Key Points
- Project Denied: Casa Grande Planning and Zoning Commission voted 2–3 on September 4, 2025, to reject the 336-unit Casa Grande Commons Apartment Homes proposal.
- Reasoning: Commissioners cited incomplete housing studies, traffic congestion, and infrastructure readiness as primary concerns.
- Project Details: Planned on 15 acres north of the Promenade Shopping Center, with 12 buildings, 685 parking spaces, and amenities including a clubhouse, pool, and sports courts.
- Affordability: Units would have been financed through the Low Income Housing Tax Credit (LIHTC) program, with rents estimated at $1,300 for one-bedrooms and $1,700–$1,800 for four-bedrooms.
- Public Input: Residents raised concerns about traffic safety, project abandonment, and LIHTC funding stability.
- Commission Split: Two members supported approval, while three opposed, citing the need to complete a housing supply study before adding more multifamily units.
Casa Grande Planning and Zoning Commission rejects 336-unit affordable housing complex citing traffic infrastructure concerns and need to complete housing study
Casa Grande, AZ – The Casa Grande Planning and Zoning Commission voted 2-3 to deny a major site plan for Casa Grande Commons Apartment Homes on September 4, 2025. The proposed 336-unit apartment complex would have been located at 1400 N Promenade Parkway, just north of the Promenade Shopping Center.
Project Details and Location
NRP Holdings, LLC requested approval for the three-story apartment complex on approximately 15 acres within the Casa Grande Commons Planned Area Development (PAD) zone. The project would have featured 12 buildings, each 40 feet tall, with 685 parking spaces and a 9,500 square foot clubhouse.
The development proposed a diverse unit mix: 24 one-bedroom units (7%), 132 two-bedroom units (39%), 108 three-bedroom units (32%), and 72 four-bedroom units (21%). The complex would have operated at a density of approximately 22 dwelling units per acre, well below the maximum allowed 40 units per acre.
Austin Kates, vice president of development at The NRP Group, explained the project would serve families and individuals across income levels through the Low Income Housing Tax Credit (LIHTC) program. Rental rates were estimated at around $1,300 for one-bedroom units and $1,700-$1,800 for four-bedroom units.
Large Mixed-Use Development Category
The project site sits within Casa Grande’s “large mixed use” classification, which allows for a variety of commercial, industrial, and residential uses. Senior Planner Jim Gagliardi noted that “this contextually is probably one of the better places to contemplate multifamily. Being just at the very north end of the Promenade, it’ll add some vibrancy, potentially, to that shopping center. People will be directly across from a theater, some additional shopping opportunities, and this PAD zone does program the extension of some other compatible uses in the future for this development as Promenade Parkway will further be extended north to Cottonwood and beyond.”
While Casa Grande currently has limited mixed-use development, the city has planned or proposed several other large mixed-use projects:
- PhoenixMart — Started but abandoned
- McCartney Commons — Planned, no construction
- Mary-T Marketplace & Senior Residences — Planned, not built yet
- Casa Grande Commons, Gateway Vision — Part of current proposal
- Downtown Redevelopment — 2019 city request for developer interest
LIHTC Program Details
The Casa Grande Commons project would have relied on Low Income Housing Tax Credit financing. As Gagliardi explained, “this is a LIHTC project where they will utilize tax credits to make the units eligible for residents who fall within a lower income qualification.”
How LIHTC Works
The Low Income Housing Tax Credit program provides tax incentives for constructing affordable rental housing. Tax credits are dollar-for-dollar reductions in the amount of taxes owed. The federal government issues these housing tax credits to state agencies, which then award them to private developers through competitive processes. Developers typically sell these credits to investors to obtain project funding. Once operational, investors can claim the credits over 10 years. To qualify, properties must meet income requirements for low- and moderate-income tenants and rent restrictions for at least 15 years.
Housing Supply Debate
Commission members expressed significant concerns about the city’s apartment supply. Planning and Development Director Dan Coxworth noted that “for years there were no apartment units constructed in Casa Grande”, but the city has since seen “a large influx because of the market demand for apartments. The housing study is identifying that it will take some time for the market to catch up with the number of multifamily units that are being proposed.”
Gagliardi referenced an earlier city study concluding “we meet the supply for multifamily. But we recognize that there were probably some areas that would still be underserved, and that would be for the 55 and up segment of the population. And then certain areas of town, such as downtown where there’s kind of the expectancy for a mixture of residential right next to commercial.”
