Behind-the-Scenes Trade Seals 32-Unit Deal

The 32-unit Monterey Apartments was languishing with a 50% vacancy rate and no on-site management when Avram and Benjamin Covaciu from Phoenix stepped up with an offer that was too hard to turn down, Paul Gross with CB Richard Ellis Inc.'s Phoenix office tells GlobeSt.com. "It was owned by an out-of-town group who were breaking up their partnership and had no one here to rent it," he says of the single story, resort-style complex at 4427 N. 27th St. in the city's prestigious Biltmore neighborhood.

It didn't take long for the Portland sellers--Steven and Mary Kaer, Fred and Patricia Granum and Bradkath LLC--to accept the Covacius' offer, preferring to take the unsolicited bid rather than put the property on the market. "I think if it went on the market it probably would have generated a significant amount of interest due to its look and location," says Gross, who described the 26,752-sf complex as "a beautiful little spot" well located near the city's Camelback Corridor.

"It has an old traditional-type look to it. When you walk on the property, you get the feeling of one of those old Scottsdale or Phoenix resorts. It's very serene," Gross says.That serenity already has appealed to several tenants who have rented eight of the apartments since the new owners took over about two weeks ago," he says, adding he expects full lease-up in a few more weeks.

The new owners were assisted in the sale by Gross and Todd Braun, also with CB Richard Ellis. Braun and CBRE broker Brett Polachek handled talks for the sellers.