Watermark Tempe Signs High-Profile Company as First Office Tenant

Article originally posted on Phoenix Business Journal on February 7, 2019
The Watermark view from Scottsdale Road.

The Watermark Tempe, a 16-story Class A mixed use development on the north shore of Tempe Town Lake, has signed its first office tenant.

WeWork, the international coworking giant, has leased floors 10 and 11 of the speculative development. The Watermark is scheduled to complete construction in September, and WeWork plans to open at the development during the fourth quarter.

“WeWork is the premier global operator in the co-working space,” Fenix Development President David Norouzi, the developer of the Watermark, told Phoenix Business Journal. “WeWork will undoubtedly be a valuable asset to future tenants of Watermark, as they provide our other tenants the ability to grow and expand as their workforce needs shift.”

WeWork plans to have about 1,000 desks at the north Tempe development.

“Tempe is quickly becoming a home for some of the most innovative companies and brands in the world,” Nathan Lenahan, WeWork general manager of the Mountain West and Texas said in an emailed comment. “We see startups and global companies coming to the area, and we are excited to create this space where small companies and big firms can interact with each other, connect with local community, grow their business and attract top talent. We are committed to this city, and we’re just getting started.”

Tempe Mayor Mark Mitchell said WeWork’s presence will help foster the city’s entrepreneurial and startup scene.

“WeWork will give Tempe entrepreneurs the resources they need to succeed,” Mitchell said. “Fenix Development is building a truly innovative business development with Watermark. The amenities cater to the specific needs of top technology and advanced business services companies. Having WeWork as its first commercial tenant shows their commitment to helping tenants thrive.”

It hasn’t taken WeWork long to make a statement in the market. Just last month, WeWork announced its first Valley location, which will include four floors in Tower I of the Camelback Esplanade, totaling about 900 desks.

As of December 2018, WeWork had 400,000 members and operates in 400 locations in 26 countries, according to a company representative. WeWork is the largest private occupier of office space in Manhattan, London and Washington D.C., company data shows.

In October, the Watermark announced its first retail and dining tenants to sign leases at the development.

Obon Sushi + Bar + Ramen, V’s Barbershop and Dip Nail Bar will occupy space on the ground level. Obon will have the first lakefront dining patio along Tempe Town Lake.