A more recent consultant study examining affordable housing needs specifically was expected to be completed before the end of 2025, with Coxworth noting it would provide “more refined” conclusions about total housing numbers.
Coxworth emphasized that while “staff is currently not supportive of zone changes for more multifamily,” the Casa Grande Commons project was “already an entitled project within that PAD.” He added that “staff is supportive of low-income housing like this, LIHTC, and strategically placed housing maybe near our downtown, near large commercial areas where it could use some more foot traffic to support the retail in that area.”
Walkable Development Vision
Kates highlighted the project’s walkability as a key benefit, noting residents would have access “walkable to the movie theater, walkable to restaurants, walkable to commercial shopping that doesn’t really currently exist in a more suburban city like Casa Grande.”
The development was designed to create what Kates called “a ecosystem within the Promenade and Casa Grande Commons PAD” featuring amenities including a soccer field, volleyball court, playground, gym, pool, dog park, BBQ areas, and business center with solar carports.
Market Conditions and Demand
Addressing concerns about apartment oversupply, Kates pointed to successful competition: “our main competitor that exists today is Agave House, which has experienced its lease up and is 100% occupied. So for us, that proves out demand that while there is existing supply and it was a competitive process to get there, they’re 100% occupied, and now there needs to be somewhere else for new residents.”
He emphasized Casa Grande’s continued growth, noting “I’m sure you can’t look back to a year where Casa Grande hasn’t grown by a thousand, two thousand, three thousand people. And all projections show that that growth is gonna continue to occur. And you see that in the jobs that are relocating to Casa Grande.”
Kates described current market conditions as experiencing “kind of a supply shock” due to “low interest rates provided creating an environment that allowed for a lot of development to occur. And we’re seeing those buildings come to fruition now.” However, he projected that long-term the market would “become much more balanced and healthy” with demand continuing “to keep pace with supply.”
Traffic Infrastructure Concerns
Traffic concerns dominated much of the commission discussion. The project would have initially relied on access through the Promenade Shopping Center, with Promenade Parkway eventually extending north to Cottonwood Lane and beyond.
Traffic Engineer Clark Clatanoff confirmed that improvements to the Mission Parkway and Cottonwood intersection were planned as a city capital improvement project, with either a signalized intersection or roundabout under consideration. Commissioner Celeste Garza noted these improvements “need to be installed by the end of ’26 in order for this TIA to be approved,” though Clatanoff indicated completion would likely occur in fiscal year 2027.
Commissioner Cortez Smith raised concerns about existing congestion, particularly at the Promenade Way and Florence Boulevard intersection near Chick-fil-A and In-N-Out Burger, which “gets very congested on the weekends.”
Public Opposition
Three residents spoke against the project during public comments, while staff also received several written emails opposing the development. Mary Ann Remenih from Mission Royale expressed concerns about traffic safety and questioned the need for additional rentals given existing apartment vacancies throughout the city.
Cindy Compton asked about the security of LIHTC funding given recent federal budget cuts. Kates responded that while there had been funding cuts to some programs, the specific LIHTC funding needed for their project remained available and would not prevent the development from proceeding. He noted that recent legislation actually created “an easier path to build more affordable housing, becoming less restrictive” rather than cutting LIHTC program resources.
Another resident worried about building abandonment, citing PhoenixMart as an example of failed development in the area.
Commission Vote Breakdown
The commission split along concerns about infrastructure readiness and housing supply, with the final vote being 2-3 against the project:
Voting for approval:
- Commissioner Garrett Aldrete supported the project, arguing it would help attract retail tenants to the struggling Promenade mall by providing nearby residents
- Chairman Brett Benedict voted yes, stating “This is your property, you should do with it what you want. You followed our guidelines, you followed our rules”
Voting against approval:
- Vice Chairman Celeste Garza cited two main concerns: inadequate existing infrastructure and the incomplete housing study
- Commissioner Chris Hubbard wanted to see the completed housing supply study before approving additional multifamily development
- Commissioner Cortez Smith expressed concerns about managing both vehicular and pedestrian traffic
The project’s construction timeline would have begun in Q3 2026 (July-September), with first unit delivery by the end of 2027 and final certificate of occupancy by Q2 2028.
