Council approves business park developer

Maricopa City Council approved an agreement Tuesday with The Boyer Company for the master planning, design and marketing of the Estrella Gin Business Park.

The Estrella Gin Business Park site is 52 acres of mostly undeveloped land and the site of a former cotton gin. It is located north of the Union Pacific Railroad tracks and west of the Acacia Crossings neighborhood.

This is part of an economic development initiative to create jobs for residents so they don’t have to commute into the metro area, where they eat lunch and shop, instead of spending their money in Maricopa.

Also, the city needs large, leasable office space for light industrial and offices to attract the attention of site selectors to bring new business to the city.

“The city’s ability to win projects is predicated on its ability to present real estate options to site selectors,” said Micah Miranda, the city’s economic development director.

“It’s our first business park – this is a huge milestone for the city,” Miranda said.

The Boyer Company, based in Salt Lake City, is one of the largest full-service, real estate development firms in the Western United States, according to its website. The firm has developed more than 250 properties in 20 states and has 30 projects totaling $500 million of development in progress.

According to the agreement, The Boyer Company would pay for the construction of the buildings on a phased-in schedule and provide the master planning and marketing of the property.

The city purchased the land in 2011 as a site for its public works fleet maintenance yard, Miranda said. It purchased 59 acres at $1.10 per square foot. A major part of the property will be used for city operations and Amtrak will be located there as well. Maricopa Fire Station 575 is also on the site.

The agreement contains an option for The Boyer Company to buy the land from the city at 75 cents a square foot once it has pre-leased at least 60 percent of a building that is at least 36,000 square feet. Boyer could purchase the land or lease it with an option to purchase, with the city’s approval.

Miranda said at the meeting the current value of the land is 62 cents a square foot.

The contract gives the developer the right to pull out of the agreement with 90-days’ written notice, but the city would retain the work the developer had completed to that date.

Vice Mayor Ed Farrell questioned whether the council had the right to sell land without voter approval. A member of the city staff said the council has the right provided the property sells for less than $500,000.