Council wants to reset zoning to make land developableThe Oro Valley Town Council is moving forward with a multi-phase rezoning effort for the town-owned portions of the Oro Valley Town Centre PAD, a long-standing land-use opportunity on the east side of Oracle Road and Pusch View Lane. The council's objective is to reset the zoning so the property so that is realistically developable while protecting community priorities such as open space and views, and allowing the Town to potentially sell portions of the land for General Fund purposes.
The existing zone, a never attracted a developer
This effort continues work we reported on in September. The land is currently zoned to allow a 75-foot hotel and other high-intensity commercial uses, a designation approved by Council several years ago after the property was donated to the Town by the Rooney family. As it turned out, there was no market interest in developing the site under that zoning, largely due to site constraints, access challenges, infrastructure costs, and limited economic feasibilit
Staff presented Council with four rezoning options for the property. Council selected and option that they felt best balance sbetween commercial potential, development feasibility, protection of open space and views, and the likelihood that the site could realistically be developed and sold.
This concept envisions a modest-scale mix of shops and services along Oracle Road, with housing set farther back on the site, away from the highway. Most of the hillsides would remain open space with trails. Buildings would be limited to two and three stories, with heights stepping down toward Oracle Road to reduce visual impact and protect views.
The concept would support a dozen or so local businesses, and hundreds of residential units
Built out under Concept 2, the property would likely accommodate several dozen small to mid-sized businesses along Oracle Road, such as neighborhood restaurants and cafés, specialty grocery or market stores, fitness or wellness studios, personal services like salons or medical offices, and small professional offices serving nearby residents. The residential component would include either about 250–300 apartments or, under an alternative layout, roughly 150–200 townhomes.
Built out under Concept 2, the property would likely accommodate several dozen small to mid-sized businesses along Oracle Road, such as neighborhood restaurants and cafés, specialty grocery or market stores, fitness or wellness studios, personal services like salons or medical offices, and small professional offices serving nearby residents. The residential component would include either about 250–300 apartments or, under an alternative layout, roughly 150–200 townhomes.
While leaving much of the land open
Based on the concept materials, about 64 percent of the total site—roughly 95 acres—would remain undeveloped open space for natural hillsides, trails, and recreation, providing a buffer to nearby neighborhoods and preserving scenic views.
Based on the concept materials, about 64 percent of the total site—roughly 95 acres—would remain undeveloped open space for natural hillsides, trails, and recreation, providing a buffer to nearby neighborhoods and preserving scenic views.
Rezoning would generate one time sale proceeds, construction sales tax revenues and ongoing sales tax revenue
From a revenue standpoint, the rezoning is intended to turn a long-idle Town asset into both near-term cash value and long-term income. Once rezoned, the Town could sell developable portions of the property to private builders, generating a one-time payment likely in the millions of dollars. Over time, development would also generate ongoing revenue through sales taxes from new shops and restaurants, along with permit and construction-related fees during build-out.
From a revenue standpoint, the rezoning is intended to turn a long-idle Town asset into both near-term cash value and long-term income. Once rezoned, the Town could sell developable portions of the property to private builders, generating a one-time payment likely in the millions of dollars. Over time, development would also generate ongoing revenue through sales taxes from new shops and restaurants, along with permit and construction-related fees during build-out.
One (small) glitch regarding state law requirements regarding the sale of town land
Arizona law places limits on how Town-owned land can be sold based on its dollar value. Higher-value sales can require additional approvals, including public hearings and, at the upper end, voter approval. Because of this, Council emphasized the need to understand the estimated value of the property early and directed staff to prepare preliminary value estimates as Concept 2 is refined.
Arizona law places limits on how Town-owned land can be sold based on its dollar value. Higher-value sales can require additional approvals, including public hearings and, at the upper end, voter approval. Because of this, Council emphasized the need to understand the estimated value of the property early and directed staff to prepare preliminary value estimates as Concept 2 is refined.
Future will see neighborhood in public meetings as this moves forward
Those value estimates are to be reviewed by Council before neighborhood meetings scheduled for February and March, where residents will get their first clear look at what the site could become. After public feedback is incorporated, the proposal will move to the Planning and Zoning Commission and then back to Town Council for spring public hearings, with rezoning decisions made before any future steps to value, market, or sell the property.
Those value estimates are to be reviewed by Council before neighborhood meetings scheduled for February and March, where residents will get their first clear look at what the site could become. After public feedback is incorporated, the proposal will move to the Planning and Zoning Commission and then back to Town Council for spring public hearings, with rezoning decisions made before any future steps to value, market, or sell the property.
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