Panattoni Looking to Switch from Apartments to Warehouses in Tempe

Panattoni Development Company (PCD) is proposing to revert a site recently approved for apartments in Tempe to industrial use for a 448,000-square-foot warehouse development.

AZBEX reports PDC is proposing to redevelop approximately 25 acres of property located at the southwest corner of Priest Drive and Alameda Drive within Fountainhead Corporate Park. The site, which consists of two lots, currently has six vacant, dated office buildings ranging in height from one to three stories, as well as two parking garages. Tempe city staff says the existing office buildings are obsolete.

Panattoni is considering two single-story buildings, approximately 46 feet tall, totaling 354,000 square feet of warehouse/industrial/manufacturing space and 88,000 square feet of associated office space. Building 1 will be nearly 250,000 square feet, and Building 2 will be close to 200,000 square feet.

Don’t Miss Carter Andrus, Chief Operating Officer of Prologis, as the keynote interview at Connect Industrial Midwest.— taking place Tuesday afternoon, March 10, 2026, at Joe’s Live in Rosemont, IL.