09/16/2025 | News release | Archived content
Published on September 16, 2025
The City of Tucson's Amazon Motel is the first of two phases that will create 89 units of affordable housing in Ward 3.
Amazon Motel will provide permanent supportive housing for individuals experiencing homelessness in 30 refurbished studio apartments. These units will house individuals earning up to 30% of the Area Median Income (AMI). There will be no time limit on tenancy to ensure residents can remain housed while accessing the supportive services they need until they are ready to transition to independent living.
"The Amazon Motel celebrates the type of significant investment that the City of Tucson has been bringing into the Thrive in the 05," said Tucson Mayor Regina Romero. "It's important to me that the City of Tucson continues investing resources that help to stabilize people and families. Having affordable, accessible housing and a variety of shelter options is what will help keep Tucsonans housed. This has been a priority for residents and Mayor and Council in the 05," said the Mayor.
Amazon Motel is located across the street from Pima County's new Northwest Service Center facility featuring a health clinic and employment assistance services. Project amenities include a laundry room and a community space. The property acquisition and rehabilitation of Amazon Motel was largely funded by a $6.2 million Arizona Department of Housing Hotels to Housing grant using federal American Recovery Plan Act funds. Additional funding for the project was provided by the City of Tucson Framework Affordable Housing Acquisition and Programming as well as Pima County gap funding.
Old Pueblo Community Services, an experienced provider of services for unsheltered people, will provide long-term support for Amazon Motel residents.
Amazon Motel is the first of two developments on the property. The second project, called Amazon Flats, will include a new building with 59 new one-bedroom affordable housing units on a vacant lot adjacent to the motel.
"The Amazon Motel rehabilitation is a key example of efforts by the Mayor and Council, and Housing and Community Development to increase the number of beds and apartments to the City's growing inventory of permanent supportive housing," said HCD Director Ann Chanecka. "HCD has been laser focused on collaborating with community partners to work with individuals experiencing homelessness and to ensure their paths to permanent supportive housing."
The future development project Amazon Flats is part of the HUD Choice Neighborhood Implementation Housing Strategy in the Thrive in the 05. In 2023, the City received a $50 million Choice Neighborhoods Implementation grant from the U.S. Department of Housing and Urban Development. The eight-year grant is centered around residents, housing and neighborhoods in the Thrive in the 05, a neighborhood reinvestment initiative which began in 2018.
The bulk of the funds will be directed at rehabilitating Tucson House, and to create additional affordable and transitional housing. Other housing projects include Sugar Hill on Stone, 108 bedrooms in 66 affordable housing units under construction, and future developments at Stone and Speedway and South 10th Avenue.
The City purchased Amazon Motel in April 2023 and initially used the motel as a low-barrier shelter for 140 people during the development planning process. Of the 140 people who used the shelter, 86 found permanent housing.
Construction at Amazon Motel began in February 2025.