Craig’s Crossing in Carefree: what the town has approved and what comes next

Nov 5

Your vision, your home, our expertise.

The Carefree Town Council voted on October 22, 2026 to start the formal process for a sales tax incentive of up to $11.6 million for Craig's Crossing, the shopping center planned for the corner of Carefree Highway and Cave Creek Road. Since then, the town has posted the draft agreement and an independent financial review. Here is what those records say, what is still undecided, and what it means if you live nearby or are thinking about buying.

The short answer

Craig's Crossing is a proposed shopping center of about 90,000 square feet on a vacant 24 acre site at the northeast corner of Carefree Highway and Cave Creek Road. On October 22, 2026, the Carefree Town Council adopted a notice of intent for a sales tax incentive of up to $11.6 million, but the town says the development agreement and incentive are not approved yet. Under the draft terms, site work would have to start by December 31, 2027.

What the town records say

Site: about 24 acres, currently vacant, at the northeast corner of Carefree Highway and Cave Creek Road (Applied Economics independent financial review, October 28, 2026)
Size: about 90,000 square feet of retail, shops, and pads, including one or more primary retail tenants of about 30,000 square feet (draft development agreement, version dated October 15, 2026)
Council action: notice of intent adopted October 22, 2026, Resolution No. 2026-15; the town says this did not approve the agreements or the incentive (Town of Carefree, Developments and Opportunities page, checked November 5, 2026)
Proposed incentive: up to $11.6 million, from 49% of the town's 3% retail sales tax and 49% of its 4% construction sales tax, over a 10 year period with a possible 2 year extension (draft development agreement, October 15, 2026)
Projected net revenue to the town: about $12.6 million during the incentive period, after the incentive (Applied Economics, October 28, 2026)
Key draft deadline: permits and site work started by December 31, 2027 (draft development agreement, October 15, 2026)

The corner has a history. The town says a previous development team dropped its plans, and at the April 7, 2026 Town Council meeting it announced that SimonCRE was working with the property owner, Empire Group of Companies. Western Retail Advisors is handling leasing and, according to the town, expects a national grocer to anchor the center. That grocer is described as currently at lease, and no name appears in the public documents.

If you are trying to picture the area, start with the town pages. Carefree homes for sale and Cave Creek homes for sale are the two markets around it, since the corner sits on Carefree's southwestern edge next to Cave Creek. You can see how the two towns fit together on our Northeast Valley map, which has a Cave Creek and Carefree zoom.

How the incentive would work

Arizona law, A.R.S. 9-500.11, lets a town share sales tax from a new retail project, but only after a notice of intent and an independent review that finds the town's tax revenue will exceed the incentive. Carefree has now done both steps. Applied Economics concluded that the projected revenue exceeds the incentive and that the agreement meets the statute's financial requirements.

Here is what the 49% share means in plain numbers. On $100 of taxable retail sales at the center, the town's 3% tax is $3.00. Under the draft, $1.47 would be rebated to the developer and the town would keep $1.53. During construction, the 4% construction sales tax works the same way: $1.96 rebated and $2.04 kept per $100. The rebate also has a floor. If the town collects less than $200,000 in sales tax from the project in any six month period, the rebate for that period is zero.

The phasing in the financial review

The review assumes about 45,000 square feet opens by December 31, 2028 and the other 45,000 by December 31, 2029. Its tenant mix includes 45,000 square feet of major retail, about 25,800 square feet of shops (retail, services, and restaurants), and about 18,900 square feet of pad buildings, with restaurants on several pads. Those are planning assumptions for the analysis, not signed leases.

The other projects on the town's list

Craig's Crossing is the biggest item, but the town's development page tracks three more sites worth knowing about if you own or plan to buy in Carefree 85377.

Parcel C. A 4.18 acre property on Cave Creek Road, north of the Craig's Crossing site. SimonCRE has applied to amend its zoning approvals to allow retail, restaurant, and service station uses, keeping the existing commercial zoning and residential compatibility rules. A neighborhood meeting was held October 12, 2026.
Northwest corner of Carefree Highway and Tom Darlington Road. About 21 acres across five parcels. The town says it is zoned for low density residential use today, while the General Plan identifies it for a broader range of possible uses. No project is approved there.
Carefree Crossing. A proposed classic and collector car project for the southwest corner of Cave Creek Road and Bloody Basin Road, described as a cafe, lounge, and gallery space plus about 23 privately owned garage units. It is listed as a proposal, with a neighborhood meeting held April 15.

