Hospital bidding wars are alive and well for prime land in north Scottsdale. After losing a state land auction late last year, the state’s largest health system now has plans to build a hospital on another parcel nearby.
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If sewage is fun – you must be in Scottsdale.
According to a recent newsletter from Councilwoman Solange Whitehead, “Elected leaders from around the state and the governor’s office attended my ‘Building Arizona’s Energy and Water Future’ session and Scottsdale Water Executive Director Brian Biesemeyer served on the water panel.
“But the Popsicles were the real hit at the conference. Fruity, delicious and made from Scottsdale recycled waste water. Everyone was talking about the Popsicles!”
Scottsdale Water spokeswoman Jessica Lema confirmed Biesemeyer moderated a water panel hosted by the Arizona League of Cities and Towns Aug. 30, adding:
“Popsicles made with recycled water from Scottsdale’s Advanced Water Treatment Facility were served after the discussion.”
The panel’s theme was “Water: What’s Happening – And What’s Next.”
In North Scottsdale, what’s happening is construction – of sewer lines.
And what’s next is Optima McDowell Mountain Village, which plans 10 story buildings that will house 1,330 luxury apartment and condo units on North Scottsdale Road.
On May 4, the Development Review Board unanimously approved the Optima development on desert land from Mayo Boulevard to the Loop 101.
City Council narrowly approved the development in November.
The mammoth Optima project, projected to cost $1 billion to build, was opposed by council members Kathy Littlefield, Betty Janik and Solange Whitehead.
But in the “no hard feelings” department, Littlefield, Janik and Whitehead joined the other four council members in approving an infrastructure reimbursement agreement with Optima McDowell Mountain Village.
Biesemeyer gave the presentation on the sewer build-out across undeveloped land between Scottsdale Road and the TPC Golf Course.
He stressed Optima will pay for the construction – with “reimbursement from the city for portions that are not required for Optima.”
Sewer development fee funds will pay for part of the project, with future developers to be charged “payback” for the sewer lines they will use.
The new sewer pipes will allow for even more development south of the 101 between Pima Road and Scottsdale Road.
Optima is developing 20 acres at 18777 N. Scottsdale Road, just off the freeway.
The rezoning last fall included a development agreement on sewer infrastructure.
After poring over results of a commissioned study, the city “concluded that the sewer infrastructure capacity needed to serve all of the existing and future development in the area would need to be significantly increased beyond what was planned,” according to the agenda background on the Optima agreement.
Instead of having the developer put in its minimum sewer pipe requirements, the city asked Optima to construct “larger diameter sewer mains which are sized to handle future projected flows for development in the area.”
The Progress asked Biesemeyer how much the whole new system will cost.
“An estimate of construction cost will be developed as design nears completion,” he replied. “Optima will be paying up to 26% of design and construction costs.”
Biesemeyer was asked if the sewer lines will extend as far as the proposed Banner hospital and Axon campus projects on the west and east sides of Hayden Road south of the Loop 101.
“The sewer would serve the proposed Banner site but local sewer line would need to be constructed by the developer,” he said.
“Axon would also need to construct local sewers but is able to connect to an existing sewer on Hayden Road.”
According to Biesemeyer, construction on the Optima-and-others sewer line “will be completed in phases to minimize traffic and community disruptions.”
He expects construction on the North Scottsdale sewer project to begin in the spring and finish a year-and-a-half later.
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Award-winning real estate firm Optima is setting a new benchmark for sustainable luxury with its $1 billion mixed-use community Optima McDowell Mountain. Featuring meticulously designed residences, cutting-edge green building techniques and open space, the new community is all about modern desert living.
Designed by internationally acclaimed architects David Hovey Sr., FAIA, and David Hovey Jr., AIA, Optima McDowell Mountain is home to the most extensive private rainwater harvesting system in the U.S. This revolutionary system collects rainwater for on-site irrigation and reduces residential water consumption.
Through a partnership with the City of Scottsdale, Optima has secured 2,750 acre-feet of available water – equivalent to 30 years of residential and commercial occupancy – ensuring a reliable supply for the city.
“Optima McDowell Mountain is the culmination of everything we’ve worked toward over the past four decades regarding sustainability, architecture and community integration,” Hovey Jr. said.
The community will also be Scottsdale’s first development built under the newly adopted International Energy Conservation Code (IECC) and International Green Construction Code (IgCC). The project reflects decades of collaboration between Optima President David Hovey Jr., AIA, and Anthony Floyd, AIA, who founded Scottsdale’s Green Building Program in 1998.
