Phoenix

Aging Tempe Office Park Razed for Sky Harbor Cargo Comeback

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Published on May 11, 2026
Aging Tempe Office Park Razed for Sky Harbor Cargo ComebackSource: Google Street View

An old Tempe office campus is officially trading cubicles for cargo. Lincoln Property Company has broken ground on Sky Harbor Logistics, a two-building Class A industrial campus geared toward air-cargo, e-commerce and last-mile distribution users steps from Phoenix Sky Harbor International Airport.

The project will reclaim roughly 16.25 acres as about 254,000 square feet of warehouse and support space, reversing a 2018 office conversion and adding another local example to the growing list of Valley properties shifting from underused offices to industrial use.

Lincoln announced the ground breaking in a Lincoln Property Company May 6 press release, saying the project will rise at 1515 W. 14th St. and be tailored to time-sensitive supply-chain tenants. Executive Vice President John Orsak cast the plan as a return to the site's “industrial roots,” and the company said site work has already included demolition of the former office building and its parking garage. Lincoln also said it will handle both leasing and property management for the finished campus.

Return to industrial roots near Sky Harbor

City of Tempe planning documents identify the redevelopment as case PL250245 and list the address as 1515 W. 14th St. The filings show that Lincoln cleared a roughly 218,000-square-foot office building along with an adjacent 1,044-space parking garage to make the site shovel-ready for new industrial construction. KTAR and other local outlets covered the pivot after Lincoln moved ahead with permit activity.

What the campus will include

REBusinessOnline reports that Sky Harbor Logistics is planned as two nearly identical industrial buildings totaling roughly 255,766 square feet. Plans call for clear heights around 32 feet, a shared 190-foot truck court, 44 dock doors, four drive-in doors and 3,600 amps of power.

The buildings are designed to be divisible to roughly 32,000 square feet, with HVAC systems installed at delivery. They will feature ESFR sprinklers, LED lighting and clerestory windows to bring in natural light. Trade coverage lists Butler Design Group as architect and Willmeng as general contractor, with completion targeted for spring 2027.

Why developers are flipping offices into warehouses

Developers and brokers point to Tempe’s proximity to Sky Harbor, freeway access and a sizable labor pool as key reasons for converting older office sites into logistics hubs. In the company’s release, Lincoln Vice President Nick Nudo said “Sky Harbor Logistics sits within one of the West’s most dynamic logistics corridors,” underscoring the location’s regional reach.

Local commercial real estate coverage has been tracking a wave of office-to-industrial repurposing across the Valley as e-commerce and supply-chain tenants compete for infill locations that can shave minutes off delivery times.

Timeline, team and what’s next

Lincoln and its project partners expect Sky Harbor Logistics to wrap construction in spring 2027. As part of its entitlements, the developer says it will participate in Tempe’s Art in Private Development program.

Project filings and trade reports list Butler Design Group as architect and Willmeng as general contractor, with Lincoln managing leasing and property operations once the campus opens. ABC15 has also noted that portions of the former office complex were previously leased to CarMax and that those arrangements are ending as the site transitions fully into its new industrial role.

Phoenix-Real Estate & Development