the world. Familiar faces from the worlds of entertainment, government, business and sports in attendance at the 2021 Scottsdale Auction included actor and comedian Kevin Hart and the Plastic Cup Boyz; former U.S. Vice President Dan Quayle; Gov. Doug Ducey; Scottsdale Mayor David Ortega; businessman and philanthropist John Staluppi; Olympic great Michael Phelps; Kansas City Chiefs player Kyle Long; former MLB players Marco Estrada and Jacoby

6 / SCOTTSDALE AIRPARK NEWS / MAY 2021

Ellsbury; former NHL player Shane Doan; racing driver and automotive TV personality Tanner Foust; actors Cody Walker and Dylan Sprouse; actor/comedian Adam Ferrara; singer/songwriter Jason Freese; and automotive TV personalities/custom car builders Ant Anstead, Dave Kindig and Chris Jacobs. “Barrett-Jackson is truly the epicenter of the collector car market,” Davis says. “In addition to reconnecting with many of our longtime friends this week, we also welcomed a wave of new collectors into the hobby. Many of these first-time auction bidders are gravitating towards Resto-Mods and customs, and they are also finding a deep appreciation for original cars. We’re honored to be at the forefront of expanding the hobby and bringing more enthusiasts into the collector car family. We are excited to keep the momentum going and can’t wait to see everyone again in Las Vegas and Houston in the coming months.” A total of 1,018 automobilia pieces sold at No Reserve for more than $4.4 million in Scottdale.

AIRPARK BusinessNews Attainia names two senior leaders Attainia Inc. — which produces medical equipment planning software for health care new construction, renovation and expansion projects — has named two key leadership hires to support the company’s aggressive growth goals for 2021: Ron Villarreal as chief finance officer, and Kevin Keller as vice president of sales. “These two new additions come at a time of significant growth for our company,” says DJ Chhabra, Attainia’s CEO and chairman of the board. “With their experience and successes in the software industry, I’m confi dent they will provide the leadership we need to achieve our aggressive goals.” Villarreal brings more than 20 years of finance and accounting experience to

Attainia, with a specialty in the software as a service (SaaS) industry. He most recently held a position at NextHealth Technologies and had previous roles at Price Waterhouse and Disney. “I’m excited to make some great things happen and to help build on the momentum that Attainia has been experiencing,” Villarreal says. Keller joins Attainia as a seasoned software sales leader, most recently selling to the health care vertical. His previous roles included positions at UKG, Ascentis and Paychex Inc. “It’s an amazing time to join the Attainia team,” Keller says. “Attainia has the premier product in the medical equipment planning space and continues to make

Scottsdale Bar Association re-elects officers, directors The Scottsdale Bar Association recently re-elected offi cers and directors for the 2021-22 year, which began April 1. Due to the COVID-19 pandemic and its effects on the organization, the board unanimously voted to re-elect the officers to another one-year term. The officers are: President James E.

Padish, Vice President Ryan W. Cummings, Secretary Lori Metcalf and Treasurer Grant Boland. Directors are Charles R. Berry (most immediate past-president and ex-officio), Wendy Anderson, Donald Alvarez, Gail Barsky, Erica Padish Conrad, Paul Dowdell, Coni Rae Good, Mark Lasee,

signifi cant investments to advance the flagship solution and add additional products to the suite. We are primed for explosive growth, and I’m eager and excited to be part of the journey and the ongoing success.” Attainia is ramping its added talent while staying focused on product innovation. The company has doubled its sales organization in the past 12 months, and is actively recruiting for additional roles in sales, research and development, and other key departments. “2021 is absolutely the year Attainia is poised for growth,” Chhabra says. “With the right people in place and solid momentum with our product development, we are expecting a monumental year.”

Stephan Kupiszewski, Tricia Schafer, David Schmidt and Katrina Vitale. Ex-officio members are Lance S. Davidson, Kevin Estevez, Carolyn Goldman, Perry L. Goorman, Monica K. Lindstrom and Paige A. Martin. …continues on page 9

Commercial - Residential Tile and Flat Roof

Divorce and custody can be complicated and stressful. Meet with our experienced team of attorneys and get the support you need.

DIVORCE & CUSTODY ATTORNEYS Don’ pull your hair out. We can help. Meet with our experienced team and get the support you need.

bestlawaz.com

D I VO RC E

1000 OFF

when you show this ad

on qualifying complete roof replacements Serving The Valley Since 1996

inexroofing.com

602-938-7575

CALL FOR YOUR FREE ROOF EVALUATION

(480) 219-2433

C U S TO DY

M E D I AT I O N

Licensed • Bonded • Insured ROC # 269218

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

Airpark News

8360 E. Raintree Drive, Suite 130 Scottsdale, AZ 85260 | +1 480 596 9000 colliers.com/arizona

Serving the Scottsdale & Deer Valley Airparks since 1981

For Sale

For Lease

For Lease or Sale

±2.5 acre site (±108,900 Total square feet)

7865 Redfield Road, Scottsdale

6970 East Chauncey Lane Scottsdale

• Land Parcel in the Scottsdale Cure Corridor at 116th Street and Shea Boulevard

• Showroom/Warehouse Space

• Access to the Chauncey Ranch Commerce Park

• ±13,654 SF on 1.13 acres

• One mile to Mayo Hospital Campus

• Zoned C-3/SR • Excellent Demographics • All underground retention has been completed by original developer.

• Two suites available (±4,209 & ±1,428 SF)

• Lease Rate: $1.10/psf IG Located on the SWC of Redfield & 79th Street in the Scottsdale Airpark with many amenities in a one mile radius.

• Excellent cross access and parking available.

Greg Hopley DIR +1 480 655 3333

Jim Keeley DIR +1 480 655 3300

No vem ber 1 9 th , 2 0 2 1

Awards Lunch & Cocktails with friends Don’t miss this celebration of achievement, perseverance and community service. For Sponsorship Opportunities or more information please contact Cheri Valentino

cvalentino@scottsdalechamber.com (480)355-2708 a signature event of

• Upgraded finishes throughout the property • Excellent signage opportunities on building & monument • Convenient to Loop 101 and State Route 51 • Adjacent to popular restaurants, high-end retail, entertainment and luxury car dealers

Philip Wurth DIR +1 602 222 5181

Please join us for a celebration As one of our most time honored events, the Sterling Awards embody the spirit of our organization by celebrating the people and companies that have demonstrated excellence, innovation and community stewardship, making Scottsdale one of the best cities to live in our Nation. Over the years we have honored our city’s outstanding corporate neighbors and brightest rising stars.

A p p l i c a t i o n s w i l l o p e n M a y 1 sstt the categories are: Big Business

Small Business

Recognizes significant contributions to q u a l i t y o f l i f e a n d t h e e c o n o m i c f a b r i c of the community.

Recognizes a company that demonstrates success through product or service innovation and professionalism, and has made contributions to community-orientated projects.

Micro Business

Non-Profit Organization

Recognizes an entrepreneur ship or emerging business exhibiting success through innovation, creativity and collaboration.

R e c o g n i z e s t h e s o c i a l , c u l t u ra l , e d ucational and economic impact of an organization on its constituents and/or the broader community.

go to www.scottsdalechamber.com/events to view upcoming events and opportunities

8 / SCOTTSDALE AIRPARK NEWS / MAY 2021

AIRPARK BusinessNews …continued from page 7

Plexus Worldwide names McIntosh as chief technology officer

Plexus Worldwide, a health and wellness company with products that enable people to improve their lives, named Alan McIntosh its new chief technology officer. McIntosh is an accomplished technology executive with more than 20 years of experience in building and operating e-commerce, large scale global infrastructure, cloud solutions and enterprise applications. As the chief technology officer, McIntosh is responsible for providing vision and developing and implementing information technology initiatives. He directs enterprise IT systems in support of business operations at Plexus to maximize support of its customers and ambassadors, improve cost-effectiveness, streamline customer service quality and enhance global business development. “With his passion for innovation and entrepreneurship, Alan is a great fit for our company,” says Christopher Pair, president of operations and international at Plexus. “He shares Plexus’ values and has a proven record of technology and people leadership, remarkable strategic ability, and he understands our global operations.” Before joining Plexus, McIntosh worked as chief information and technology officer at Merchant e-Solutions, where he led engineering and information technology teams to develop and operationalize a leading-edge technology platform as a source of competitive advantage to drive growth and customer satisfaction. He also served as chief information officer at Groupon, where he was responsible for building and operating all of its multinational platforms and optimizing business operations. McIntosh was drawn to Plexus due to the company’s proven track record, organizational culture, and its vision for future growth. He shares the leadership team’s commitment to delivering high-quality products, excellent e-commerce solutions, and continuing to find ways to lead the industry through innovation and new technological strategies. “I’m honored to be named chief technology officer at Plexus,” McIntosh says. “The company is strong, and technology plays a vital role in Plexus’ continued growth both nationally and internationally.”

Career Connectors hosts virtual events

Career Connectors, a nonprofit organization connecting professionals to high-quality resources and hiring companies, is hosting free virtual events. Career Connectors offers motivational, educational and relevant content. Topics include things like where to look for job opportunities, how to articulate your value, and how to network online and in person. The virtual events are from 9 to 11 a.m. Thursdays May 6 and May 20. For more information, visit careerconnectors.org or call 480-442-5806. 

Life is driven by purpose What do you live for? Success is about progress and is founded on hard work. First International Bank & Trust can bear some of the load, taking the work out of managing your accounts. Our experts can custom tailor banking solutions to best suit your operations, so you can get back to business. 7900 E Raintree Drive • Scottsdale BANKING | MORTGAGE | INSURANCE* TRUST & INVESTMENTS*

FIBT.com

*Not FDIC or any federal agency insured | No bank guarantee | May lose value 0455_4-21

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

AIRPARK Buzz

According to its website, Kandypens operates out of this nondescript industrial space in the Scottsdale Airpark area. (Airpark ﬁle photo)

Up in Smoke Vape company slammed with $1.2M ﬁne By Wayne Schutsky

vape company with ties to Scottsdale was hit with a hefty fine and advertising restrictions by a Los Angeles County Superior Court judge for allegedly marketing its products to minors. Judge Teresa A. Beaudet approved a $1.2 million penalty against Kandypens for violating multiple California statutes, including the STAKE Act, a law designed to reduce use of tobacco products by people under 21. The judge’s ruling also puts several restrictions in place to prevent the company from marketing its products to minors in the future. According to LA City Attorney Mike Feuer, who filed the civil suit in 2018, Kandypens is a California-

based company that sells vaping products online. It appears the company also maintains a substantial presence in Scottsdale. According to the only address listed on the Kandypens website, the business is located in a small, nondescript industrial and office building in the Scottsdale Airpark. Online customer service jobs for the company are also linked to the Scottsdale location, and the warehouse is listed as the return address for defective products in a customer FAQ. Kandypens was also one of 10 vendors listed on the special event application for a cannabis industry open-air market held at a Downtown Scottsdale smoke shop on April 17. Kandypens was one of three