“From the largest private rainwater harvesting system in the country to 75 percent open space at grade level, paired with architecture that embraces and celebrates the beauty of the Sonoran landscape, we believe this project will set a precedent for sustainable design and architecture in the Valley,” Hovey Jr. said.
Construction is underway on the first residential tower, and the finished project will span 22 acres on the southeast corner of Scottsdale Road and the Loop 101 Freeway. Optima McDowell Mountain will offer 1,330 condos and apartments and 36,000 square feet of commercial, retail, and restaurant space.
Each of Optima’s six concrete-framed, eight-story buildings has been uniquely refined and has its own amenities, including fitness centers, basketball and pickleball courts, and clubhouses. Residents will also enjoy access to six rooftop decks that will feature 50-meter Olympic-length swimming pools, running tracks, and outdoor fireplaces.
The first tower is expected to begin selling this spring and will welcome move-ins in September. For more information, visit optimamcdowellmountain.com.
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Awards & Accolades
1. The Trailhead, a 40-acre mixed-use development at 83rd Avenue and Happy Valley Road in Peoria, was named Retail Project of the Year by the Arizona chapter of NAIOP. Developed by Pederson Group, with Butler Design Group as the designer and Campbell Development as the contractor, the $100M-plus project includes 140KSF of retail anchored by a 63KSF Safeway, a 350-unit multifamily complex and a church. The site also features bike paths, pedestrian links and gathering spaces designed to connect with nearby neighborhoods and Sunrise Mountain Preserve.
Groundbreakings
2. Legacy Partners has broken ground on Olea Scottsdale, a 433-unit, three-story rental community at 19550 N. 76th St. in North Scottsdale. Plans call for 325 garden-style apartments and 108 townhomes across 38 buildings on 18 acres at the NWC of Legacy Blvd. and Miller Road. Designed by KTGY, the project is slated for phased completion in 2027.
3. Google Fiber has begun building out in the Warner Ranch neighborhood of Tempe. The 85KLF project is being coordinated in conjunction with road repairs to minimize disruptions and resident impacts. The project was issued a permit under Tempe’s new Fiber License and Right-of-Way Use agreement, which was established in Q4 2024.
4. Mountainside Fitness has broken ground on its second Queen Creek location. The 42KSF facility will open in December. Mountainside is also planning locations in Gilbert’s Morrison Ranch and Peoria’s Vistancia communities.
Progress Reports
5. Optima has begun pre-leasing 7220, the first rental tower at its $1B Optima McDowell Mountain development in north Scottsdale. The eight-story, 210-unit building is expected to open in September. A second debut tower, 7230, which includes 196 condominium units, launched sales in May. The 22-acre community at Scottsdale Road and Loop 101 will include six residential towers, 36KSF of retail and restaurant space, and a 10-acre central park.
6. Casino Del Sol and the Pascua Yaqui Tribe marked the topping out of their new 163KSF property, located just off I-10 in Tucson, with a beam signing ceremony. The project includes a 52.3KSF gaming floor, multiple dining options and a four-level parking garage. Designed by Yaeger Architecture, the development broke ground in January and is expected to be completed by November 2026.
Completions
7. Wexford Science & Technology has opened pre-leasing for 800 PBC, a 200KSF lab and innovation building at 800 N. 5th St. in downtown Phoenix. Designed to anchor the next phase of the Phoenix Bioscience Core, the project includes lab space, hospitality-style lobbies, conferencing areas and outdoor collaboration space. It follows Wexford’s earlier 850 PBC facility and is being leased by Wexford and Cushman & Wakefield.
8. Construction is complete on The Flats at Jasper, the first Build-to-Rent community in Prescott Valley, located at 4901 N. Jasper Pkwy. Developed by Atlantic Jasper and built by Mosaic, the horizontal rental neighborhood comprises the first 240 rental homes in the Jasper master-planned community. The 26.1-acre project offers cottage-style units that range between 760SF to 1KSF. Mosaic has now completed three communities totaling nearly 750 homes in Jasper.
9. NexMetro Communities has opened Avilla Vista Norte, a 191-unit Build-to-Rent community in north Phoenix near Interstate 17. The gated development offers one-, two- and three-bedroom homes with private backyards, front porches and available garages. It is NexMetro’s 22nd Valley community and the fourth to open in the past year.
