TUCSON, AZ (Feb. 24, 2026) — The University of Arizona is moving forward with a roughly $250 million, 19-story residence hall planned for the northwest corner of East Speedway Boulevard and North Campbell Avenue, a major infill redevelopment that will add more than 1,200 student beds along with dining, amenities, and student-support space, according to university materials.
The project structure is designed to keep construction debt off the university’s balance sheet. Under the plan outlined in published documents, Mortenson Development would acquire the 2.49-acre former Palm Shadows Apartments site at 1815 E Speedway Blvd., then sell it to the nonprofit Collegiate Housing Foundation (CHF) at fair market value once CHF secures tax-exempt bond financing. CHF would then convey the land to the university and independently finance, develop, construct, and operate the residence hall under a 50-year ground lease with UA. The bond financing is expected to be repaid over approximately 40 years through residence hall-related fees, with UA having no debt obligation.
UA said the Arizona Board of Regents approved plans for the new residence hall, with an opening targeted in time for the Fall 2028 semester. The development also supports the university’s housing policy shift: UA expects first-year students to live on campus beginning Fall 2026, with exceptions including students living within 30 miles of campus or other hardship circumstances…