This month's issue of Monocle magazine is a special edition focused on property. And that's because this month was also the annual MIPIM festival in Cannes, which is apparently the largest real estate boondoggle, I mean conference, in the world.
One of the development projects that is featured in the special is Culdesac Tempe (which is located just east of Phoenix). This is a development that has received a lot of press over the years, including here on this blog, as it was developed as a car-free neighborhood in a city region known for the opposite.
But to be fair, it does have some parking.
There are 150 parking spaces (all surface) for 760 homes. So a parking ratio of just under 0.20 spaces per suite. This is still a remarkably low figure compared to what I would expect in Phoenix, which would be something closer to 1 to 1. I'd be curious to know how it's leasing/performing.
The entire development was also designed to be responsive to Arizona's climate. The buildings are close together so they shadow the circulation spaces, and no asphalt was used anywhere in the project in order to minimize heat retention. The architect for the project, Dan Parolek, refers to this as "desert responsive urbanism."
I'd love to visit one day, but until then, there's YouTube. Here's a full walkthrough by Kirsten Dirksen.
We have spoken before about how walkable urban communities punch above their weight. In the US, only about 1.2% of land is, on average, designed and built for walkability. And yet, walkable neighborhoods in the top 35 metro areas account for about 19.1% of total US real GDP.
At the same time, because walkable communities are a rarified commodity, they usually come at a premium. According to some sources, it's to the tune of 30-40% when you look at home prices and rental rates. This again suggests that humans actually like and want this type of urbanism.
Which is probably why there's a growing interest in building more of it. Here's a recent article from Bloomberg CityLab and here's a photo of Culdesac's new completely car-free community under construction in Tempe, Arizona (this doesn't look like the Arizona I know):
But in addition to just giving people more of what they want, there are also real economic benefits to stripping out parking and to overall more compact development. Charlotte-based Space Craft is another developer focused on car-light and transit-oriented apartments, and they have seemingly managed to make their projects more affordable as a result:
“Our product offered lower rents to residents, $100 to $200 below our competitors, and was the best product in the market because we were able to reinvest some of the savings from parking,” said [Harrison] Tucker, who sees walkable urban neighborhoods becoming their own real estate investment class. “The economic case was just very strong.”
This also flies in the face of the common argument that developers will always profit maximize and charge whatever the market will bear for their spaces. So why even bother trying to make it easier and cheaper to build? But this is not true! Lower development costs, as we see here, can and will translate into lower rents and higher quality buildings.
I also agree with Tucker that we will see walkable urban neighborhoods, and their associated building typologies, become an important real estate asset class. For all of the reasons that we talk about on this blog, this is where our cities are headed.
However, it's going to take some time. I like the metaphor (mentioned in the above article) that, right now, we are creating "walkable archipelagos" or walkable islands in seas of cars. With the right connectivity (transit, micromobility, and so on), these islands can do just fine. But over time, I suspect we'll see a lot more land reclamation. Good.
I was on a panel last month with Jamie Miller, director of biomimicry at B+H Architects, and he remined me just how much I am fascinated by the use of biomimicry in architecture and engineering. Nature is pretty impressive and I think there's a lot that we can learn from her.
Here is a recently completed example of what I'm talking about.
The project is the new Pinal County Attorney's Office in Florence, Arizona (designed by DLR Group). What the team did here was try and emulate the skin of the saguaro cactus. That ultimately translated into vertical self-shading fins on the envelope of the building.
Here's what that looks like (via DLR Group):
Here is some evidence suggesting that the fins are truly helping performance (via Urbanland):
And here is the explanation for why it works and why nature does this (also via Urbanland):
Sit in front of a saguaro cactus for an hour and you will see the way it protects itself and thrives in the intense desert heat. Its vertical fins provide continuous self-shading and redistribution of heat. This ability to self-shade breaks sunlight up into smaller areas that shift continually, preventing any one area of the cactus skin from overheating. This adaptation not only makes the saguaro viable, but also gives it a beautiful and distinct character. Creating a 3-D computer-generated model of a saguaro cactus and using a daylighting simulation model confirmed that no part of the plant received more than 15 to 20 minutes of direct sun at any one time, avoiding the possibility of sunburn.
How cool.