Oakwood Homes has withdrawn from the $850 million Metrocenter redevelopment project, with a replacement builder expected to be named next week.
The Denver-based homebuilder, which was selected as the exclusive homebuilder at The Metropolitan last fall, notified the master developer about a month ago of its plans to withdraw from the project.
“After careful consideration, we made the decision not to move forward as the residential builder at The Metropolitan in Phoenix,” Michael Fraley, Arizona division president for Oakwood Homes, told the Business Journal.
“We made this decision early in the process and on amicable terms to give the development team time to identify a new residential partner,” Fraley said. “We value the collaboration and appreciate the opportunity to have been part of the project’s early vision.”
Demolition of the former Metrocenter mall was completed in 2025. The Metropolitan is set to feature more than 100,000 square feet of retail space surrounded by somewhere between 1,100 and 1,200 residential units, including apartments and townhomes, Fraley said.
per Trillium Management president Kenneth Losch.A swanky, landmark hotel in north Phoenix that's been shuttered for several years will get new life as "attainable luxury" apartments near the plannedMetrocenter mall redevelopment.
Why it matters: That area of north Phoenix is in the midst of a massive transformation and the redevelopment of the Sheraton Phoenix Crescent will add to the area's renewal.
The big picture: Foundation 8, a partnership between Trillium Management and Gia Hospitality, plans to convert the hotel into an apartment complex called The Crescent, per Trillium president Kenneth Losch.
State of play: The $120 million project will blend "high‑quality residential living with resort‑style amenities at rental rates accessible to working professionals."
Losch told Axios that the complex will also accept renters with past credit problems that have since been resolved.
Zoom in: The complex is slated to have 258 studio, one-bedroom and two-bedroom apartments in the former hotel and another 350-plus units in three smaller buildings that won't block views from the former Sheraton.
The developers plan to keep the hotel building structurally intact but will repaint it with new colors, Losch said.
He said the first phase, which will only include the hotel conversion, is expected to be completed in 12-18 months.
Zoom out: Losch said he and his partners look for projects that have "tailwind," meaning "the demand is moving to a new level in the area" due to improving market conditions.
The big picture: Foundation 8, a partnership between Trillium Management and Gia Hospitality, plans to convert the hotel into an apartment complex called The Crescent, per Trillium president Kenneth Losch.
The intrigue: The apartment plans aren't set in stone, and the developers left open the possibility that the building could once again become a full-service hotel if there's demand from someone like TSCM or its suppliers.
Yes, but: That would only happen under the right circumstances that would have to occur quickly, Losch said.
Catch up quick: The hotel has been closed since January 2023 due to an electrical fire.
Flashback: The Sheraton Phoenix Crescent was built by Charles Keating's American Continental Corporation and opened in 1986.
American Continental declared bankruptcy in 1989 after the infamous collapse of Keating's Lincoln Savings and Loan Association, and the federal government seized the Sheraton Phoenix Crescent later that year.
The 64-acre project is designed to transform the former mall site into a walkable urban village that integrates light rail access with housing, entertainment, dining and retail. (File graphics/DigitalFreePress)
Concord Wilshire Capital has completed demolition of the former Metrocenter Mall and named Oakwood Homes as the exclusive residential builder for The Metropolitan, an $850 million mixed-use development in Phoenix.
The 64-acre project is designed to transform the former mall site into a walkable urban village that integrates light rail access with housing, entertainment, dining and retail, according to a press release.
“We are pleased to announce that we have selected Oakwood Homes, a division of Clayton Homes and a subsidiary of Berkshire Hathaway, as our exclusive residential builder and partner for The Metropolitan project,” said Nate Sirang, president of Concord Wilshire, in a prepared statement. “Their values, resources and design flexibility align with our goals and the needs of today’s housing market.”
Construction is scheduled to begin in April 2026 for three of the five planned residential communities, with the remaining two and the retail district starting in April 2027. Planned residential communities include:
Terra Court: 144 townhomes near the light rail, priced from the low $400,000s. All units have been pre-sold.
Luna Villas: 314 townhomes starting in the low $500,000s. Half of the units have been pre-sold.
Levante Apartments: A 350-unit multifamily project developed by Concord Wilshire and Hines, also fully pre-sold. A shared parking structure will serve both the apartments and retail center.