What it means for homeowners and buyers

For now, the honest answer is that nothing has changed on the ground. The council has started a process, the financial review is done, and the final vote is still ahead. Even if it passes, the draft only requires site work to begin by the end of 2027.

Nearby communities run the full range of prices. Our site's figures show Tatum Ranch homes for sale at a $626,500 median sale price and Dove Valley Ranch homes for sale at $625,000, while The Boulders homes for sale closed at a $1,452,500 median and Desert Forest homes for sale at $1,258,000 on just 5 sales. In ZIP code 85331, Cave Creek homes for sale, 622 homes sold in the past 12 months at a median of $870,000. In Carefree, 131 sold at a median of $1,125,000. No published data we found ties these prices to the Craig's Crossing proposal, so we would not price a home up or down because of it.

Practical steps

Read the documents yourself. The draft development agreement, maintenance agreement, and financial review are posted on the town's Developments and Opportunities page. The exhibits show the street and wash work.
Watch the council agenda. The final vote will be at a publicly noticed meeting. The town's email list is the easiest way to see it coming.
If you are buying close to the corner, ask about current zoning on neighboring parcels, including Parcel C, and read the draft agreement's street improvement exhibits to see what work is planned along Carefree Highway and Cave Creek Road.
If you are selling, describe the project accurately in your marketing: proposed, with a notice of intent adopted, not approved.
Avoid this mistake: treating the October 22 vote as approval, or counting on a specific grocer or opening date. The town says the agreements and incentive have not been approved, and no grocer has been named.

The honest caveats

Every term in this post comes from draft documents that can change before the council votes. The square footage differs between the draft agreement (about 90,000) and a late October news report (120,000). The tenant mix and opening years are assumptions in the financial review, not commitments. We could not read the text of Resolution No. 2026-15 itself, so the 6 to 1 vote count comes from the Phoenix Business Journal report as carried by ABC15. Home price figures are 12 month medians from our site's pages with their own as of dates, and small samples, like Desert Forest's 5 sales, can swing a lot.

Frequently asked questions

What is Craig's Crossing in Carefree?

Craig's Crossing is a proposed shopping center at the northeast corner of Carefree Highway and Cave Creek Road in Carefree. The draft development agreement describes about 90,000 square feet of retail on a site of about 24 acres, with SimonCRE as the developer and Empire Group of Companies as the property owner.

Has Craig's Crossing been approved?

Not yet. On October 22, 2026, the Carefree Town Council adopted a notice of intent, which starts the state required process for a retail tax incentive agreement. The town says that vote did not approve the development agreement, the maintenance agreement, or the incentive, and that final consideration will happen at a future public meeting.

Where exactly is the Craig's Crossing site?

It is the northeast corner of Carefree Highway and Cave Creek Road, on the far southwestern edge of Carefree. The independent financial review describes the 24 acre site as currently vacant.

Will Craig's Crossing have a grocery store?

The town's development page says Western Retail Advisors expects the project to be anchored by a national grocer that is currently at lease. No grocer has been named in the public documents, so treat any name you hear as unconfirmed until a lease is announced.

How big will Craig's Crossing be?

The October 15, 2026 draft development agreement and the October 28, 2026 financial review both describe about 90,000 square feet. A Phoenix Business Journal report from late October described a 120,000 square foot project, so published figures differ and the final site plan will settle it.

How much is the proposed incentive for Craig's Crossing?

The draft agreement caps the incentive at $11.6 million. It would rebate 49% of the town's 3% retail sales tax and 49% of its 4% construction sales tax collected from the project, plus deferred and possibly waived permit fees, over a 10 year incentive period that can extend by two years if conditions are met.

When could construction start at Craig's Crossing?

