Arizona State Land Department Awards Full Development Rights for Vast Site Next to $65B+ TSMC Semiconductor Fabrication Campus
New York & Phoenix, Ariz. — An affiliate of Mack Real Estate Group (MREG), Biscuit Flats Dev LLC, has won the auction for development rights to more than 2,300 acres of fully entitled land adjacent to Taiwan Semiconductor Manufacturing Corporation’s (TSMC) semiconductor fabrication campus in Phoenix’s North Valley. The Arizona State Land Department awarded the project following a competitive auction process.
The site is expected to support a $7+ billion mixed-use development totaling more than 28 million square feet. TSMC has already committed $65 billion to its Phoenix campus, with additional investment anticipated, positioning the area as one of the most significant new employment and innovation hubs in the United States. McCourt Partners will make a substantial investment in the project alongside MREG.
“TSMC’s Phoenix semiconductor fabrication campus is a tremendous economic driver with local, national, and global significance,” said Richard Mack, CEO of MREG. “TSMC is one of the most important companies in the world. Together with the Arizona State Land Department and McCourt Partners, we are helping build a new type of city that supports and leverages the digital transformation enabled by this semiconductor manufacturing campus.”
“A transformative project of this magnitude is an opportunity to actively drive a city’s growth,” added Jordan Lang, President of McCourt Partners. “We’re excited to partner with MREG to establish essential infrastructure alongside the TSMC campus and help shape a city that fosters innovation with global impact.”
Project Overview
Under an agreement with the Arizona State Land Department, the partnership will manage land sales in phases over several years and oversee required infrastructure improvements. The joint venture will have the right to develop approximately 600 acres for multiple uses.
- 2,300+ acres with more than 28 million square feet of development capacity, including up to 8,960 residential units and a mix of industrial, retail, and office space.
- Adjacent to TSMC’s 1,100-acre site, where three semiconductor fabrication plants are under construction with a committed investment of $65 billion, and an additional three fabs are planned, potentially increasing total investment beyond $120 billion.
- Apple, TSMC’s largest customer by revenue, has announced plans to purchase semiconductors from the Phoenix facilities.
- At least 10,000 permanent jobs expected to be created directly by the TSMC fabs, with up to 80,000 jobs projected across the Phoenix metropolitan area from the broader TSMC ecosystem.
- Significant federal and state funding committed to support semiconductor manufacturing, including incentives from the CHIPS Act and the Inflation Reduction Act.
Challenges and Risks
While the project offers substantial economic potential, it also presents challenges. Long-term infrastructure and construction timelines carry risks such as development delays and phased land-sale uncertainty. Successfully managing these risks will require close coordination among public and private stakeholders.
About Mack Real Estate Group
Mack Real Estate Group, LLC (MREG) is an institutional real estate investment firm with roots in Mack family real estate businesses dating back to the 1960s. The firm’s equity, credit, and property management operations employ more than 250 people across the United States, with offices in New York, Seattle, Phoenix, Miami, and Raleigh. MREG specializes in the acquisition, development, and management of multifamily and industrial properties in gateway and high-growth markets.
For more information, visit mackregroup.com.
About McCourt Partners
McCourt Partners is a community-driven, family-owned real estate development, investment, and management firm with more than $1 billion in permanent capital. The company has invested in large-scale projects across the United States and internationally, including the development of the Boston Seaport District. McCourt Partners focuses on building resilient communities through inclusive design, green technology, and long-term infrastructure investment.