10. Sun State Builders announced completion of Findlay Hyundai Prescott, a 35KSF automotive dealership located at 1315 Auto Park Dr. The $11.5M design-bid-build project features a four-car showroom, customer lounge, enclosed service drive, 17 full-service bays, two new vehicle delivery bays, an automated car wash and a large parts storage area.
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Optima Communities introduced a new collection of condominium floor plans for the 7230 building at Optima McDowell Mountain, its mixed-use development in North Scottsdale.
The developer’s new Signature Collection includes four three-bedroom homes up to 3,283 square feet in size. Luxury residences feature 10-foot ceilings, two private terraces, floor-to-ceiling windows, walk-in closets, custom cabinetry and luxury kitchens with Sub-Zero and Wolf appliances and walk-in pantries.
Pricing for the collection ranges from $2.75 million to over $3.295 million.
“The Signature Collection reflects a natural evolution of how people want to live today,” David Hovey Jr., president of Optima, told Phoenix Agent. “We saw early demand from buyers who were combining residences to create larger, more personalized homes, which signaled a clear desire for greater scale without giving up the convenience of a lock-and-leave lifestyle. In response, we designed homes that feel expansive and highly tailored, while still offering the benefits of a connected, amenity-rich community.”
Upon completion, the 22-acre Optima McDowell Mountain community will feature 1,300 residences across six eight-story buildings, with a mix of for-rent and for-sale options available. Each building will feature amenities like an Olympic-sized pool, running track, fitness center, pickleball courts and an outdoor golfing green.
Plans for the community also include the largest private rainwater harvesting system in the country.
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Optima has locked up all the needed approvals and will start work on its one billion dollar mixed-use community called Optima McDowell Mountain Village.
The project, located at Scottsdale Road and the Loop 101 Freeway will include six concrete-framed, eight-story buildings that will consist of 1,330 luxury residences and 36,000 square feet of commercial and retail space. The development will be a mix of condominiums and apartments.
Each of the six buildings will include a rooftop deck with an Olympic-length swimming pool; a sauna, spa, and cold plunge and a running track that will follow the perimeter of the roof. Indoor amenities consist of a fitness center and yoga studio that look out over the lushly landscaped courtyard; a sauna and steam room; a residents’ club with game room and theater; an indoor basketball and pickleball court; an outdoor pickleball arena; a golf simulator and an outdoor putting/chipping area.
Optima McDowell Mountain Village is putting an emphasis on sustainability, including rainwater harvesting and solar panels liberally scattered throughout the project.
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President, chief operating officer and principal architect, Optima
David Hovey Jr.’s passion for sustainability runs in the family. “My parents started doing green roofs back in the 1980s,” the architect says, referring to Eileen and David Hovey Sr., who founded Optima in 1978. Hovey, who joined the firm right after earning his masters degree in architecture, says sustainability is a driving force at Optima. “It’s a design approach that keeps the people and the environment at the forefront,” he says. The company’s latest project, Scottsdale’s Optima McDowell Mountain Village, will be the first residential development in the Southwest to be built under the International Green Construction and International Energy Conservation codes, and will have the nation’s largest private rainwater harvesting system. And, in keeping with the firm’s mission, it will make heavy use of biophilic design. “Biophilic is a trendy term right now, but it’s simply about connection to nature,” Hovey says. “So, green roofs, floor-to-ceiling glass, terraces, our signature vertical landscaping—those are all biophilic design.”
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Award-winning real estate development firm, Optima is partnering with Mitsui Fudosan America, Inc. for the development of the first building within its newest Arizona residential development, Optima McDowell Mountain, located on 22-acres on the southeast corner of Scottsdale Road and the Loop 101 Freeway in North Scottsdale.
The first building will consist of 210 rental residences, which just broke ground this month and is located on the southwest corner of the site. The overall development will comprise six, eight-story apartment and condominium buildings that will include 1,330 luxury residences and 36,000 square feet of commercial and retail space.
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Local development and design studio Optima has announced the six-tower residential McDowell Mountain development in Arizona, designed to harvest up to 210,000 gallons of rainwater in an underground vault.
Currently under construction in North Scottsdale, McDowell Mountain will contain six, eight-storey residential buildings clustered around a 10-acre yard.
Renders show the buildings clad in brown-tinted glass with plants cascading off balconies. The buildings are mainly rectangular, although certain sections jut out towards the central green space to portion off the large central space into more discrete plazas.
The buildings will be elevated on pillars, with programming such as dining and seating areas pictured underneath. Roofs will be landscaped with trees and low-lying bushes, as is the large, central yard.