10 / SCOTTSDALE AIRPARK NEWS / MAY 2021

On April 19, Los Angeles City Attorney Mike Feuer announced that a California judge imposed a $1.2 million penalty on Kandypens, a vape distributor with ties to Scottsdale, for allegedly marketing to minors. (Facebook)

AIRPARK Buzz vape distributors taken to court by the Los Angeles city attorney in 2018 over allegations of marketing to minors. Similar suits have been filed by other city, county and state attorneys across the country over the past several years as vape and e-cigarette use among young people continues to rise. According to the National Institute of Health, an annual survey of drug, alcohol and cigarette use in eighth, 10th and 12th graders showed that 37% of 12th graders reported vaping in 2018 compared with 28% in 2017. Health officials have alleged that the rise in use was connected to youth-targeted marketing and the use of flavored products. According to the Centers for Disease Control and Prevention, 82.9% of youth who use e-cigarettes preferred flavored varieties. Feuer alleged Kandypens’ marketing plan specifically targeted underage users by paying for the product to be placed in music videos from artists popular with teenagers. “We allege that they paid for product placement in music videos that featured with large teen followings like Justin Bieber and the 2019 Nickelodeon Kids Choice Awards host DJ Khaled,” Feuer said at an April 19 press conference announcing the penalties. The lawsuit also alleged that Kandypens did not effectively employ “age gating” on its website and social media to prevent users under 21 from accessing content. Unlike Arizona, the minimum age to purchase tobacco in California is 21. “Age gating” refers to verification systems used to block underage users from accessing digital content on restricted items. An investigator with the LA city attorney’s office posed as a teenager online and was able to purchase items through

the Kandypens website, according to Feuer. “Our investigator used a fake email account and a prepaid gift card, and at no time did the company ask for a date of birth or otherwise verify the age of our investigator,” he said. An attorney representing Kandypens did not respond to a request for comment. In a response to the original lawsuit in 2018, Kandypens’ attorney argued the company did not violate the law and alleged prosecutors misrepresented the facts. Kandypens’ attorneys also argued the alleged violations constituted protected speech under the First Amendment and any illegal activity occurred after the product was no longer in the company’s possession. Kandypens also argued the $1.2 million penalty was excessive considering the LA city attorney’s office agreed to $350,000 settlements in 2019 with Newhere Inc. and VapeCo Distribution — two other vape distributors sued by the city for allegedly marketing to minors. But the judge determined the sevenfigure penalty was appropriate, stating, “Defendant’s misconduct involved more violations over a greater period of time. … More problematically, those other nonparties voluntarily accepted the lower penalty as part of a settlement instead of actively litigating the claims like defendant has done here.” Beaudet also granted prosecutors’ requests to limit Kandypens’ marketing tactics despite protests from the company. According to Feuer, the company must age-gate its social media accounts and can only place products in adults-only entertainment venues. It also cannot have paid marketing contracts with anyone under 21 years old or celebrities featured on Nickelodeon awards shows. 

BE DEBT FREE IN 24–48 MONTHS! If you owe more than $10,000 in credit card or other debt, see how we can help.

ACCREDITED BUSINESS ®

Call today: 1-866-696-2697 MAY 2021 / SCOTTSDALE AIRPARK NEWS /

AIRPARK Buzz

This 15,000-squarefoot home in 85255 closed in February for $21 million. The six-bedroom, 8.5 bath two-story house was built in 2017 and sits on a 4.7-acre lot.

Home

Sweet

Home Skyrocketing housing prices impact entire city

By Wayne Schutsky ith skyrocketing housing prices and a dwindling s u p p l y, S c o t t s d a l e is a microcosm of the Phoenix metro region as a whole, where buyers are finding it increasingly difficult to purchase a home without breaking the bank. Valleywide the annual median sales

This 12,132-square-foot home in 85255 closed last month at $15.5 million. Built last year on 1.2 acres, it offers a slew of amenities like an inside half basketball court. (Submitted photos)

price of a home jumped 25% from $264,990 in April 2019 to $330,000 today, according to the Cromford Report, a web service that studies the Valley housing market. The growth in Scottsdale has been even higher during that span, with the annual median sale prices citywide rising 27% and some ZIP codes seeing prices rise 30% to 40% compared to two years ago. The largest jump occurred in 85262, which includes parts of northern Scottsdale, Cave Creek and Carefree. There, the median sales price jumped 41% between April 2019 and 2021. The median sales price of a home in that ZIP code is now north of

12 / SCOTTSDALE AIRPARK NEWS / MAY 2021

$1.1 million. The increase in home values is not just isolated to the city’s swanky northern enclaves. The second highest percentage jump in median sales price between April 2019 and April 2021 happened in 85257, where prices increased 32% to over $454,000. In April 2019, only three of 10 Scottsdale ZIP codes had median sales prices over $700,000. Today, that number has doubled. According to industry experts, the price spike is the result of a nearly unprecedented …continues on page 14

AIRPARK Buzz This 6,903-squarefoot home in 85262 closed this month at $10.5 million. Three years old on a 1-acre lot, it boasts a guest wing with four en suite bedrooms.

…continued from page 12 shortage of homes on the market coupled with high demand as a result of Arizona’s growing population and low mortgage interest rates. Harry Lourimore, founder of Lourimore Land Development, says favorable interest rates and employment growth are ere in driving population growth and making the Valley a desirable place for people moving away from more expensive markets. Lourimore says Valley prices are still a relative bargain even if it is not as affordable as it used to be. “Although our price points have gone up considerably over the last several years, compared to other markets in California … and a lot of the major markets back east, the Phoenix region is still a pretty attractive buy,” he says. Lourimore says the pandemic-induced financial pain was not felt equally by all segments of the population, as many white-collar workers were able to shift to at-home work while retail and service industry workers were laid off. “The kind of the homebuying profiles of the professional classes that would be more of a Scottsdale buyer were a little more insulated, or a lot more insulated

This 10,600-square-foot home in 85255 closed this month at $9.5 million. Built in 2002 on 1.4 acres, it boasts walls of glass and ﬁve ensuite bedrooms. (Submitted photos)

in some cases than folks that worked in travel, service or retail-oriented parts of the economy,” he says.

14 / SCOTTSDALE AIRPARK NEWS / MAY 2021

Steven Hensley, who works with housing data firm Zonda, says many of those white-collar homebuyers are younger

AIRPARK Buzz people taking advantage of federal COVIDrelief measures to enter the housing market for the first time. “A lot of them had student loan debt, but over the last year and a half, they had federal loan” payments suspended, he says. The buyers that can afford to enter the market are competing for a shrinking supply of available homes. “The increase is driven predominantly by the low levels of supply that we have presently, which are down about 50% from a year ago,” Hensley says. Unlike home prices in Scottsdale, the supply of available homes has dropped like a lead balloon over the past two years. According to the National Association of Realtors, a six-month supply of homes is typically associated with moderate price growth. Citywide, Scottsdale had less than a month’s supply as of April 1, according to Cromford, and some area ZIP codes had far less. The 85266 ZIP code in northern Scottsdale had an eight-month supply in April 2019. That is down 90% today. In 85257 — the lone Scottsdale ZIP code

with a median sale price under $400,000 in April 2019 — the supply has also shrunk 90% and is around 10 days. Growth could effectively shut out middle-income buyers from one of the last relatively affordable areas in Scottsdale: southern Scottsdale, which has historically been home to affordable housing options. The 85257 ZIP code, which covers most of Scottsdale south of Thomas Road, is still home to many of the small, singlefamily homes built to house the Motorola workforce in the 1950s and 1960s. And 85251, near Downtown Scottsdale, includes enclaves that housed developments like Holiday Park, which were small apartment complexes marketed to vacationers in the 1960s and later repurposed as affordable housing units. But both ZIP codes are becoming more unaffordable due to increased home values and redevelopment. In April 2016, the median sales price for a home in 85257 was in the entry-level range at $270,500. Today, that median price has increased 68% to over $450,000. “There’s not going to be as many younger families being able to afford to

There’s not going to be as many younger families being able to afford to live in the city of Scottsdale. It’s going to continue to be a move-up or secondmove-up market. live in the city of Scottsdale,” Hensley says. “It’s going to continue to be a move-up or second-move-up market.” That, in turn, could result in less diversity in southern Scottsdale, one of the few truly diverse areas of the city. Scottsdale is already a city with a population consisting of 91% white, with 8.1% of the total population identifying as Hispanic or Latino, according to the U.S. Census Bureau. The 85257 ZIP code is notably more diverse with a population that is 88% white with 21% of the total population identifying as Hispanic or Latino.

DISPENSARY NOW

OPEN 8am – 10pm

7 DAYS A WEEK

LOCATED IN SCOTTSDALE AIRPARK 4980 N 78TH WAY SUITE 204 livewithsol.com

livewithsol_

East Valley Patient Wellness Group, Inc. | License # 00000063DCTB00283389

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

AIRPARK Buzz The median household income in the ZIP code is also $62,584, well below the citywide median of $86,097. That could change if the housing market continues on the current trend. “Well, it causes segregation for sure and gentrification,” says Joanna Carr, research and policy director for the Arizona Housing Coalition. Even with those increasing home prices, Carr says there are ways for cities to incentivize the creation and preservation of other affordable housing options in Arizona, though they are hamstrung by the fact that the state outlaws inclusionary zoning that would allow cities to mandate portions of new development be reserved for people with low or moderate incomes. Carr says cities can still incentivize the building of affordable housing. For instance, cities could allow for greater densities for multifamily apartment construction in the hopes that investors would use that allowance to make building affordable housing more feasible — though that is not a guarantee. “Density is increasing in Scottsdale, with thousands of new apartment units expected to come online in the coming years, but

The short supply of available homes in Scottsdale has ramped up competition among buyers who can afford to pay for them, resulting in skyrocketing prices. most of those new units are marketed as luxury apartments. Scottsdale currently has the highest apartment rental rates in the Valley with a median rate of $1,600 for a two-bedroom unit, according to Apartment List, an online rental marketplace. Of the 16 multifamily projects approved by city council in 2019 and 2020, 11 were explicitly described using “high-end,” “luxury” or similar terms in plans filed with the city. Those 11 projects accounted for 77% of the total units approved by council. Meanwhile, the short supply of available homes in Scottsdale has ramped up competition among buyers who can afford

16 / SCOTTSDALE AIRPARK NEWS / MAY 2021

to pay for them, resulting in skyrocketing prices. According to Cromford, a Scottsdale home in the 85255 ZIP code that sold for $825,000 in 2013 was resold in December for $1.3 million, $37,500 above the asking price. The same home was listed for sale again in 2020 for $1.5 million and sold for $1.7 million in an all-cash deal. “So, it rose by $412,500 in just 16 months, or almost $26,000 a month,” Cromford stated. “It also went under contract after just 3 days.” Lourimore says he envisioned price growth in the 10% to 15% range this year versus the 18% to 20% growth the Valley saw in 2020. Hensley agreed that the price increase will hit a breaking point. “There is going to be a demand for housing, and people are going to be comfortable and able to afford homes up to a certain point,” he says. “We’re still trying to figure out when exactly that’s going to happen, but I imagine through summer and into later part of this year, the velocity of transactions is going to slow because people are going to be priced out of the market.”