Brava: 290 premium townhomes, with construction beginning in April 2027 and prices starting in the low $600,000s.
“Oakwood Homes is thrilled to partner with Concord Wilshire in constructing the residential townhome communities at The Metropolitan,” said Ryan Smith, chief operating officer of Oakwood Homes. “The communities will feature a blend of Spanish Colonial and Contemporary Mediterranean design elements. We look forward to delivering the finished townhomes efficiently.”
Diversified Partners, a Scottsdale-based commercial and retail real estate firm, is leading development of The Loop at The Metropolitan, a retail and entertainment district. The Loop will include 116,000 square feet of boutique retail, rooftop restaurants, an event center, park plaza, live music venues, a splash pad and a weekly farmers market. It will also feature The Track at the Loop, a landscaped pedestrian and bike pathway connecting the development to nearby transit lines.
“The Loop will be where The Metropolitan comes to life,” said Walt Brown, CEO of Diversified Partners. “It’s not just about shopping or dining—it’s about creating a sense of place where people want to be.”
The project is led by Concord Wilshire in partnership with TLG Investment Partners, a Fort Lauderdale-based firm led by Leland Pillsbury and Christopher Nieberding, and CDS International Holdings, a family office led by Bill Milmoe.
Phoenix’s most famous mall is now a pile of rubble. After almost a year of work, demolition of Metrocenter is complete, though the site won’t stay vacant for long. The 64.2-acre property near Interstate 17 and Dunlap Avenue will become The Metropolitan, the centerpiece of the Phoenix Metrocenter redevelopment.
The $850 million mixed-use project promises a “walkable urban village” with housing, dining, entertainment, office space and retail. Construction is slated to begin in early 2026. Once complete, the project will reinvent the once-blighted site into a new “crown jewel” of Phoenix, according to developers.
The Metropolitan will bring homes, shops and restaurants together in one dense, urban-style area. It’s designed as a place to live, work and play within walking distance. The project will also include rooftop hangouts, pedestrian pathways, public gathering spots and access to transit. Walkability is the goal.
And for longtime locals, a nod to Metrocenter’s past will be baked into the development’s DNA.
Retail spaces at The Loop, which will surround The Metropolitan.
Phoenix IG, LLC
Metrocenter’s exit and The Metropolitan’s entrance
Once upon a time, Metrocenter was Phoenix’s most popular shopping destination. The 1.4-million-square-foot mall opened in 1973 and served generations of locals. As Phoenix New Times stated in 2020, Metrocenter was “everyone’s favorite west side mall” for most of its 47-year run. It didn’t last, though.
Around the turn of the millennium, Metrocenter was in serious decline. By 2019, it had become a shadow of its former self and closed the following year during the pandemic.
Florida-based developers Concord Wilshire Capital purchased the property in 2023, planning to transform it into The Metropolitan. Demolition began in late 2024.
Most of the mall is now dust and rubble, with only the structure of onetime anchor stores JCPenney and Sears remaining. JCPenney currently houses a self-storage business, while the former Sears will torn down at a later date.
Housing at one of The Metropolitan’s three residential neighborhoods.
Phoenix IG, LLC
A ‘crown jewel’ for Phoenix
The Metropolitan isn’t shy about its ambitions: housing, retail, dining and entertainment all jammed into one sprawling project.
Its centerpiece will be The Loop, a 140,000-square-foot retail and entertainment hub. The development will be oval-shaped, an indirect nod to Metrocenter’s design. Amenities will include boutique shops, rooftop restaurants, music venues and a weekly farmers market.
Surrounding The Loop are three distinct residential neighborhoods: Terra Court, Brava Gardens and Luna Villas. Together, they will include approximately 1,200 townhomes, blending modern design with community-focused amenities. There’s also Levante Apartments, a 350-unit complex with modern amenities. Housing includes a mix of rental and for-sale options.
An artist’s rendering of the Track at The Loop, a pedestrian and cycling path that connects to the adjacent Thelda Williams Transit Center.
Phoenix IG, LLC
The Metropolitan will connect with the adjacent Thelda Williams Transit Center through The Track at the Loop, a landscaped pedestrian and bike pathway encircling the development. According to Concord Wilshire, the design promotes walkability and access to public transportation.
