Waymo Buys Phoenix-Area Testing Grounds for $220 Million

Waymo plunked down nine figures for a more than 5,000-acre proving grounds site outside Phoenix.

The autonomous vehicle company acquired the 5,458-acre site at the northwest corner of 211th Avenue and Dove Valley Road in Surprise for $220 million, the Phoenix Business Journal reported. The seller was Route 14 Investment Partners LLC, a foreign entity, according to the state’s business database.

The City of Surprise had signed a development agreement with the prior owner and approved transferring the deal’s obligations to Waymo. Chrysler previously used the site to test its vehicles, and then Apple reportedly used it to test its own autonomous vehicles. The sprawling proving grounds are located on the border of Surprise and Wittmann.

Waymo cars have been in the Phoenix area since its early rider program launched in 2018, making the region one of the country’s premier autonomous vehicle testing grounds. The company, a subsidiary of Google owner Alphabet, began testing for driving on Phoenix-area freeways in early 2024. An aerial view of the site shows several circular tracks and grid-like streets for cars to simulate driving in cities or move at high speeds without endangering other drivers.

The self-driving car operator has been planting deeper roots in the Phoenix Valley. The company recently opened its first offices in the area with a 40,300-square-foot sublease in Tempe. Phoenix will also be the first to experience Waymo’s new Ojai vehicles — electric four-seat robotaxis designed in partnership with Chinese automaker Geely.

Toyota has a proving grounds spanning more than 11,000 acres on the opposite side of Wittman. Last year, the Japanese automaker announced it was investing $50 million to upgrade the site with a new oval track, off-road park and a facility for developing advanced drive assistance technology. Toyota started welcoming other companies to use it as a testing site in 2021. Waymo’s new testing grounds are also near BNSF Railway’s proposed $3.2 billion logistics park and intermodal facility, which has faced significant pushback from locals and the City of Surprise itself.

— Chris Malone Méndez