No “green shoots” yet in the Tucson housing market but there are some positives coming from the Tucson Association of Realtor’s Multiple Listing Data for May — most notably increases in the number of sales and median sales price that ate away a little bit more of the number of active listings.

There were 987 homes sold in May. Although that’s down from the 1,070 homes that were sold in May 2008, it’s the highest monthly total in nearly a year; since June 2008 when 1,069 homes were sold. That was also up 7 percent from the 923 homes that were sold in April.

The median sales price increased more than $6,000 to $170,000 from the $163,900 in April, although that’s still down nearly 16 percent from $202,000 in May 2008.

Print this story Email this story Post a Comment From Toole Avenue viewing the conceptual plan for the approved Plaza Centro development. Courtesy of Oasis Tucson ADVERTISEMENT

Average sales price in May was back up to just over $204,000 after the one-month dip in April below $200,000, the only time that had happened since February 2004.

The Multiple Listing Service says it is now tracking the number of pending sales versus inventory, which they say will signal an improving housing economy as the two numbers get closer together. They’ve been getting closer to one another each month this year, dropping another 6 percent between April and May. In May there were 1,302 pending contracts versus an inventory of 5,204 homes and in April there were 1,345 pending contracts versus 5,549 in inventory.

This year’s inventory started out with 6,753 housing units.

Downtown deal OK’d

By a 5-2 vote, the Tucson City Council approved a development agreement with Jim Campbell for Plaza Centro, one of two major development agreements in the works for the east end of downtown.

Councilwomen Karin Uhlich and Regina Romero voted against the agreement saying they weren’t sure the city needed to build another downtown parking garage right now, which is what the city is responsible to do on its end of the deal.

Campbell is planning to build 104 student housing units in two structures that would be on either side of Congress Street, part of which is on land where the old Greyhound Bus Depot was located. The plan includes more than 46,000 square feet of commercial space including bars and a gym.

Under the agreement the city has 18 months to plan for construction of an estimated $3 million parking garage, though it doesn’t have to decide if it will actually build until the planning is completed. If the city should choose not to build the garage, the agreement ends between Campbell and the city leaving Campbell to develop the property how he sees fit.

Mayor Bob Walkup defended the need for the city to look at building the parking garage noting that the project will remove what’s now being used as a surface lot east of the Rialto Theatre.

On Tuesday (June 16), the council is due to vote a second downtown development agreement. This one with the Downtown Tucson Development Company is a a proposal to develop an entertainment district that, among other things,  would bring noted restaurateur Janos Wilder back downtown.

Solon Corp expands

Solon Corporation is expanding its Tucson manufacturing operations once again, adding nearly 45,000 more square feet to the more than 100,000 square feet it already has. 

Solon was established in Tucson in January 2007 and moved Oct. 18, 2008 into its current manufacturing facilities, at 6950 S. Country Club Road near Tucson International Airport.

“The solar market in the U.S. is growing rapidly,” said Olaf Koester, president and chief executive officer of Solon Corporation.  “Tucson offers a talented workforce, a world class university and a relatively low operation costs.”

The expansion will allow Solon to increase in storage of warehoused goods to help expedite production.

Grubb & Ellis’ Robert L. Davis and William L. DiVito, both senior vice presidents, and Howard Kong, vice president and managing broker, represented both the landlord, Intercontinental Real Estate Corporation, and Solon in the lease transaction.

Based in Germany, Solon has other subsidiaries operating in Austria, Italy and Switzerland

MLS gets San Carlos data

The Tucson Association of Realtors is now sharing Multiple Listing Service data with its counterpart in San Carlos, Sonora. Through the agreement, MLS members in each city will have access to both city’s listings for clients.

Unlike the traditional MLS that includes a compensation agreement, the data share is to be used for informational purposes only and agents are not allowed use it to work outside their areas of expertise but instead are encouraged to develop referral networks.

Eren earns designations

Eren Design & Remodeling Company, 55 N. Avenida de la Vista, is now a Certified Aging in Place Specialist as well as a Certified Green Builder. Both designations are given by the National Association of Home Builders. The designations are only awarded after classroom training is tested and on the job expertise is proven.

SAHBA helps Job Corps.

The Southern Arizona Home Builders Association (SAHBA) donated $2,000 worth of training materials to the Fred G. Acosta Job Corps. The educational kits, called “Sed de Saber,” are focused on helping Hispanic students learn about career opportunities in the home building industry by developing job, communications, and safety skills. 

“Sed de Saber is based on scientifically proven methods developed and supported by the U.S. Department of Labor and U.S. Department of Education,” said SAHBA Vice President Roger Yohem. “It features a custom curriculum developed by a peer team of building industry experts through the Home Builders Institute.”

The Home Builders Institute is the workforce development arm of the National Association of Home Builders. Fred G. Acosta Job Corps is a no-cost technical career training program administered by the U.S. Department of Labor. It helps people aged 16 to 24 with career technical and academic training.

Worth noting

• Pueblo Mechanical and Controls Inc. bought an 11,500 square foot industrial shell building with a 1.13-acre adjacent lot at 6775 E. Outlook Drive from Raymond and Debra Croghan. The price was just over $1 million. The Croghans also sold an 11,550 square foot industrial building at 6737 E. Southpointe Road to an undisclosed buyer for $920,000. Robert L. Davis, senior vice president; William L. DiVito, senior vice president, and Howard Kong,  vice president and managing broker, all of Grubb & Ellis represented the buyers and seller in both transactions.

• JDK Aviation Property LLC purchased a 22,160 square foot building at 3438-3450 E 34th Street from 3450 E. 34th LLC for $698,000. The building was built in 1963. John Ash of CB Richard Ellis represented the seller.

• Maribelle Cakery & Patisserie leased 1,523 square feet of space at 2920 N. Swan Road in Plaza Palomino from SEC Plaza Palomino LLC. Amanda Signori of Bourn Partners represented the landlord and tenant.

• Krispy Kreme Doughnuts signed a lease for 1,500 square feet of space at 8260 N. Cortaro Road, Suite 112 in Arizona Pavilions in Marana from Vail Building Arts Association, LTD. Krispy Kreme plans to open by the end of the month. David Hammack of Volk Company Commercial Real Estate represented the landlord.

E-mail items for this column to jpangburn@azbiz.com. Real Estate and Construction appears weekly.