Keeping it FRESH Sigma Contracting’s varied portfolio allows staff to reinvent themselves By Christina Fuoco-Karasinski

Melinda Hinkson founded premier commercial general contracting company Sigma Contracting with her husband, Dan, in 1983. (Photo by Pablo Robles)

elinda Hinkson was traveling coast to coast for a medical sales company when her husband, Dan, graduated from ASU. An acquaintance made a suggestion that changed the couple’s lives: Dan should go into business for himself. Airpark-based Sigma Contracting was born.

“We were young and stupid. We didn’t know any better, so we said, ‘Why not?’” Melinda says with a laugh. “I was happy with changing careers. Traveling was tiring.” Sigma Contracting was founded in 1983 and licensed in eight Southwestern states. As a premier commercial general contractor, Sigma has established a broad footprint in the region with an extensive portfolio of projects in a variety of sizes, industries and

property types. The staff has established long-standing client relationships with top developers, architects, municipalities and businesses in the region. It has been the turnkey contractor for more than 800 construction projects, including hospitals, medical office buildings, schools, public venues, retail and industrial spaces, banks, office buildings and municipal facilities.

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

Sigma Contracting has contracted for more than 800 construction projects, including hospitals, schools, public venues, retail and industrial spaces, and more. (Photo by Pablo Robles)

“We do a fair amount of hospitality projects, too,” she says. “Those went by the wayside during the pandemic. About 40% to 50% of our projects went by the wayside for six months. Once we turned the year, people were ready. The money was still there.” Currently, Sigma Contracting is orchestrating the site work for Papago Plaza. “There’s a great Asian restaurant at SkySong that is really nice, Clever Ramen, too. We’ve done quite a bit of work in Scottsdale over the years, but we work all over the state.” The firm was also involved with the Salvation Army Ray and Joan Kroc Center, which Hinkson calls “a wonderful job.” Dan was an advisory councilmember and chair for the Kroc property and finance committees, so it was a perfect fit. “We knew their intentions and desires,” she says. “We were proud to be a part of that for the community, knowing it would impact the community so well.” Sigma Contracting also handles franchise rollouts. It built 74 CVS stores in town, and Melinda was excited to bring H Mart into Mesa. “They’re all pretty cool,” she says. “They’re all different industries, from early childhood to day care to industrial to office and retail.” The Hinksons are joined in the company by partner Jerry Patterson and 25 to 30

industry professionals. As owner/secretary-treasurer/director of business development, Melinda obviously wears multiple hats at Sigma Contracting. Her visibility and mentoring of others in the Valley’s commercial real estate industry are what set her apart. The fourth quarter of 2019 was profitable for Sigma Contracting, and 2020 was successful, but 2021 has been slow. “But we have a great fourth quarter,” she says. “We think the future is picking back up again.” Although 2020 was successful, COVID-19 impacted Hinkson’s business. “We were able to keep our jobs going, but by attrition, we did have to lay off a few field guys when we didn’t have a new project for them to go to,” she says. “But most of our people have been with us for 25 to 35 years. We have a high tenure. I don’t know if that’s a good thing or a bad thing. I think it means we’re all getting old.” Dan has been into construction since he was in his teens. He met Melinda in high school when she was 17, and she fell in love with him and his industry. The two married at 21, and after, Dan earned a Bachelor of Science degree in biology from Rockhurst college in 1978 and then headed to Arizona to receive a Bachelor of Science degree in construction engineering in 1982.

18 / SCOTTSDALE AIRPARK NEWS / MAY 2021

“Construction is in his blood,” she says. “The rest is history.” The two started Sigma Contracting in their living room, where they put drafting boards. “Within a year, we were out of the house and moving forward,” Melinda says. “We’re licensed in nine states. We only market to other states if it’s driven by other clients. We don’t solicit to have a base of clients in other states.” Although Sigma Contracting is considered a “generalist,” Melinda has tried to persuade the company to have a specialty. “They don’t listen to me,” she says with a laugh. “We’re just very nimble, and we do just about everything.” There’s a key to Sigma Contracting’s success — it’s getting to know the client. “We want to know everything about the clients — what they look like, smell like, be like. You learn so many things about so many diﬀerent industries, and not everybody gets that. It’s fun to have such a variety of projects. It does keep it fresh.”  Sigma Contracting Inc. 9019 E. Bahia Drive, Suite 102, Scottsdale 602-788-7800, sigmacontracting.com

DECEMBER 31,SCOTTSDALE 2020 THE GREATER AIRPARK | 2030 REPORT | DECEMBER 31, 2020 THE GREATER SCOTTSDALE AIRPARK

2030 REPORT Jim Keeley, SIOR, CCIM Founding Partner Scottsdale Office

LOCATION The “Greater Scottsdale Airpark” Boundaries: NORTH Loop 101 Pima Freeway SOUTH Thunderbird Rd. WEST 64th St. EAST 90th St. - between Raintree & the CAP Canal; 96th St. - between the CAP Canal & Bell Rd. ZONING Commercial Office; Light Industrial; Hotel; Commercial Retail; Aviation; Multifamily SIZE ±3,300 Acres ±44,732,584 SF of Buildings

// A Falcon 7X Business Jet

// An empty parking lot during COVID-19

2030 Report The original report for the Scottsdale Airpark began in 1981 and was named the 2010 Report. In that Base Year of 1981, there were 3,320 employees, 1,580,000 square feet of buildings, and 268 companies. The Scottsdale Airpark has exceeded every recorded prediction since then. Currently, the Airpark has approximately 60,676 employees, 44,732,584 square feet of buildings and 3,315 companies. Changes in 2020 and Why these images pictured above? The Greater Scottsdale Airpark became the home base to 5-6 more Falcon 7Xs, Falcon 900s, and Bombardier Challenger Business Jets in 2020. Also, many parking lots were empty during this COVID-19 pandemic year, with companies working with their employess remotely. A majority of businesses were able to adjust, keep the doors open, and in some cases, still have their best years in revenue and profits. As one of the most bizarre years ever witnessed, we saw paradigm shifts of everyday life: working remotely; business and personal travel off 60%; technology and software improved dramatically; and the political winds voted in a new Presidential administration. The speed of change in 2020 was historical, and by the end of the year we had a “new normal” on many ways we do business in the Greater Scottsdale Airpark.

CURRENTLY DEVELOPED ±3,250 Acres NUMBER OF COMPANIES ±3,315

The Building and Land Impact

BUSINESS CATEGORIES ±130 (i.e., accountants, auto, publishing, aerospace/defense, light manufacturing, retail, high tech, healthcare & biotech, business services, hospitality, retail, etc.)

Companies have had some employees work remotely for the last 10-15 years, but when the pandemic hit, the parking lots were emptied, and employees began working remotely or through Zoom meetings – this became the new normal. This reduced the wear and tear on office buildings, and many companies commenced remodeling, updating lobbies and common areas in 2020 and took advantage of the down time.

NUMBER OF EMPLOYEES ±60,676

Some office landlords offered temporary rent relief, agreeing to receive the deferred rent in 20212023. Sublease space accelerated in the third and fourth quarter, but not enough to have a big impact on rental rates.

NUMBER OF BUILDINGS – 1,208 (including hotels, auto dealerships, all retail)

Retail, restaurants and hotels in the Airpark were the hardest hit with the lack of sales, revenue and occupancy. These sectors likely will not rebound until 2022-2023.

Building Usage

Square Feet Percentage

Office

12,938,588

28.8%

The FANG Impact FANG companies (Facebook, Amazon, Netflix and Google) are dominating the commercial real estate market – leasing and buying. Although the Scottsdale Airpark didn’t have any of the specific FANG companies enter into the Airpark, these tech companies provided a jolt to the commercial real estate markets. The Airpark sees many positive ripple effects as other tech companies grow in the Airpark.

Industrial/Flex

9,241,921

20.7%

Hangar

910,272

Retail

8,527,800

19.1%

Hotels

2,960,352

6.6%

Apartments

9,823,631

22.6%

Total

44,732,587

100.0%

A 35-acre site in the Deer Valley Market at Pinnacle Peak Road and 7th Ave sold to Amazon during the summer for one of their “last mile” distribution centers that will help fulfillment orders in the Scottsdale Airpark Area. The building is under construction and will be completed in 2021.

19 1

The Greater Scottsdale Airpark 2030 ReportMAY | December 31, 2020 | Colliers 2021 / SCOTTSDALE AIRPARKInternational NEWS /

THE GREATER SCOTTSDALE AIRPARK | 2030 REPORT | DECEMBER 31, 2020 Help Protect Yourself and Others from COVID-19

Stay 6 feet from others

Wear a mask

Wash your hands often

cdc.gov/coronavirus

// Pictured Above: Shutterstock Construction Crane / CDC Help Protect from COVID-19 (cdc.gov) / Shutterstock Office Image and Loop 101. Also under construction is a ±50,000 square foot office ESG: Environmental, Social and Governance (see chart) building for a tech campus. For the last five years, ESG has been at the forefront in companies, In October 2020, the ASLD auctioned 57.6 net acres to Axon, who will build building owners and hiring practices. In 2020, in addition to the their new corporate headquarters in 2021. (This land sale is not included in pandemic, socially responsible investors continued to look closer at the Page 3 Land Sales summary.) the Environment, Social and Governance factors when evaluating their portfolios, and actually had more time to focus on these factors due to There are several more ASLD sites along the Loop 101 that are expected to the economic slowdown due to COVID-19. be auctioned off in the next two to three years. What else happened in 2020? More Apartments! 9,367 units currently and 1,908 under construction. • The Manor Scottsdale broke ground on 286 units at the former 24 Hour Fitness site at 13220 N. Scottsdale Road. • 140 Optima Kierland added 213 more units. • Wood Partners broke ground on 330 units at Alta Raintree, just west of the Loop 101 freeway. • Two more billionaires (now a total of 10; see our 2016 Report) made the Scottsdale Airpark their place of business. Loop 101 Update In 2020, we celebrated the 20 year anniversary of the final opening and access via the Loop 101 to the five largest cities in the Valley: Tempe, Mesa, Chandler, Scottsdale, and Phoenix. The Scottsdale Airpark Employment Base is a major hub for the other four cities and continues to draw national attention as one of the largest MXDs (mixed use developments) in the nation and one of the few MXDs with an Airport in the middle. Making Room for the Falcon 7Xs: Falcon 900s, Bombardier Challenges Other Business Corporate Aircraft Due to the diminishing supply of vacant taxiway access lots, a couple of buildings on the east side of the runway are being redeveloped to accommodate bigger aviation hangers. The building at 15570 North 83rd Way (±48,111 sf) sold in 2019 and is under a major reconstruction on the south half of the building to build a larger hanger. A couple of buildings away, another ±23,000 square foot building sold in 2020 to also be repurposed into a large hanger with offices. These investments in renovating older and functionally obsolete buildings brings value to all the surrounding properties.