The concrete-framed residential buildings will contain 1,330 condominiums, as well as a slew of outdoor amenities such as Olympic-length swimming rooftop pools, running tracks and pickleball courts.
According to Optima, the development is the “next evolution in environmentally friendly, state-of-the-art, all-inclusive residences” and includes a number of sustainable strategies, such as rooftop solar panels, high-efficiency heating and cooling and direct connections to surrounding bike paths.
The development’s irrigation system will also be powered by a private rainwater harvesting system, which is planned to be the “largest in the US” according to the studio.
“Home to the largest private rainwater harvesting system in the US, the project is designed to collect rainwater for all on-site irrigation and reduce residential and commercial water consumption,” said the team.
Although Optima has designed and built three other similar residential developments in Scottsdale, this will be the first to incorporate such a large rainwater harvesting system.
According to Optima architect David Hovey Jr, who designed the project with David Hovey Sr, the harvesting system was incorporated into the design while Scottsdale was undergoing a drought.
The retention system was designed as part of a deal to enable the development, along with aquaphor credits purchased by the developer for the city.
“There are two water concepts that we gave to the city as part of zoning,” Hovey Jr told Dezeen. “One was that we actually just gave [water] to [the city], and then we also put the tank on site, which handles all of our irrigation.”
“For this particular development, this water solution came from the fact that we were in the middle of a drought. It really pushed us to think creatively about how we can get the elected officials who are making the decision on this project comfortable with another 1,330 units.”
Water rights in the desert landscape of the American Southwest are complicated, as decades-long political battles have ensued over its main water source, the Colorado River.
The water body has been divided into several basins, which provide commercial, residential and agricultural water to surrounding cities and towns.
These municipalities each have their own regulations regarding water rights, and as such, developers such as Optima address these issues using different approaches.
“I was really happy with the way the city was able to listen to us and to come up with a creative solution to enable housing to keep up with the population growth that we’re having out here, [but] have a water sustainable solution,” said Hovey Jr. ”
McDowell Mountain is currently in phase one of construction, with the first tower set to open in Fall 2025 for move-ins.
Elsewhere in Arizona, Jones Studio has designed an educational centre that will highlight the “preciousness” of water in the state, and Dig Studio and Lake Flato revamped the Scottsdale Civic Plaza.
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Optima, a luxury real estate developer, has launched sales for the first condominium tower at its $1 billion Optima McDowell Mountain community in North Scottsdale, marking the company’s return to Arizona’s for-sale residential market after a four-year hiatus.
Located on a 22-acre site at Scottsdale Road and Loop 101, the community had already generated nearly $27 million in early reservations as of mid-June, reflecting strong demand for the amenity-rich and architecturally distinctive homes.
The debut tower, named 7230, will include 196 luxury condominiums ranging from 728 to 2,204 square feet. Floor plans will include one-, two- and three-bedroom options, with starting prices estimated in the $600,000s. Residences will feature floor-to-ceiling glass, landscaped private terraces,
smart-home integration and designer kitchens. Buyers will have the option to personalize finishes or combine units into larger custom residences—a feature that has driven more than 60% of early reservations.
“This is a significant milestone for Optima,” said David Hovey Jr., AIA, president of Optima. “We’re bringing everything we’ve learned over the past four decades into this new community.”
The full development will include six eight-story towers featuring a mix of for-sale condominiums and rental apartments, along with 36,000 square feet of retail and dining space. Approximately 75% of the site—about 16 acres—will be dedicated to open space, including landscaped areas, walking
and biking trails, and a 10-acre central park.
Each building will offer roughly 1.5 acres of rooftop and ground-level amenities. The 7230 tower will include a Sky Deck with panoramic views of the McDowell Mountains, a 50-meter heated lap pool, rooftop running track, spa, saunas, fire pits and indoor-outdoor entertainment areas. Additional
amenities will include a fitness center, pickleball and bocce courts, golf simulator, movie theater, coworking spaces, pet spa and children’s play areas.
The community also embraces sustainability with what is expected to be the nation’s largest private rainwater harvesting system, capable of storing 210,000 gallons for irrigation. It will be the first project in Scottsdale built under the new International Energy Conservation Code and Green
Construction Code. Additional green features include solar panels, self-irrigating vertical gardens, 100% underground parking to reduce surface heat, and electric vehicle charging stations.
The first apartment tower is expected to open in fall 2025, with the condominium tower scheduled to follow in summer 2027. The Optima McDowell Mountain Sales Gallery is open by appointment.
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