RXR Realty Investments Makes $120M Construction Loan on Ray Phoenix

The 401-unit, 26-story multifamily tower is expected to open in mid-2026.


RXR’s credit platform is making a move in the Valley of the Sun. 

Vela Development Partners and its joint venture partner Ray have secured $120 million in construction financing from RXR Realty Investments to build Ray Phoenix, a 401-unit, 26-story multifamily tower in downtown Phoenix, Commercial Observer has learned. 

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RXR Realty Investments provided the loan through an affiliate of the firm, while a JLL Capital Markets team of Michael Gigliotti, Brad Miner, Elle Miraglia and Frank Choumas arranged the financing on behalf of the sponsors. 

The project currently costs $180 million in both debt and equity, according to RXR. 

JLL’s Gigliotti spoke to the strength of the Phoenix metropolitan surrounding area, which has supported strong growth of multifamily construction in recent years together with high rents. 

“Ray Phoenix will stand out as an exceptional property with a great deal to contribute to the rapidly evolving downtown,” said Gigliotti. “The highly differentiated unit options will provide renters with a residential experience that has not yet been available in Phoenix.”

Located at 777 N. Central Avenue — in the heart of downtown Phoenix, near the light-rail line, and a short walk from Chase Field —  Ray Phoenix is expected to add luxurious apartments at differentiated price points. Featuring studios to two-bedroom units, the building will offer duplexes and penthouse units and its location gives residents access to the Phoenix Biomedical campus and Arizona State University’s 28-acre downtown campus.

“Our collective vision for Ray Phoenix will bring world-class design, top-tier amenities, beautiful art and diversified price points to one of the nation’s fastest growing downtowns,” said Nick Benjamin, principal of VeLa Development Partners, in a statement.  “We can’t wait for residents to experience Ray Phoenix in the spring of 2026.”

The project will feature  more than 20,000 square feet of on-site amenities space and include a fitness center, a yoga studio, an outdoor resort-style pool, a communal kitchen and fireplace lounge, a theater lounge, several dog wash stations, indoor and outdoor gardens, and coworking workspaces. 

Construction is slated for mid-2026. 

Brian Pascus can be reached at bpascus@commercialobserver.com