• The 7th Day Adventist Campus, just south of the runway and fronting on Scottsdale Road, went through a Master Plan rezoning and hopes to add new construction soon. • Pricing of real estate in 2020 remains a bit elusive due to the uncertainty post-COVID-19. • Former Henkel building at 19001 North Scottsdale Road and Loop 101 was sold to developer Stockdale Capital Partners, and is being repurposed. It has been renamed ILUME Innovation Center. • GPS Insight, LLC grows with the acquisition of ServiceBridge, LLC, a Chicago-based software company. • Box Hanger Construction (7 individual hangers) on City of Scottsdale airport land at Kilo Ramp are nearly completed and ready to lease. • Jet Aviation’s (a General Dynamics company) new ±30,000 square foot FBO Hanger is close to completion. Predictions for 2030 »

Your virtual assistant will be at your side “always on.”

The Greater Scottsdale Airpark will have the largest number of individually-owned hangers, warehouses/garages/Man Cave-type of facility holding private car collections in the entire Southwestern United States.

The Greater Scottsdale Airpark will have 82,000 employees, 53 million square feet of a variety of office, flex, industrial, medical, retail, multifamily, hotels and car dealership buildings and about 4,200 companies.

ASLD (Arizona State Land Development) The ASLD is in the process of auctioning off 50-100 acre parcels along the Loop 101. In 2018, the ASLD sold the 134 acre site to Nationwide Insurance for the Cavassan Project, which delivered its first phase ±460,000 square foot office building at the northwest corner of Hayden

The Greater Scottsdale Airpark 2030 Report | December 31, 2020 | Colliers International

20 / SCOTTSDALE AIRPARK NEWS / MAY 2021

THE GREATER SCOTTSDALE AIRPARK | 2030 REPORT | DECEMBER 31, 2020 LAND SALES YEAR

# OF LOT SALES

SALES VOLUME

TOTAL ACRES

AVG PRICE/SF

2020

$6,240,863

$29.66

2019

$36,830,000

37.30

$25.48

2018

$17,274,920

$25.50

2017

$28,124,548

$24.84

2016

$13,010,986

$33.46

2015

$77,736,765

$21.65

2014

$46,716,714

37.57

$24.00

2013

$26,558,420

25.36

$24.04

2012

$10,880,978

15.36

$16.25

2011

$4,803,456

8.21

$13.43

THE GREATER SCOTTSDALE AIRPARK GROWTH - JUNE 1981 - DECEMBER 2020 DATE

SQUARE FEET

VACANCY

NUMBER OF EMPLOYEES

NUMBER OF BUSINESSES

Jun. 1981

1,580,611

13.9%

±3,320

268

Jun. 1982

1,720,210

10.1%

±3,680

289

Jun. 1983

1,900,188

6.1%

±4,038

316

Jan. 1984

2,288,439

10.9%

±4,504

383

Jan. 1985

2,683,394

11.8%

±5,345

480

Jan. 1986

3,673,589

18.7%

±5,861

534

Jan. 1987

4,419,226

19.4%

±8,661

733

Jan. 1988

4,881,979

16.0%

±9,802

957

Aug. 1990

5,698,361

14.3%

10,120

943

Aug. 1992

6,971,986

12.6%

11,345

1,076

Nov. 1993

6,977,774

6.7%

13,402

1,237

Sep. 1994

7,716,855

3.5%

13,846

1,257

Sep. 1995

8,920,772

2.3%

14,132

1,332

Dec. 1996

10,114,610

3.1%

17,275

1,477

Dec. 1997

11,685,747

3.2%

19,873

1,624

Dec. 1998

13,991,908

4.1%

25,891

1,708

Dec. 1999

18,443,263

6.0%

30,344

1,807

Dec. 2000

19,474,883

7.6%

31,992

1,868

Dec. 2001

20,388,981

9.8%

33,015

1,907

Dec. 2002

21,683,303

12.9%

41,265

2,198

Dec. 2004

25,864,351

11.5%

47,218

2,397

Dec. 2006

27,661,351

9.7%

50,450

2,554

Dec. 2007

33,764,653

12.9%

52,500

2,774

Dec. 2008

34,213,932

15.1%

52,000

2,800

Dec. 2009

34,736,584

29.0%

48,000

2,576

Dec. 2010

34,757,067

28.8%

48,500

2,580

Dec. 2011

34,766,078

23.0%

49,200

2,601

Dec. 2012

39,722,398

18.5%

52,000

2,848

Dec. 2013

39,781,068

16.0%

53,400

2,900

Dec. 2014

40,101,068

13.0%

54,100

2,950

Dec. 2015

40,718,394

11.6%

55,260

3,025

Dec. 2016

41,251,574

10.3%

56,180

3,075

Dec. 2017

42,187,874

10.1%

57,300

3,150

Dec. 2018

43,887,549

8.5%

59,132

3,233

Dec. 2019

44,402,564

9.5%

59,732

3,283

Dec. 2020

44,867,584

9.2%

60,676

3,315

Major Companies Abbott Accolade Healthcare Alliance Defense Fund APL Container Transportation Services Appogee Physicians AXON Barrett-Jackson Best Western Chase Bank Choice Hotels International, Inc. Colliers International Carlisle Companies Corporate Jets, Inc. Costco Cox Cable of Scottsdale Data Mapping Solutions Dillon Precision/Dillon Aero Discount Tire Company, Inc. Early Warning Services Earnhardt Cadillac Fairmont Scottsdale Princess Farmers Insurance First Fidelity Bank Flow Dynamics, Inc. GE Franchised Finance Corporation General Mills GlobalMedia Group, LLC Go AZ Motorcycles Go Daddy Software Go Video GPS Insight GTCO CalComp Input Technologies Division Han Wei Lines Harley-Davidson of Scottsdale Home Depot HomeSmart Hypercom Corporation IKON Ingram Micro Interface, Inc. IO Capital Princess, LLC JDA Software Knowledge Net KYOCERA Solar Lowes Home Improvement Warehouse Mayo Clinic Mercer Advisors, Inc. Meritage Corporation Metris Company Mobility Electronics Morgan Stanley Smith Barney, LLC Nationwide Insurance Company Nautilus Insurance Co. North Central University Orion Health Pegasus Solutions Penske Auto Complex (Mercedes Benz & 8 other brands) Phase 2 Solutions Prudential Insurance Pulte Homes Rental Service Corp. Redirect Health Right Honda and Toyota Ring Russo & Steele Scottsdale Area Association of Realtors Scottsdale Prep Academy SonicAir StormSource Software, Inc. Target Tesla Motors The Tech Group / Tech Poulson Trivita Universal Technology Institute (UTI) U.S. Postal Service U-Haul Unison Health Care Universal Laser Systems Van Chevrolet VanGuard Westin Kierland Resort World at Work

*Using the newest technology (CoStar) we have updated the list of all buildings, including auto dealerships, Costco, Walmart, etc., that we had not included in the past.

2021 / SCOTTSDALE AIRPARK NEWS / The Greater Scottsdale Airpark 2030 Report | MAY December 31, 2020 | Colliers International

21 3

THE GREATER SCOTTSDALE AIRPARK | 2030 REPORT | DECEMBER 31, 2020 BUILDING SALES TYPE

# OF SALES

SALES VOLUME

TOTAL SF

AVG PRICE/SF

HIGH/LOW

Office

$130,709,912

537,134

$235

$300/$181

Industrial

$44,017,000

325,620

$174

$228/$122

2020

Retail

$53,335,520

141,340

$377

$584/$109

Multifamily

$141,500,000

385,800

$221

$408/$221

TOTAL

$369,562,432

1.390,894

Office

$308,868,000

1,397,576

$233

$376/$103

2019 Industrial

$44,017,000

325,620

$174

$285/$145

Retail

$ 31,150,000

97,089

$321

$551/$125

Multifamily

$428,700,000

1,655,795

$259

$339/$223

TOTAL

$812,735,000

3,476,080

2018 Office

$ 231,843,037

948,069

$219

$313/$104

Industrial

$ 117,260,350

634,581

$179

$220/$116

Retail

$ 55,127,734

324,448

$244

$458/$99

$222

$240/$204

Multifamily

$ 91,500,000

409,993

TOTAL

$495,731,121

2,317,091

Office

$168,965,337

812,008

$208

Industrial

$129,318,047

1,000,204

$129

$202/$92

Retail

$45,512,500

233,280

$195

$353/$170

Multifamily

$270,050,000

1,199,312

$225

$326/$192

Total

$613,845,884

3,244,804

Office

$404,599,070

2,032,707

$199

$258/$112

Industrial

$80,386,448

64,229

$125

$300/$64

$230

$616/$53

2017 $313/$104

2016

Retail

$271,149,939

1,177,515

Total

$756,135,457

3,274,451

Office

$178,174,381

919,060

$194

$254/$98

Industrial

$48,994,677

395,149

$124

$192/$77

$217

$767/$132

2015

Retail

$97,120,600

448,244

Total

$324,289,658

1,762,453

Office

$69,800,000

555,965

$139

$217/$79

Industrial

$60,000,000

668,488

$114

$257/$52

$190

$414/$15,

2014

Retail

$39,744,000

208,927

Total

$169,544,000

1,433,380

Office

$179,000,800

1,098,164

$163

$312/$97

Industrial

$24,194,800

9,000

$101

$149/$58

$250

N/A

2013

Retail

$4,200,000

239,552

Total

$207,395,600

1,346,716

This document/email has been prepared by Colliers International for advertising and general information only. Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of Colliers International and /or its licensor(s). © 2021. All rights reserved.

22 / SCOTTSDALE AIRPARK NEWS / MAY 2021

Jim Keeley SIOR, CCIM Founding Partner Scottsdale Office Jim.Keeley@colliers.com

COLLIERS INTERNATIONAL SCOTTSDALE 8360 E. Raintree Dr. | Suite 130 Scottsdale, Arizona 85260 +1 480 596 9000 PHOENIX 2390 E. Camelback Road, Ste 100 Phoenix, Arizona 85016 +1 602 222 5000 www.colliers.com/arizona

Jim Keeley, SIOR, CCIM, founded Classic Real Estate Corporation, now known as CC Partners, L.L.C., DBA Colliers International, in 1983. The firm conducts the majority of its commercial brokerage business within the Scottsdale Airpark and the Loop 101 Employment Base and has concluded over 5,500 transactions and $3 billion of business. A special thanks to Colliers International brokers for their input and, in particular, to Colliers Marketing for the graphic design, Philip Hernandez for research efforts, Mary Beth Campbell for her editing expertise, and Jennifer Ford for pulling it all together.

BUSINESS

This month, the Airpark News continues its Business Leaders of the Airpark series. Each month, we’re featuring the leaders of Airpark who are making a difference in their organizations and our community. In this issue, we look at Commerce Bank of Arizona, State 48 Lager House, URA Group AZ and Jet Aviation. We’re excited to hear from our readers on who you think fits the category, and then be on the lookout for them in a future issue. Send suggestions to christina@timespublications.com.

