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Mack Real Estate is the sole bidder on 2,300 acres in North Phoenix for $56 million

Mack Real Estate Group bought 2,300 acres of state land at auction to build a $7 billion tech village in north Phoenix.

The New York-based investor, the sole bidder, bought the land surrounding the Taiwan Manufacturing Semiconductor plant with a minimum bid of $56.28 million, or $24,000 per acre, AZCentral reported. The seller was the Arizona State Land Department.

Although Mack was the sole bidder, two other companies had qualified for the auction: Tempe-based W Holdings and Phoenix-based ViaWest Group.

The endgame is construction of a Sonoran Oasis Science and Technology Park, to be anchored by the $65 billion Taiwan Manufacturing Semiconductor factory in Deer Valley.

The U-shaped site is located north of Loop 303 and west of Interstate 17, in North Gateway, 26 miles north of Downtown Phoenix.

Mack plans to partner with Los Angeles-based McCourt Partners to develop 28 million square feet of industrial and office buildings, retail, restaurants and apartments.

Richard Mack, CEO of Mack Real Estate Group, called the area a “new silicon city.”

“TSMC’s semiconductor manufacturing campus in Phoenix is ​​a tremendous economic engine with local, national and global significance,” Mack said in a statement. “We are privileged to help build a new type of city.”

The partnership between Mack and McCourt will control the future sale of the land on the larger site, which will occur in phases over years, the companies said. The partnership will also develop 600 hectares of the site for multiple, unspecified uses.

The Sonoran Oasis Science and Technology Park is divided between a high-tech campus and a “mixed-use highway” along I-17. TMSC purchased 1,100 hectares in 2020 to build its factory. The mixed-use portion would accommodate up to 8,960 homes, Mack said.

Mack Real Estate, founded in 2013 by William, Richard and Stephen Mack, launched the auction for the Phoenix site in 2022.

The company has a strong commercial track record, including the 3 million square foot Mack Innovation Park in Deer Valley, Arizona; a 2,300-acre master-planned development in Orlando called ChampionsGate; and the 2.8 million square foot Time Warner Center in New York.

– Dana Bartholomew