Under the draft agreement, the developer must pull permits and begin site work by December 31, 2027. By December 31, 2028, the public improvements must be done, at least 45,000 square feet built, and either the main retail tenant or 30,000 square feet of retail open, with a possible extension to December 31, 2029. These are draft terms, not a schedule the town has approved.

What public improvements are part of the Craig's Crossing deal?

The draft agreement lists street improvements and wash improvements, and it calls for the developer to relocate a wash and build a walking path and trail system. The public improvements must be completed, dedicated, and accepted by the town by the initial completion date. These are draft terms and could change before any approval.

What is the Parcel C proposal next to Craig's Crossing?

In October 2026 the town received an application from SimonCRE to amend the zoning approvals for Parcel C, a 4.18 acre property on Cave Creek Road north of the planned Craig's Crossing. The request would allow retail, restaurant, and service station uses while keeping the existing commercial zoning. A neighborhood meeting was held on October 12, 2026.

How can I follow Craig's Crossing updates?

The Town of Carefree posts documents on its Developments and Opportunities page, including the draft agreements and the independent financial review. The town says the full project update will be presented at a future Town Council meeting that will be recorded and livestreamed, and you can join the town's email list for notices.

The bottom line

Craig's Crossing moved forward this fall, but it is still a proposal. The town has adopted a notice of intent and received a favorable independent review, and the development agreement and up to $11.6 million incentive still need a final council vote. If you own or are shopping near Carefree Highway and Cave Creek Road, read the draft documents, watch the agenda, and make decisions on what is approved rather than what is planned.

Thinking about a move in Carefree or Cave Creek?

White-glove service at every price point.

Book a Call Get My Home Value

Browse homes: Carefree homes for sale · Homes for sale in 85377 · Homes for sale in 85331

Your advisors

Kyle Hermann
Associate Broker | Realtor®
602.814.7266
kyle@azluxurypartners.com
License BR665419000
Meet Kyle

Cheryl Solano
CRS® | Realtor®
480.518.0181
cheryl@azluxurypartners.com
License SA541911000
Meet Cheryl

Art Buck
Associate Broker | Realtor® | CCIM
480.510.7689
art@azluxurypartners.com
License BR014102000
Meet Art

Arizona Luxury Partners | Real Estate Group at RE/MAX Fine Properties

Sources

Town of Carefree, Developments and Opportunities page (Craig's Crossing notice of intent, independent financial review, Parcel C, Tom Darlington corner, Carefree Crossing), checked November 5, 2026. Link
Town of Carefree, Neighborhood Meeting for Parcel C of Planned Development, October 1, 2026. Link
Applied Economics, Independent Third-Party Financial Review of the Craig's Crossing Retail Development Tax Incentive Agreement, letter to the Town of Carefree, October 28, 2026. Link
Town of Carefree, DRAFT Development Agreement (Craigs Crossing), version dated October 15, 2026. Link
ABC15, Carefree lands first-rate specialty grocer (Phoenix Business Journal), October 30, 2026. Link
Arizona Luxury Partners, Carefree homes for sale (as of November 4, 2026) and Carefree 85377 homes for sale (as of November 5, 2026), ARMLS via Flexmls. Link
Arizona Luxury Partners, Cave Creek 85331 homes for sale, as of November 5, 2026, ARMLS via Flexmls. Link
Arizona Luxury Partners community pages: The Boulders (as of October 31, 2026), Desert Forest and Tatum Ranch (as of November 2, 2026), Dove Valley Ranch (as of November 4, 2026), ARMLS via Flexmls. Link
Rebate per $100 of sales calculated by Arizona Luxury Partners: $100 x 3% retail tax x 49% = $1.47 rebated, $1.53 kept; $100 x 4% construction tax x 49% = $1.96 rebated, $2.04 kept. Tenant mix subtotals (shops 25,825 sq ft, pads 18,880 sq ft) summed from the Applied Economics table.

All information provided is deemed reliable but is not guaranteed and should be independently verified. This article is for general information only and is not financial, lending, legal, or tax advice. Arizona Luxury Partners | Real Estate Group at RE/MAX Fine Properties, 21020 N. Pima Road, Scottsdale, AZ 85255. Brokerage License LC629808000. Equal Housing Opportunity.

Kyle Hermann