Developer to turn vacant Tempe offices into industrial site Article originally posted on Phoenix Business Journal on February 6, 2026 A developer is a step closer to turning Tempe offices into an industrial site designed to attract advanced manufacturing jobs. Tempe City Council on Feb. 6 unanimously approved a resolution for a general plan land use and residential map amendment, and also adopted an ordinance returning the zoning to a general industrial district. The 25-acre site at 2750 S. Priest Drive was previously approved by Council in 2023 to be rezoned to mixed-use to allow for the construction of a five-story residential development with 566 units. However, those plans fell through, so the zoning needed to be changed for the new project, according to a letter from applicant Panattoni Development Company Inc. Panattoni has proposed redeveloping nearly the entire site into “high-quality industrial buildings” with the idea of attracting advanced manufacturing jobs, including in the semiconductor industry. The commercial real estate company is being represented by Gammage & Burnham. “The existing office buildings, which no longer meet the needs of today’s workforce, represent an underuse of a property in a highly visible and employment-intensive area,” the letter says. Panattoni is based in Irvine, California, with key offices in Newport Beach and a total of 69 offices across the country, Canada and Europe. Panattoni project includes a pair of one-story buildings The company’s vision is to build a pair of one-story industrial buildings; about 354,837 square feet of warehouse, industrial and manufacturing space; 88,714 square feet of office space, and 373 parking spaces within a parking courtyard. The current three-story parking garage off Fairmont Drive will remain. These buildings will replace the existing six office buildings. Find Complete Article Here: https://www.bizjournals.com/phoenix/news/2026/02/06/tempe-industrial-office-manufacturing.html?cx_testId=40&cx_testVariant=cx_9&cx_artPos=2#cxrecs_s