PHOENIX-Hillcrest Arms, a 26-unit "fixer-upper," has come into the hands of a Mesa, AZ investor for $1.05 million, following a seven-day turnaround.
"The buyer had no contingencies, he was aggressive and got the deal done," comments Brian Smuckler of Marcus & Millichap Real Estate Investment Brokerage Co.'s Phoenix office. Smuckler, with colleague Jeff Seaman, represented the buyer, Premier Rentals LLC and the seller, Robert L. Sherman Trust of Westlake Village, CA.
Built in 1983 and listed at a $1.195 million, the property attracted multiple offers and because of its strong location at 1908 N. 32nd St. However, "this wasn't a deal for everyone," Smuckler tells GlobeSt.com. "It was a matter of finding the right match for the property."
One reason is that the property, which is 60% vacant, needed care and rehab. The buyer was willing to put both into it. "This was a distressed building but with good bones," Smuckler says. "The buyer ended up being a local value-added investor that plans to come in and quickly turn things around." Smuckler estimates that getting the building into shape could cost the buyer anywhere between $50,000 and $100,000.
"The buyer liked the fact that this was 1980s construction, individually metered and in an East Phoenix location," he adds. "He's familiar with these types of buildings, and he has a good plan to completely renovate it."
Situated on nearly one acre, the property has a mix of studio, one- and two-bedroom units ranging between 450 sf and 1,000 sf. Rents currently run at $375 to $600 per month.
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