$40M Rolls 244,651-SF Office Deed in CBD

PHOENIX-Nearly two years after it acquired the 244,651-sf One11 West Monroe, an Arizona investment group has sold it for twice the amount that it paid. The 18-story, class A building, originally slated for an office condominium conversion, has traded for $40 million to a San Diego-based investment group.

Biltmore Holdings LLC of Scottsdale bought the 1980s-constructed building at 111 W. Monroe St. and an additional two acres across the street for $20 million in April 2005 from a bank. “People thought they were out of their mind to pay $20 million for all of that,” says Steve Brabant, first vice president with CB Richard Ellis in Phoenix. The vacant land was not part of the latest trade, says the seller’s broker, who adds that Biltmore is looking at other options for the tract.

Brabant tells GlobeSt.com that Biltmore’s principals invested nearly $6 million to prepare the building for condo conversion, but then took another look at the asset and decided to sell it because of the hot market. “This was a classic timing play, accented by the transformation happening in Downtown Phoenix,” he says.