Novus Innovation Corridor
Tempe, Arizona
The Novus Innovation Corridor is emerging as a vibrant hub to live, work, and play—with 4 million sq. ft. of commercial space, 275,000 sq. ft. of retail, and 1,000 hotel rooms—poised to drive Tempe’s growth and attract businesses, residents, and visitors.
Novus Innovation Corridor: A Visionary Model for Urban Development
The Novus Innovation Corridor showcases the best of urban, mixed-use real estate development—and Winstead has been there to help this project meet its vision. This innovative project brings academic and corporate innovation together with sustainable and community-focused design adjacent to Arizona State University (ASU) in Tempe. The result of a visionary concept supporting collegiate athletic facilities, Novus has grown into a vibrant, sustainable mixed-use district that acts as a blueprint for future developments.
Expertise in Public-Private Partnerships
At the heart of the Novus Innovation Corridor lies a groundbreaking public-private partnership between ASU and Catellus Development Corporation, a collaboration that creates a thriving, mixed-use environment that integrates academic, corporate, and community interests.
Winstead attorneys Bob Burton and Preston Patten represented the client and played a significant role in the development of the legal and structural components of this groundbreaking project. Charged with addressing a slew of issues, including ASU’s mandates to retain ownership of all components and enlisting third-party developers, Winstead developed a condominium and mixed-use structure that would meet these requirements.
Overcoming Complex Legal Challenges
One of the most intricate aspects of the Novus project was accommodating third-party sub-developers who were responsible for financing, constructing, and operating their respective buildings while ensuring ASU retained ownership. This necessitated a sophisticated legal framework to balance the interests of ASU, Catellus, and the sub-developers. Each building also incorporated mixed-use components, such as retail spaces, which required operational and leasing separation from the primary use, whether multifamily, hotel, or commercial.
Winstead’s innovative approach involved coupling a condominium structure with a long-term ground lease that included conversion provisions. This allowed the ground lease to serve as collateral during the construction phase, with provisions to convert the lease into long-term agreements post-completion. By utilizing this strategy, Winstead ensured that ASU retained fee title to all project components, meeting the university’s ownership requirements while enabling third-party developers to operate effectively.
A Catalyst for Sustainability and Innovation
Sustainability is a cornerstone of the Novus Innovation Corridor, underscored by its Gold LEED-ND certification from the U.S. Green Building Council. Every vertical development within Novus is designed to achieve LEED certification, reflecting the project’s commitment to environmentally sensitive, carbon-neutral strategies and smart-city technology integration.
This focus on innovation extends beyond sustainability. The project envisions Novus as an extension of ASU’s dynamic educational environment, fostering the introduction of new ideas and methodologies that redefine urban living and working spaces.
A New Era for Tempe
The Novus Innovation Corridor is taking shape as a dynamic place to live, work, and play. With 4 million square feet of flexible commercial space, 275,000 square feet of retail, and 1,000 hotel rooms, the development is well-positioned to become a cornerstone of Tempe’s growth and a magnet for businesses, residents, and visitors alike.
From its luxury apartments with personalization to the ground-floor retail, and its strategic location near Phoenix Sky Harbor Airport to ASU’s major athletic facilities, Novus represents the future of urban, mixed-use development. The project will set a new standard for mixed-use developments nationwide by seamlessly integrating sustainability, innovation, and community.
Transforming Vision into Reality
Ultimately, Winstead’s expertise was instrumental in transforming the ambitious vision of Novus into a reality. By creating a legal framework that harmonized the interests of ASU, Catellus, and third-party developers, the firm ensured the success of this complex, multifaceted project. The Novus Innovation Corridor not only supports ASU’s mission of athletic facility renovation but also serves as a beacon of innovation, sustainability, and economic vitality for Tempe and beyond.