While The Metropolitan won’t offer a hockey rink or arcades like Metrocenter in its heyday, the development will include recreation. An amenity deck above a parking garage will include features like pickleball courts and a swimming pool.
Here’s a look at more artist’s rendering of The Metropolitan.
A rooftop deck with swimming pools and recreation facilities.
Phoenix IG, LLC
One of several dining options that will be available at The Metropolitan.
Phoenix IG, LLC
The Metropolitan will include an event space for residents.
Phoenix IG, LLC
An artist’s rendering of a dog park at The Metropolitan in Phoenix.
Phoenix IG, LLC
An artist’s rendering of a possible brewpub at The Metropolitan in Phoenix.
Phoenix IG, LLC
An artist’s rendering of one of the proposed housing units at The Metropolitan.
The Metrocenter has been demolished, marking the end of one era and the beginning of a new one. Major changes are happening at the site as developers prepare to transform the property. FOX 10's Dominique Newland has a preview.
The Metropolitan is a new, up-and-coming urban village planned in Phoenix where the former Metrocenter Mall once stood. It will be accompanied by a retail plaza park called The Loop at The Metropolitan.
The development is a pedestrian-friendly, mixed-use project with housing, shopping, dining, parks and rooftop amenities. It connects to the Valley Metro light rail service, which can transport riders to downtown, the East Valley and eventually, south Phoenix.
Here's what you need to know.
Where Metropolitan and The Loop are located
The 68-acre project is at Interstate 17 and Peoria Avenue, where Metrocenter Mall is being demolished. Demolition began Nov. 17.
It connects to the Thelda Williams Transit Center, where riders can hop on a Valley Metro bus or light rail. The light rail connects to downtown and the East valley. The south-central extension into south Phoenix is slated to open in 2025.
The project is also near Castles N' Coasters, a Phoenix amusement park that opened in 1976.
What kind of housing will there be?
As of November 2024, The Metropolitan is slated to include roughly 1,200 townhomes across three communities:
Terra Court
Brava Gardens
Luna Villas
Terra Court is the entry-level community, with Luna Villas being a step up with shaded patio, and Brava Gardens offering upgraded finishes, larger floor plans and expanded amenities.
Betts said the plan currently estimates about 1,200 townhouses on the 68 acres but could include apartments in the future. Some townhomes will be available for rent and some for purchase.
What's the price point to live at The Metropolitan?
Prices for townhomes are planned to start in the low $ 400,000s and $ 500,000s, according to Steve Betts, senior director for Concord Wilshire, one of the groups partnering to redevelop the mall.
The Loop: What's coming to the retail plaza?
The Loop will include shops, restaurants, bars, parks, a splash pad, an outdoor entertainment venue, a rooftop restaurant and rooftop amenities. The walkable plaza will have an entry point at the Thelda Williams Transit Center.
Developers of the project say the community will focus on walkability and public transit, plus connectivity between the retail plaza and residential communities.
The Loop will emulate an arts and dining district. Live music programming is coming to the outside entertainment venue, as well as weekend Farmers Markets.
Who the development is planned for?
Anyone is welcome, but developers and city leaders have young families, empty nesters and working professionals in mind.
Phoenix's Economic Development Director Christine Mackay said she envisions The Metropolitan as the go-to destination for people from south Phoenix and north Phoenix to meet up.
Residents living at the new development will have easy access to work in either downtown or north Phoenix, where TSMC is bringing a slew of new employment opportunities, Mackay said.
When's the development opening?
Betts, senior director for Concord Wilshire, one of the groups partnering to redevelop the mall, said it's possible the project comes together in five to seven years. That puts it sometime between 2030 and 2032. The schedule looks like this
2025: Demolition, including he removal of underground infrastructure.
2026: Putting in new infrastructure, such as streets, water and sewer, should take another year.
2027-2032: Vertical construction of the retail and residential components.
Who's building it?
Three groups out of Florida − Concord Wilshire Capital, TLG Investment Partners and Carl DeSantis’ CDS International Holdings Inc. − bought the site and are partnering with Hines in the $850 million redevelopment.
Taylor Seely covers Phoenix for The Arizona Republic / azcentral.com. Reach her at tseely@arizonarepublic.com or by phone at 480-476-6116.