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

BUSINESS

Bank Local CBAZ puts its customers ﬁrst By Kristine Cannon s small businesses scrambled to stay afloat amid the unexpectedly economically tumultuous COVID-19 pandemic, small local banks were working hard to assist them. One bank in particular, Commerce Bank of Arizona (CBAZ), not only worked day and night to provide desperately needed PPP loans to businesses in need, but it was recently recognized by Newsweek as the best small bank in Arizona. It was an award CBAZ President and CEO Chris Webster calls “completely unexpected.” “Besides a range of financial metrics, Newsweek evaluated banks with the fewest

number of complaints filed with the FDIC. We were delighted to rank at the top of that list,” Webster says. Newsweek’s inaugural America’s Best Banks 2021 list, which was published last fall, assessed U.S. banks and the savings and checking accounts they offer based on 55 factors to come up with a best-in-class option in 19 categories. “We have always been dedicated to helping Arizona’s small businesses succeed, and we are honored to be recognized with this title,” CBAZ wrote of the award at the time. “This year was a challenging year for many people in Arizona, and we are proud of our team for rising to those challenges and serve each client with exceptional

24 / SCOTTSDALE AIRPARK NEWS / MAY 2021

Chris Webster is the president and CEO of Commerce Bank of Arizona, which was recently recognized as the best small bank in Arizona by Newsweek. The magazine published its inaugural America’s Best Banks 2021 list last fall. (Photo courtesy of Commerce Bank of Arizona)

customer service.” As a locally owned and managed bank, Webster says CBAZ has a better understanding on the Arizona business environment, in turn giving it a competitive edge.

The Airpark branch is the only Valley branch of Commerce Bank of Arizona.

“We always say, ‘Bank where you live. Bank local,’” Webster says. “CBAZ has a dedicated focus on the unique business banking needs of companies in our community.” In the midst of a global pandemic, specifically, CBAZ’s lending and customer support teams were put through the test, working tirelessly to provide desperately needed PPP loans to not only existing business owners but also many new customer business owners, Webster says. And that hard work more than paid off. CBAZ Financial Inc., the parent company of CBAZ, recently reported consolidated earnings of more than $1.52 million in Q4 2020 — a 373% increase from $457,000 in the third quarter. According to a press release published in February, total assets increased by 7.3% to $355.8 million during the quarter that ended December 31, 2020, and increased 49.6% compared to $237.8 million a year ago. Total asset growth from December 2019 to December 2020 consisted of PPP loans funding CBAZ deposit accounts totaling $60 million and organic net deposit growth of roughly $36 million. “Our financial metrics for the year were excellent,” Webster says. “The bank generated strong loan and deposit growth, net interest margin and bottom-line net income. And we were able to realign key noninterest costs, which will benefit the

bank in the years to come.” Webster also attributes CBAZ’s growth to the team’s ability to maintain “exceptional customer service performance standards” throughout a pandemic that would temporarily halt in-person, face-toface communication. “We build relationships with our customers through face-to-face communication,” Webster says. “Last March, that activity stopped immediately.” CBAZ’s pivot to virtual forms of communication didn’t stop the company from working just as closely with its customers during the height of PPP, however. “There’s a saying in banking, ‘Banks like to give you an umbrella when the sun is shining only to take it away when it starts to rain.’ I can tell you that our team provided hundreds of umbrellas to many, many grateful business owners,” Webster says. “And there’s nothing more rewarding than to let a business owner know at 3 in the morning that his or her PPP loan has been approved.” Webster is proud of his team’s customer service skills. “The team at Commerce Bank of Arizona strives every day to provide best-in-class banking services to small- and mediumsize businesses throughout Arizona. It is an honor that our customer-first culture is recognized by business owners,” he says. Founded in 2002, CBAZ offers commercial clients with a variety of services

like U.S. Small Business Administration financing solutions, construction loans and commercial real estate loans. The Tucson-based company has several locations, including one in Scottsdale in the Promenade. Webster joined the company in 2015. Previously, he led the commercial banking division at BBVA/Compass in Phoenix and later co-founded First Scottsdale Bank. “His leadership is inspiring to us all, and we are thankful for his wisdom and guidance during these challenging times,” CBAZ said at the time of Webster’s hiring. “With Chris as our leader, we are confident that our small-business community can come out of this crisis stronger than ever.” Webster says CBAZ looks forward to supporting local businesses as the Arizona economy recovers. “We are already seeing significant loan demand across many industries,” Webster says. “Many segments of the Arizona economy are doing very well, despite the pandemic. And most business segments impacted by the pandemic are poised to rebound as the vaccination rate increases.” Commerce Bank of Arizona 16435 N. Scottsdale Road, Suite 140, Scottsdale 480-253-4500, commercebankaz.com

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

BUSINESS Lager House opened in 2019 and is now one of six State 48 locations across the Valley. (Photo by Pablo Robles)

House of Lagers State 48 brewery remains a popular Airpark destination

By Connor Dziawura n the less than five years since the Rana family opened the first State 48 location, they have tried to make the brand as big as possible, growing its customer base all the while. Now in the spring months of 2021, State 48 has hit the six-location mark, spanning from the West Valley — spots at Glendale’s Westgate Entertainment District and the original in Surprise — to the East Valley, where one opened in Gilbert in March. Northernmost is its Norterra site, while a Downtown Phoenix location is central to them all. And each puts its own spin on the State 48 name, as is the case with its Lager House, which has been a popular Scottsdale Airpark destination since it opened in 2019.

“Each one has a specific duty in our expansion,” owner Vince Rana says. For Lager House, that duty comes down to its brewing system, the largest out of the six State 48 locations. And its specialty is just what the name implies — lagers. “It’s our largest brewery by square footage and height and mass and the amount of fermenters we have, because specifically lagers take twice as long to brew as ales,” Rana explains. “We wanted to set it up to do a lot of our lagering, and we wanted to really get into making some really good lagers, which was specific. A lot of United States companies don’t really get into lagers; it’s more of a German/European style.” The family crafted a creative atmosphere at each location. “We want to give the clientele in each

26 / SCOTTSDALE AIRPARK NEWS / MAY 2021

neighborhood a different experience,” Rana says. He says Westgate’s Funk House, for example, circles around events and has State 48’s largest bar, while the Rock House in North Phoenix makes sense for late nights watching live entertainment with a burger in one hand and beer in the other. In contrast, Scottsdale’s Lager House — DTPHX, too — takes more of a sit-down lunch and dinner approach. In the case of Lager House, that includes design decisions like a second-level mezzanine as well as a two-level patio, the upper deck with a view of the McDowell Mountains. “We have more things to look at,” Rana describes, noting decorative artwork. He adds, “The breweries are more on display, with glass windows that you can sit and ac-

Lager House is the name given to State 48's Scottsdale Airpark location. It's name is apt, with a focus on brewing lagers. (Photo by Pablo Robles)

tually dine and see into the brewery from.” He estimates menus are about 95% similar but with minor differences, which come down to equipment. Surprise, for example, has a woodfire pizza oven, whereas Funk House has a gas-fired oven for flatbreads. Rock House and Gilbert’s Tap House, he adds, have smokers. But Lager House and DTPHX “are like the extremely large mega-breweries where we each brew about 40% of our beer. Those kitchens don’t have any of the specialized kitchen equipment.” Scottsdale patrons need not worry, State 48 has a private party room. (Photo by Pablo Robles)

though, as Lager House’s menu boasts enough to constitute a full-service dining experience. On its front end are plenty of shared appetizers that pair well with alcohol, like salted Bavarian-style pretzels ($10), cauliflower wings ($12) and the chef’s board ($16), which is described as “an assortment of cured meats, artisan cheese, pickled veggies, seasonal jams, beer mustard, toasted bread and other creations from the chef.” A dive into the soups and salads section yields such classics as house ($7) and Caesar ($8) salads, just as there are more eye-catching offerings, like the steak cobb ($15), salmon salad ($15) or the soup of the day ($6 to $9). Comprising a large portion of the menu is a selection of burgers and sandwiches, like the classic State 48 Burger ($14.50), which is topped with cheddar cheese, pickles, IPA-sriracha glazed bacon, lettuce, tomato and red onion on a brioche bun. Signature entrees vary, with choices ranging from chicken Parmesan ($15.50), fish and chips ($16.50) and grilled salmon ($18.50) to steak frites ($24.50), a mouthwatering 12-ounce grilled New York strip steak served with beer-battered fries, seasonal veggies and S-48 steak sauce. Parents can rest easy knowing this bar, brewery and restaurant isn’t one for which they’ll have to leave the kids at home. Choices for kids meals ($7), which include a kids drink cup, are grilled cheese, buttered noodles, chicken tenders and a simple cheeseburger. Then, round out your meal with something sweet from the dessert menu, perhaps

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

BUSINESS

State 48 Lager House has a second-level mezzanine, along with plenty of wall art. (Photo by Pablo Robles)

the five-layer chocolate cake ($8) or the dessert of the day ($7). State 48 patrons can expect to see modifications soon, with another new venture coming this spring/summer: a new restaurant in Downtown Phoenix’s CityScape. But it’s not a State 48 brewery, according to Rana. “It’s going to be called the Phoenix Bourbon Room, and we’re going to be making our own liquor,” Rana hints. “And so, we’re going to be redeveloping our cocktail menu in all of the (State 48) locations, and especially in Scottsdale.” With a large family spread across the state, Rana says the idea when founding State 48 in 2016 was to spread the brand just the same. When looking to open new locations, he says, the basic idea is to fill voids — to find areas where breweries are needed or where customers are asking. “What we wanted to do is we didn’t want to make it about a specific city in Arizona or about our brand name. We didn’t want it to be our last name,” Rana says. “We really just wanted it to be about Arizona. … We really wanted to just create a brand and we wanted to be very large and have a lot of different brewers, a lot of styles, a lot of different chefs, and we wanted to just create something for everybody. “So, we really just wanted to be all across

State 48 Lager House has the company's largest brewing system. (Photo by Pablo Robles)

the Valley, and eventually we want to be known as the biggest brewery in Arizona.” Rana says land has been purchased in Avondale for “one mega, huge place” likely to be called State 48 Beer Town. He compares the idea to how Rawhide was “back in the day,” when it was in Scottsdale, with plans to have “just a whole great venue with concerts and (be) a fun place to just explore a bunch of different restaurants on one property with a whole bunch of State 48 beer and liquor and stuff like that.” But he projects a year or two will pass before it gets built. “Basically, if you come to Arizona — and Arizona’s a huge tourist town — you have

28 / SCOTTSDALE AIRPARK NEWS / MAY 2021

to visit one of State 48’s breweries. Kind of like if you go to San Diego, you probably want to go visit Ballast Point brewery, and they’re at Disneyland now and everything. They just really hit it on all cylinders, with food, beverage, cocktails. They just really do a great job at everything. We want to become the representative of Arizona.”  State 48 Lager House 15600 N. Hayden Road, Scottsdale 480-659-0048, state48brewery.com Check website for additional locations

BUSINESS Steve Mallory, left, and John Kieber are co-founders of URA Group AZ. (Photo by Pablo Robles)

Smart

Investments URA Group AZ helps people achieve ﬁnancial goals By Kamala Kirk

etirement is meant to be a time when people can finally relax and reap the benefits of their hard work after spending their entire lives working. Although it tends to be something that many put off planning until later, the sooner you start planning, the more likely you are to set yourself up for a comfortable and successful retirement plan. Since 2012, URA Group AZ has helped

clients with financial planning and wealth management, in addition to creating retirement plans. Based in the Scottsdale Airpark, URA Group AZ’s central location attracts clients from around the Valley and Arizona. The firm’s co-founders, Steve Mallory and John Kieber, along with their team of financial advisers and experts, enjoy working with customers of all ages and backgrounds to develop individualized plans and strategies to help them reach their …continues on page 31

