The phrase “It’s what's on the inside that matters” seems to hold true for a new downtown Phoenix project that would turn shipping containers into apartment complexes.
The idea evolved after Arizona-based developer Karl Obergh, president of Ritoch-Powell & Associates, and his partners decided to use decommissioned shipping containers they had in Flagstaff to create art galleries off Grand and 12th avenues. They were soon approached by Kathleen Stanton and StarkJames, partners on the project, with the idea of turning these containers into apartment complexes.
“We’re utilizing decommissioned storage containers that were probably going to be taken to the dump,” Obergh said. “It’s like sustainable construction. So we used these containers, we’ve reconditioned them and rejuvenated them in order for people to use them as housing units.”
StarkJames is currently working with Phoenix to expand this project to land off of Portland and Second streets, near Roosevelt Row. Although the project is not official, they’ve been recommended by the city and hope to start building in four to five months.
The shipping containers off Grand Avenue will be built one on top of the other, each apartment around 750 square feet each. They will each contain a living area, kitchen, bathroom, bedroom and storage area and cost around $1000 a month.
Obergh said he believes the containers will add a unique edge to the area because they make it one of the first U.S. cities to do a market-rate, multi-family storage container living project.
“Now that we’ve set the groundwork for this kind of project, you’re going to see more of them pop up,” said Obergh.
However, people including David Roderique, director of the Downtown Phoenix Partnership, raised some concerns about moving in developers like this.
“In the Roosevelt area, the biggest concern is that we’re getting so much development that there’s a fear of losing the character of what makes it a cool place in the first place,” Roderique said.
He said the development in the downtown Phoenix area, particularly in the arts district of Roosevelt Row, almost mirrors what happened in Tempe’s Mill Avenue area years ago.
“Mill Avenue became hip and trendy and cool, then all the sudden, you started getting McDonald's and chain stores moving in, and then it was no longer hip and cool because it has McDonald's and chain stores,” he said.
However, Roderique said he also supports the project, believing it was a unique concept with potential.
Brian Stark, architect and one of the owners of StarkJames, believes the idea will engrain itself in Phoenix's culture.
“It brings a sort of richness or authenticity look to that area. … I know there’s a lot of fear of big developers coming in, but I hope this has more of the neighborhood’s feel,” Stark said.
He said the project already has a strong backing, with a waiting list of almost 150 people. He also believes this is partially due to it's following the general trend of adaptive reuse in Phoenix.
Phoenix began its Adaptive Reuse Program in 2008. The program provides benefits like permit-fee waivers to developers who reuse old buildings in their development and meet other requirements.
Although the containers don’t meet those requirements because they’re building from the ground up, the apartments follow the general idea of recycling an old material and turning into something new.
Reach the reporter at megan.janetsky@asu.edu or follow @meganjanetsky on Twitter.
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