By Mike Sunnucks | Rose Law Group Reporter
The city of Phoenix could again be looking at the future of the South Building of the Phoenix Convention Center.
That could include new development on the downtown Convention Center property.
Phoenix City Council members Michael Nowakowski and Deb Stark brought up potential redevelopment of the 9.27-acre South Building site at city meeting this week.
Stark said she has been approached by developers about the site which bounds is located at Washington and Jefferson Streets from 3rd Street to 5th Street.
Nowakowski said the city could look at public-private partnership for the site that keep convention space there but could also potentially bring a new high-rise development.
The site is in an Opportunity Zone which offers federal tax breaks for real estate developments. Those were part of President Donald Trump’s tax cuts.
The South Building of the Phoenix Convention Center generates a $1 million profit annually, according to a new analysis by city officials.
City officials also said a long-term planned underground connection between the South Building and new parts of the Phoenix Convention Center won’t be happening because of the need for a new shoring wall at the downtown complex.
The South Building is the oldest part of the Phoenix Convention Center. The 286,000-square-foot south hall opened in 1985 and most recently went through an $18.5 million renovation in 2008.
The South Building gets used 218 days a year via 86 events. That generates $2 million in revenue.
The city spends $1 million to operate the building, according to a presentation this week to the Phoenix City Council’s Planning and Economic Development Subcommittee.
The CityScape development a few blocks away generates $6.5 million in tax revenue for the city, according to Phoenix officials.
The South Building is mostly used for local events such as graduations and religious events. Newer parts of the Phoenix Convention Center book national groups.
The South Building was once potentially in the mix for a new downtown arena.
Instead, Talking Stick Resort Arena is being renovated by the Phoenix Suns and city.
