CommercialNews

First Office-to-Apartments ‘Flip’ Hits Scottsdale

By October 5, 2026No Comments

By Tom Scanlon | Scottsdale Progress

According to commercial real estate site Loopnet, “North Scottsdale redevelopment or owner/user at 13875 N Northsight Blvd.,” an 8,500 square-foot office building was for sale for $9.5 million – but is “in escrow.”

The property is billed as “rare redevelopment or owner/user opportunity in highly sought-after North Scottsdale neighborhood.

“Proposed uses include corporate headquarters, medical and senior housing.”

The 6-acre property is zoned as “C-2 – Commercial.”

But …

The developer who apparently purchased the property seems to have other ideas.

According to Scottsdale-based developer of industrial, retail, office and multifamily real estate properties:

“KB DEVCO is planning to construct 121 units at 13875 N Northsight Blvd. in Scottsdale.”

Asked about the project, Erin Walsh, a Scottsdale spokeswoman, said an application for the “multifamily conversion case at 13875 N Northsight Blvd.” was submitted July 2.

The Planning Department “sent back comments and are awaiting their second submittal.

“This is for about 275 dwelling units (five stories),” Walsh added, “on the 4.5-acre site.”

The owner is listed as a limited liability company called Northsight Partners, in turn owned by Benjamin Johnson – president of KB Development Company.

The city’s strategy in this test case for the new law will not be open to the public, as the Oct. 6 executive session is a closed affair.

Original post


Related:

SCOTTSDALE CITY COUNCIL SPECIAL MEETING

Tuesday, October 6, 2026 | 2:00 P.M.
1. Request for Executive Session to:

A. Discuss and consult with the City’s attorneys for legal advice, and to consider the City’s position and provide possible instruction to the City’s attorneys, regarding matters arising from the proposed Northsight Apartments Multifamily Conversion / Adaptive Reuse Project (“Project”), located at 13875 N. Northsight Boulevard, including issues related to the application of Arizona Revised Statutes (A.R.S.) § 9-462.10 (Adaptive Reuse / Multifamily Conversion Statute) and the potential filing of a complaint under A.R.S. § 41-194.01 (“1487” complaint) regarding the City’s interpretation and application of A.R.S § 9-462.10 to the Project. A.R.S. § 38-431.03(A)(3) and (A)(4).