You know the one I am talking about. The tall, unfinished building in downtown Tempe, just off Mill Avenue that will house luxury urban units; they are slated to be rented out instead of sold at this time.
The new owner is Zaremba, a large privately held real estate company based out of Cleveland, but with many offices around the country including Phoenix.
Construction will continue after the closing is completed, the company said. The target market will be mostly to students and upper class men, as well as anyone else who wants to live in a class urban environment.
The project has been empty for about two years after a dispute heated up between the original developer and and the main construction lender. That can spell big trouble and did. But, it got worse when the owner of the mortgage company committed suicide in June of 2008. So, the project went into Chapter 11 soon after that, and has been there ever since. Until now.
So, check this out- think that only residential homeowners are losing money on deals? Think again. The property was sold for $30 million, and the loans totaled about $135 million. Ouch. It was reported that as many as 1,000 investors had put money into the lender who went under.
**|**
Bryan Watkins sells real estate in Tempe, Mesa, Gilbert and Chandler Arizona. Want to check out a decked-out MLS search? You can now see the same MLS screens that we do as Agents at www.LRARealEstate.com.
__________________
__________________________
__________________________________
Comments(0)