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

John Kieber

Steve Mallory

Thank you for Voting Us #1 Concerned about your 401K or IRA declining with the stock market? in Scottsdale and Airpark

Personal Service and help with your retirement planning

Get your portfolio audited by a fiduciary to discover potential opportunities in current market atmosphere Explore a wide array of options for potential growth without stock market risk Personal phone or virtual appointments available

Amazon best selling book

Fee Based - You Succeed, We Succeed We educate our clients on the latest laws and create a plan that will fit each client to specific financial and personal goals

For more information, contact us at 480-448-6270 or Info@uragroupaz.com URA Group AZ 14300 N. Northsight Blvd., Suite 122 Scottsdale, AZ 85260 Investment Advisory Services Provided by Delta Investment Management, LLC - A Registered Investment Advisory

For more investment strategy information, please email info@uragroupaz.com

BUSINESS

Steve Mallory, co-founder of URA Group AZ, works from his office. (Photo by Pablo Robles)

…continued from page 29 financial goals. “Everyone’s financial situation is completely different,” Mallory says. “When we have an initial meeting with a client, we spend the first hour getting to know them while learning about their personal goals and objectives. People spend their entire lives accumulating assets, and now it’s time to utilize them in the right eﬃcient way.” Kieber adds, “We also help clients with portfolio design for the stock market and educate them about what they can do with their 401k rollovers and health insurance. When a person goes through a job separation or starts a new job, they often forget some of the big-picture things. When it comes to retirement, we help create a comprehensive retirement blueprint as well as estate planning for the next generation.” Mallory and Kieber pursued careers in the financial industry due to their desire to educate others and help people improve their financial situations. Clients appreciate the personal connection and detailed attention they receive from Mallory, Kieber and their team, who know all clients and their family members by name. “When I first got into this industry, I was

shocked to learn that many people hadn’t spoken with their financial adviser in years,” Mallory says. “John and I wanted to do it differently. We reach out to our clients multiple times a year and are in constant communication with them. The relationships we have with our clients last as long as 30 years or more. When you start out with us, it’s just the beginning of a long-term relationship.” Kieber adds, “It became a goal to help people gain confidence to make good decisions and feel good about them. They’re not just accounts to us; these are people, and we never lose sight of that. We take a very team-oriented approach when working with our clients. They see everything that we do. We just help navigate them to where they need to be. We all sit on the same side of the table and build everything together so that everyone can win.” The most rewarding aspect for Mallory and Kieber is helping people turn their financial and retirement goals into reality. “We’ve had many clients come in that are at their wit’s end with the job they’ve been at for multiple decades,” Mallory says. “They don’t know whether they can afford to retire, so we break everything down for them, and by the end of our meeting, they leave with a smile on their face. It takes a big weight off

their back, and a lot of them can’t believe it. That gives me a lot of self-satisfaction.” Kieber adds, “When a client first comes in, we always ask for their bucket list in retirement, get everything down on paper, then start building the financial aspect into their plan to make it a reality. Once they realize they can do it, they’re much happier and more comfortable knowing that they can actually do the things they want to do. That’s a great feeling.” Mallory also has a piece of advice to offer others, regardless of what stage of life or financial planning they are in. “It’s never too early to educate yourself,” he says. “Make sure you are as educated as possible so you can make the best decision for yourself. We educate our clients on all of these things — each person’s situation is different, but the rules are the same for all of us. It’s never too early to reach out and find someone you can connect with that understands your situation.”  URA Group AZ 14300 N. Northsight Boulevard, Suite 122, Scottsdale 480-448-6270, uragroupaz.com

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

BUSINESS

Style, Service, Sustainability Jet Aviation takes ﬂight with great customer service

By Kristine Cannon or more than 50 years, Jet Aviation has set itself apart within the business aviation industry in three ways: style, service and sustainability. And as of this past January, Scottsdale-based private jet patrons can experience all three at Jet Aviation’s newest fixed-base operator (FBO) at Scottsdale Airport. “Scottsdale is one of the top 15 busiest business aviation hubs in the U.S., and our expanded facility will enable us to better serve the needs of our customers and the business aviation community,” says David Best, SVP regional operations and general manager, USA. J e t Av i a t i o n o p e n e d i t s n e w 8,500-square-foot FBO and 30,000-squarefoot hangar facility in Scottsdale on January 14. It’s a project that’s been in the works for about two years — and one that brings Jet Aviation’s global FBO network to 31 locations. “Scottsdale is a highly attractive location to business jet owners and operators,” says Dave Paddock, Jet Aviation president. “Having a presence in Scottsdale will enable our customers to have greater connectivity across the Jet network.” Jet Aviation has been operating at

Bryan Buenaﬂor (customer service representative), Andy Perez (line service supervisor), Timothy Vallowe (FBO director), Leslie Miller (customer service representative), David Best (senior vice president and general manager-United States), Kristin Crawford (customer service manager), David Paddock (Jet Aviation president), Michelle De La Fuente (regional director FBO sales) and Luke Dicksion (line service technician).

Scottsdale Airport since acquiring a share in the Scottsdale Jet Center in May 2019. Jet Aviation then acquired full ownership of the Jet Center that leased oﬃce space, tenant hangarage, tie-down spaces and shades. Now, the new FBO features a generous lobby, passenger and grew lounges, pilot snooze rooms, a conference, meeting room, and water and flight planning facilities. The hangar can accommodate aircraft up to the size of the Gulfstream 650 and the Global 6000. But what truly sets Jet Aviation’s Scottsdale FBO apart is its stunning facilities

32 / SCOTTSDALE AIRPARK NEWS / MAY 2021

were built using cost- and energy-eﬃcient construction practices. In fact, the company plans to install solar panels at the site later this year. “We’re looking at the potential for increasing our solar footprint there and making it much more sustainable,” Best says. Outside of Scottsdale, Jet Aviation has made 23 of its locations’ operations carbon neutral; and three of its facilities, including Scottsdale, have committed to earning carbon neutrality for 2021 and beyond. Paired with its recent rebranding emphasizing the company’s pedigree and heritage, it’s these qualities that have

Jet Aviation is Scottsdale Airport’s third and newest FBO. Opened in January, the fixed-based operator facility is on the approach end for Runway 3 on its west side. It features a sleek, 8,500-square-foot FBO and 30,000-square-foot hangar facility. (Photos courtesy of Jet Aviation)

not only continued to make Jet Aviation a leader in its industry but also allowed the company to continue to expand amid a global pandemic. “It’s incredible how robust Scottsdale Airport has been through the pandemic. It really has been a pillar of strength for the whole of the downturn and had some great activity,” Best says. “We were really pleasantly pleased to see it be as robust as it was.” According to reports, commercial airlines struggled amid the pandemic, but small private jets were busier than ever. Experts attribute the surge, in part, to lower prices and an increase of wealthy people wanting to avoid airports during the pandemic. “If you look at the global statistics, the airline industry is still somewhere about 40% down from where it was, but the U.S. business aviation industry is almost back to where it was pre-pandemic,” Best says. Best adds the uptick began around Q4 2020. “And then the last month or so, we’ve seen that the industry has shown some more strength,” he says. Looking ahead, Jet Aviation hopes to increase awareness of its new Scottsdale facility. “I’ve been over there several times. We’re really proud of it,” says Best, who visited the FBO and hangar in April. “What we’ve been focusing on since we opened is building up that awareness MAY 2021 / SCOTTSDALE AIRPARK NEWS /

BUSINESS

In addition to Scottsdale, Jet Aviation acquired a facility in Bozeman, Montana, last year as well as expanded facilities with Gulfstream in Palm Beach and opened a new FBO at Van Nuys, California. (Photos couresty of Jet Aviation)

within our customer base and within the local community.” So far, Best says, the response to the facility has been great. “We’re really proud and pleased with what we’ve built,” he says. “It really is a key location in our expanding footprint.” In addition to Scottsdale, Jet Aviation acquired a facility in Bozeman, Montana, last year, as well as expanded facilities with Gulfstream in Palm Beach and opened a new FBO at Van Nuys, California. Paddock says future expansion in the United States will be done in a “strategic and measured way.” In response to the pandemic, Jet Aviation will continue to build on the health and safety protocols they administered over the past year, including implementing ultraviolet cleaning and temperature measurement systems. “Like everybody, we had to take a pragmatic view of our business and make sure that we were also operating in a way that was sensitive to the stresses of the pandemic by way of cleanliness and operational changes, etc. And we carry on working within these guidelines, but our long-term goal is still to carry on growing a great service business,” Best explains. That includes driving a service-focused organization, making long-term investments, and growing facilities that match their customers’ needs — all three of which were maintained throughout the pandemic, Best says.

“We are committed to growing Jet Aviation’s position as a leading FBO service provider,” Paddock says. Best is “extremely optimistic” about the private jet industry’s future. “I see Scottsdale continuing to grow and continue to be an important part of people’s travel plans,” Best says. “There is a strong belief in the business aviation industry that the number of people accessing business aviation for both convenience and also for eﬃciency — and safety, when we talk about it in pandemic framework — will continue and increase.”

34 / SCOTTSDALE AIRPARK NEWS / MAY 2021

In the meantime, Best and Paddock, and Scottsdale Airport Aviation Director Gary P. Mascaro, look forward to welcoming customers to their new Scottsdale facility. “We’re excited to have such a premier business partner like Jet Aviation at Scottsdale Airport,” Mascaro says. “They will be a major contribution to the airport.”  Jet Aviation 14650 N. Airport Drive, Scottsdale 480-866-8270, jetaviation.com

Custom, Frameless

Shower Enclosures Quality Materials Personalized Solutions

Superior Customer Service Meticulous Craftsmanship Satisfaction Guaranteed Family Owned & Operated 25 Years Experience

480.725.9907 MAY 2021 / SCOTTSDALE AIRPARK NEWS /

FOOD & WINE

Yasmin Rahimi and business parner Jeet Mukherjee opened Beard Papa's February 27. (Photo by Pablo Robles)

Big in Japan The Japanese customizable dessert comes in six shells and eight types of cream fillings. (Photo courtesy of Beard Papa's)

36 / SCOTTSDALE AIRPARK NEWS / MAY 2021

Beard Papa’s cream puffs bring lines to the Quarter By Christina Fuoco-Karasinski

asmin Rahimi, who owns the pain management clinics BackFit Health + Spine, was looking for something to do in her “free time.” She is into nutrition and thought, maybe, a boutique yoga or fitness studio would work. Her franchise consultant swayed her elsewhere. “The franchise consultant said I would need to put way too much energy in those,” Rahimi says. “They said I didn’t have that much time.” Different concepts and ideas were presented to Rahimi, but she decided on Beard Papa’s after she and business partner, Jeet Mukherjee, crunched the numbers. The fresh and natural cream puffs chain opened at Scottsdale Quarter on February 27. Founded in Osaka, Japan, in 1999, Beard Papa’s started as a small bakery and quickly grew to more than 400 locations in 15 countries and territories, while gaining global recognition for their light and airy cream puffs.

FOOD & WINE

“The product is unique in that there is nothing else like it on the market. From the high-quality ingredients used in the custard filling to the puff shells that are freshly baked throughout the day, the Beard Papa’s experience is unmatched.” “The cream puffs are far from your traditional frozen puff found in the freezer aisle. The recipe is simply addictive. I’ve never met anyone who has tried Beard Papa’s who doesn’t crave it again the days following,” says Tucker Kaufman, a marketing representative for the franchise. “The product is unique in that there is nothing else like it on the market. From the high-quality ingredients used in the custard filling to the puff shells that are freshly baked throughout the day, the Beard Papa’s experience is unmatched.” The Japanese dessert chain specializes in creating customizable cream puffs in one of six shells, like regular; chocolate; green tea; and then one of eight cream fillings, such as chocolate, mango, strawberry or ice cream. “We have six shells,” he says. “You pick the shells you like and inject them with the different fillings. The common The fresh and natural one is the original shell with cream puffs chain no frosting and fill it with Beard Papa's has 400 vanilla custard. Over here, in locations in 15 countries and territories. (Photo Arizona, the chocolate and courtesy of Beard Papa's) strawberry are popular.” Rahimi adds, “People can eat more than one cream puff. in-house, says Mukherjee, who is a data The dough is really light. It’s not a typical American dessert. Most analyst. “The two ovens in the back always people who are dessert connoisseurs, they know this is the best. They know the going,” he says. “Whatever we bake product isn’t going to be overly sweet.” today, we sell today. We bake fresh the So far, Rahimi and Mukherjee have next day. Nothing stays overnight. “The custard is the base for all the fillseen up to one-and-a-half-hour lines at their shop. Guests sit on chairs outside of ings. Every month, corporate introduces Beard Papa’s waiting to try the desserts. new flavors. The base, at the core, is the “Beard Papa’s has a cult following,” shell and the custard. We minimized our Mukherjee says. “We’re the first Beard number of offerings for now, until we Papa’s in Arizona. We have California train the staff. Right now, the lines are transplants who are here locally now. an hour and a half sometimes. We don’t They’ve been waiting for this brand to want to overdo things. We want to wait a little bit until the staffing is properly come here.” The cream puffs and custard are made trained.”

The Scottsdale Quarter store is one of five the duo plans to open around the Valley. “This location is interesting,” he says. “We wanted our first store to be in Scottsdale at the Quarter. It’s really nice to have this as our first store. We want to branch out and get closer to the community.”  Beard Papa’s 15147 N. Scottsdale Road, Suite H102, Scottsdale beardpapas.com

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

REMEMBER When The Bank of Douglas opened on Main Street in 1949 after a 26-year bank absence in Scottsdale. (Photo courtesy of Scottsdale Historical Society)

Banks, bankers sustained Scottsdale By Joan Fudala t a time when many of us rarely step inside a brick-and-mortar bank, it’s easy to take for granted the importance banks have played in our personal lives and in the continued economic and social vitality of Scottsdale. From their roles as financial counselors to civic leaders, patrons of the arts and even elected officials, bankers have been a backbone of our community infrastructure. Take a nostalgic look at a few banking moments in Scottsdale history:  Before Scottsdale got its first bank, locals had to travel into Phoenix for banking. The first bank opened in Phoenix in 1878 (10 years before Scottsdale was first homesteaded), a branch of the Bank of Arizona.  In January 1921, the Scottsdale Farmers State Bank opened on the south side of Main Street, adjacent to Brown’s General Store, becoming the first bank in Scottsdale.

Farmers State Bank of Scottsdale was the town’s first bank and opened on Main Street in 1921. (Photo courtesy of Scottsdale Historical Society)

According to the Arizona Republican newspaper’s December 31, 1920, edition, the bank’s directors included William Kimsey, Charles Miller, Clyde Sharp, R.A. Chesnutt, J.L. Conrad, Collyer Hearne and Y.C. White (who was the first cashier); EO Brown was

38 / SCOTTSDALE AIRPARK NEWS / MAY 2021

also a director, as was U.S. Vice President Thomas Marshall. During its 12-year run, Harold McBurney served as cashier.  Farmers State Bank provided office space for two volunteer organizations: the first iteration of the Scottsdale Chamber of

REMEMBER When

Is Your Business Protected Against Fires?

Fire Protection With Integrity

Extinguishers | Emergency Lighting Reacton Fire Suppression System ZERO STRESS FOR YOU AND YOUR EMPLOYEES We handle everything so you don’t have to.

ONE TIME FREE Annual Extinguisher Inspection ONLY

for all companies with installation of a CNC Suppression System

10% OFF

When the Western Savings Bank opened at Scottsdale and First Street, it provided space for the Scottsdale Chamber of Commerce offices.

Our General Extinguisher & Lighting Services Call for details.

(Photo courtesy of Scottsdale Historical Society)

Commerce and the first Scottsdale Public Library. Both organizations operated from the bank from its opening in 1921 until it closed during the Great Depression.  Farmers State Bank closed March 21, 1933, during the Great Depression “bank holiday,” when many of the nation’s banks closed or failed. An article in the June 29, 1933, Arizona Republic said, “Payment forthwith of a 40% dividend to creditors of the closed Farmers State Bank of Scottsdale was ordered … by Judge G.A. Rodgers of the superior court, on petition of Y.C. White, state banking superintendent.”  The former bank building was used as a coffee shop in the 1930s. Owner Al Lindsey operated it as a currency exchange office and restaurant from 1943 to 1949. The Haynes operated it as The Spur café 1949 to 1950. It became the Rusty Spur Tavern in the 1950s and remains open today, storing its “liquid assets” in the former bank’s vault.  In the absence of a bank, and to help their customers strapped by the Depression, Scottsdale merchants and business owners formed the Scottsdale Credit Association in 1937.  After 26 years without a bank in Scottsdale, the Bank of Douglas opened on April 1 at 11 E. Main Street. Bank of Douglas Chairman Frank Brophy attended the opening; he had opened the bank’s first Phoenix location in 1944.  The Bank of Douglas moved into its new building on the southeast corner of Brown and Main December 17, 1954. Harold W. James Jr. was bank manager. The building was designed by Lester Byron of Phoenix

and owned by businessman and Mayor Malcolm White. The new, stand-alone bank featured a drive-up teller window, catering to America’s rekindled love of cars and anything “drive-in.” Statewide, the Bank of Douglas was renamed The Arizona Bank in August 1960 and became Security Pacific Bank in 1986. This location closed as a bank in the 1990s; the Bischoffs added two stories to the building and opened a gallery/gift shop on the street level.  Throughout the 1950s and 1960s, banks encouraged saving by offering interest-earning Vacation Club and Christmas Club accounts. They also gave children “coin folders” to accumulate nickels, dimes or quarters to get them in the savings habit. When new bank branches opened, they often gave away “incentives,” from banks to glassware — and prints of artwork displayed at the bank.  The 1950s saw many bank branches open to serve a growing and prosperous Scottsdale population. To meet demand, many opened in temporary facilities (trailers, former homes) until permanent buildings could be erected. First National Bank of Arizona opened on the southwest corner of Scottsdale Road and Main Street February 23, 1955; Vick Swanson was manager. Western Savings & Loan opened in a temporary facility on the northeast corner of Scottsdale and First Street in 1957; in 1959 Western Savings opened its new, two-story building on the same corner on June 19. Marje Peake was branch manager; Calvin Butler was the architect. The bank offered a 100-seat Scottsdale Community Room free of charge

Contact Fire Safety Tech® today and get a FREE estimate! 480.396.2500 • www.AZFireTech.com LICENSED AND INSURED. COMPLIANCE SERVICES & ASSESSMENTS CERTIFIED

Linda Smith-Maughan, CPM®, Designated Broker Linda@LosArcosRealty.net

SCOTTSDALE OFFICE FOR LEASE

504 SF Upgraded Office, Drive Up Entry 630 SF Office, All Open Area 630 SF Office, Reception, 2 Offices 792 SF Office, Drive Up Entry 1924 SF Reception, 2 Offices, Breakroom, Bullpen, Restroom, Ample Parking

Hire Us to Manage Your Building or Find Your Next Location, or Negotiate Your Lease Renewal

(480) 443-8287 “The Airpark Experts” Leasing, Management & Sales

www.losarcosrealty.net

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

REMEMBER When Opened as the Bank of Douglas in 1954, The Arizona Bank and its successor operated at Brown and Main until the 1990s, when the Bischoffs expanded the building for a gallery and gift shop. (Photo courtesy of Scottsdale Historical Society)

sociation of Nurserymen for the “oasis of greenery Valley National Bank Chair Walter Bimson, right, was a and shade” surrounding patron of the arts and added artwork from Scottsdale the bank and created artists like Francis Beaugureau, left, to the bank’s by landscape designer extensive collection, displayed at its many branches. Desmond Muirhead. (Photo courtesy of Scottsdale Historical Society)  In September 1959, the First National Bank to clubs, groups, church and other meetings. opened its third office in Scottsdale — in Highlight of the bank’s opening weekend temporary quarters at Papago Plaza on was Arizona’s first fast-draw championship, the southwest corner of McDowell and judged by Kelo Henderson, star of the “26 Scottsdale roads (and opened the perMen” television show (filmed at Cudia City manent building in 1960). First National studios on Camelback Road). The Scottsdale moved its temporary office in Paradise Chamber of Commerce moved into the Valley to a newly built bank at Scottsdale Western Savings Building, 33 S. Scottsdale and Camelback roads in October. John Road, in June, with Dave Hallstrom as Colwell was bank branch manager. The chamber manager. In the 1990s, Bandera bank commissioned Scottsdale artist Dee Flagg to sculpt a series of 17 woodcarvings restaurant located at the former bank site.  In 1958, Valley National Bank (VNB) opened a temporary branch in the former Albritten home near the southeast corner of Scottsdale and Indian School roads November 3. VNB began building a new bank building next door, in a distinctive Western style. Valley National Bank officially opened its new branch on the southeast corner of Scottsdale and Indian School Roads on May 2. The interior featured artwork by Scottsdale artist Walter Bohl. The bank gave away doll banks as a reward for opening a new account. As part of its introduction to the city, the bank hosted a Friends of the Scottsdale Public Library book sale under The First National Bank of Arizona on its Western-style portico in mid-April (and the southwest corner of Scottsdale continued to host the event for several and Main gave spectators a great view years). The bank received one of the top 10 of the 1962 Parada del Sol parade. awards in the annual industrial landscaping (Photo courtesy of Scottsdale Historical Society) competition sponsored by the American As-

40 / SCOTTSDALE AIRPARK NEWS / MAY 2021

depicting Arizona history to decorate the bank.  Banks and their chairmen became major patrons of the arts and were particularly adept at spotting new talent among Scottsdale artists. Walter Bimson, chairman of Valley National Bank, included in his collection — spread among VNB branches and in a gallery at VNB’s Downtown Phoenix location — artists with Scottsdale ties such as Francis Beaugureau, Walter Bohl, Mark Coomer, Joe Beeler Borislav Bogdanovich, George Elbert Burr, Philip Curtis, Lon Megargee, Pop Chalee, Oscar Strobel, Lotan Lotan Ruth Lotan and William Schimmel. The Arizona Bank, with the Hopi Morning Kachina as its symbol, had an extensive Kachina collection and commissioned many works of art for its branches.

REMEMBER When  The Mavericks of the Scottsdale Jaycees staged mock bank holdups as part of the Parada del Sol activities. Targets included the Arizona Bank at Brown and Main and the National Bank of Arizona at Scottsdale and Main.  Bank expansions continued throughout 1960s Scottsdale. Bank of Scottsdale opened in November 1961 at Scottsdale Road and Fifth Avenue. In 1964 Valley National Bank opened a branch on the southwest corner of Scottsdale and Shea, one of the first businesses to open at the intersection. Valley National Bank opened on the northeast corner of Scottsdale and Highland roads in a Wright-inspired building in September 1967. Bank executive and civic leader Don Ruff was its longtime branch manager. The location closed as a BankOne in the mid-1990s and was reconfigured for retail and office space. The Polk’s 1968 Business Directory listed the following banks located in Scottsdale: two Arizona Bank branches, five First National Bank of Arizona branches, National Bank, Pioneer Bank, United Bank of Arizona and five Valley National Bank branches. There was also a Guaranty Bank and Western Savings Bank.  During the 1970s, banks in Scottsdale and throughout the United States introduced automatic teller machines (ATMs) and bank credit cards (BankAmericard was among the first) and became more dependent on computers.  The Arizona Bank debuted a 10-story office tower in Scottsdale at 6900 E. Camelback in 1972.  During the 1980s, the savings and loan crisis impacted consumer confidence in certain financial institutions. In Arizona, the legislature passed a bill that paved the way for out-of-state banks to buy Arizona community banks.

A gem of midcentury modern design, this Valley National Bank branch opened on McDowell Road in the 1960s. Today it is a Chase Bank. (Photo courtesy of Scottsdale Historical Society)

 By the 1990s, when U.S. Congress took away long-standing restrictions on interstate banking, many mega-mergers took place, bringing new large banks to Scottsdale and Arizona. Banks also premiered websites and, by the early 2000s, gave customers access to accounts and transactions online.  Scottsdale bankers have been leaders in every area of community life. At least three served on city council (Jim Bruner, Myron Deibel and Linda Milhaven). At least a dozen served as president/chair of the Scottsdale Chamber of Commerce. Bankers have supported Spring Training through the Scottsdale Charros and youth via the Boys and Girls Clubs of Greater Scottsdale; helped save and restore the Little Red Schoolhouse; and supported STARS, the McDowell Sonoran Conservancy, the Friends of the Scottsdale Public Library, Rotary, Kiwanis, Scottsdale Leadership and many other groups.  Banks have created visual attractions

Gunsmoke’s Miss Kitty, second from left, and “Dirty” Al Rance, right, helped the Scottsdale Jaycees’ Mavericks stage a mock holdup of The Arizona Bank during the 1969 Parada del Sol activities. (Scottsdale Public Library photo/Scottsdale Jaycees collection)

throughout Scottsdale: from the midcentury modern Valley National Bank (now Chase Bank) gem on McDowell Road, stained glass Kachina window at Bank of America at Scottsdale and Lincoln that opened as an Arizona Bank in 1983. Whether you walk in or log in, please let your bank and banker know how much you appreciate what they do, and have done, for Scottsdale, its residents, visitors and businesses. 

WAREHOUSING & FULFILLMENT SERVICES for Small Business & Startups

Brandables.com MAY 2021 / SCOTTSDALE AIRPARK NEWS /

ADVICE fromWeiss MAY 2021 Business Horoscopes By Weiss Kelly, PMAFA ARIES 3/21-4/20 April’s social showers/storms/riots may not bring those promised May flowers until later in the month. May presents a slower yet eventful month. The colors of green (money) and gold (stock markets) dominate the first half of the month. The new moon on May 11 brings a change in perspective, regarding values, what’s worth keeping and what’s worth discarding. Expect to hear about drastic changes in travel, communications, learning and teaching. Put yourself out there. Personal Power Days: May 7, May 8, May 9 TAURUS 4/21-5/20 Happy birthday, Taurus/Gemini! Expect surprises and unexpected happenings the first week. Money will matter and some may come this month. It’s OK to indulge a bit from May 1 to May 8. Expect surprises. Real estate, rent increases, gas, food and related industries will dominate the news this month through the summer. The year’s first full moon on May 26 sets new laws and restrictions in place. Buy or sell major items before May 30. Personal Power Days: May 10, May 11 GEMINI 5/21-6/20 You won’t be lost for words this month. If you’re looking for a new job, there are plenty of opportunities out there. Circle the week of May 10. Digital has gone mainstream. You should, too. Once Mercury enters your sign on May 4, speak up and others will listen. Full moon on May 26 demands recognition. Allow yourself plenty of options if you’re planning to travel after May 24. Personal Power Days: May 12, May 13 CANCER 6/21-7/22 You, like most folks, are a little tired of the home office. Build a comfortable home and financial base to keep you content. Part of the stimulus check should go toward home improvements or a future move. Home sales/rents soar from May

1 to May 31 and beyond. The year’s first lunar moon will help us focus on the “right thing.” Midmonth, there will be COVID-19 breakthroughs. Personal Power Days: May 14, May 15, May 16 LEO 7/23-8/21 It’s time to reorganize the home office. Avoid financial surprises on May 11, the new moon. Local small businesses gain support. Sporting and cultural events will start to open. The best way to achieve your goals is through teamwork and networking. Your daily schedule could be on overload. Personal Power Days: May 18, May 19 VIRGO 8/22-9/23 Your “get-it-done” attitude pays off. As an Earth sign, you’re in for a job change. Virgos excel in the health and healing arts. The months ahead will bring rapid scientific and high-technology advancements. Midmonth, research classes. The new moon encourages you to interact with others. All work and no play equals a dull Virgo. Personal Power Days: May 20, May 21 LIBRA 9/24-10/23 Be conservative with your spending. Balance your bank account. Earth’s energy is grounding you. Compromise at work to become more successful. It’s best to arrange meetings or make presentations before May 30. May is favorable for sales agreements, correspondence and clarity. Personal Power Days: May 22, May 23 SCORPIO 10/24-11/22 There’s a bit of give and take this month. A personal financial matter may arise as you start the month. Prepare to compromise on or before the full moon on May 26. Watch your words or, better still, listen to others and sharpen your communication skills. Learn a new skill on the internet if you’re applying for a new job. Keep moving forward, Scorpio! Personal Power Days: May 24, May 25

42 / SCOTTSDALE AIRPARK NEWS / MAY 2021

SAGITTARIUS 11/23-12/21 This month marks new beginnings for you. Circle May 26, as it will be related to legal, education and sports topics. International affairs and military services will not remain the same. Slow down. Partners may conflict over values or possessions. Focus on correspondences and your day-to-day rapport. Keep up with the political jargon. Don’t get too comfy. Personal Power Days: May 26, May 27 CAPRICORN 12/22-1/19 Complete a project this month. Agreements may not be ready to be addressed. May is busy within local happenings. You’ll be free to socialize, albeit 6 feet apart. Celebrate a bit, and bank the rest. Cooperation and compromise can solve many misunderstandings this month. Others will encounter tough opposition. Personal Power Days: May 1, May 2, May 28, May 29 AQUARIUS 1/20-2/18 Keep your eyes and ears open wide this month. Reevaluate your priorities, resources, job or career. You’ll get the info you need between May 3 and May 24. Accept surprises one step at a time. These planets are friendly to you, so be friendly to them. Socialize more May 21 to May 31, and connect with friends. The news you hear around May 31 will put you in a strong position. Personal Power Days: May 3, May 4, May 30, May 31 PISCES 2/19-3/20 With Lady Luck standing beside you, entering your sun sign on May 14, Pisces will excel in the health field. High-tech and science advancements will contribute to your work this year, foreshadowing next year’s success story. May is ideal for self-care and self-learning. You’ll have an increase in earnings, even though you downsized a bit. May has a wonderful spiritual and artistic twist to it. Personal Power Days: May 14, May 16, May 18 

BUSINESS Directory

For information regarding business directory placement, call 480-898-6309 or email advertising@scottsdaleairpark.com for more details.

AIR CONDITIONING/HEATING

FIRE SAFTEY

PROPERTY MANAGEMENT

FIRE SAFETY TECH

CPI's Management portfolio consists of over 197 properties totaling more than 13.3 million square feet of office, industrial and retail space.

7595 E Gray Rd #1, Scottsdale, AZ 85260 Phone #: (480) 605-4749 Services offered: Air Conditioning, Heating, and Plumbing

Fire safety equipment, Installs, annual Maintenance, Hydro-testing and Reacton Fire Suppression. Serving Phx Metro www.azfiretech.com sales@azfiretech.com 480.396.2500

ATTORNEYS/FAMILY LAW

LOCKSMITHS

2323 West University Drive, Tempe, AZ 85281 Phone: 480-966-2301 Fax: 480-966-2307 www.cpiaz.com �

REAL ESTATE & DEVELOPERS

best law firm Divorce, Custody, Family Law 14300 N. Northsight Blvd., Suite 204 Scottsdale, AZ 85260 Phone: 480-219-2433 www.bestlawaz.com

7755 E. Redfield Rd., Suite 300 Scottsdale, AZ 85260 Phone: 480-596-9700 www.pinnaclelock.com

CLEANING

PROMOTIONAL

SPACE AVAILABLE

Hassle-free Clean up Experience Crime Scene Cleanup • Bio Hazard Cleanup Hoarder Home Cleanup We use PPE, proper chemicals, and robust processes! We help with insurance billing. 480-440-3151

Promotional Products Embroidery & Screen Printing Warehousing and Fulfillment Services for Small Business & Startups brandables.com 480-951-8882 | 888-400-5209

ASK US ABOUT YOUR AD HERE for as low as $75/mo!

Our Vision: To always be the best choice for our clients. 8777 N Gainey Center Dr, Ste 245 Scottsdale, AZ 85258 Phone: 480-966-2301 Fax: 480-348-1601 www.cpiaz.com �

480-348-0343 www.scottsdaleairpark.com

MAY 2021 / SCOTTSDALE AIRPARK NEWS /

SCOTTSDALE AirparkMap

Map Provided by ®

800-279-7654 www.maps4u.com

44 / SCOTTSDALE AIRPARK NEWS / MAY 2021

-CREATIVE I JEWEL R Y (il/i/rtee 1978

NEW SPRING AND SUMMER COLLECTIONS OUT NOW

WWW.MICHAELSCREATIVE.COM

Scottsdale - 23233 N. Pima Rd. Scottsdale, AZ. 85255 480-515-1200 Chandler - 3165 S. Alma School Rd. Chandler, AZ. 85248 480-857-9600 Ahwatukee - 4843 E. Ray Rd. Phoenix, AZ. 85044 480-598-0306