Modus Development hopes to redevelop Hotel Monroe in Phoenix

A investment consortium from San Diego and Modus Developmentare close to buying the Hotel Monroe building in downtown Phoenix for close to $8 million and redevelop it into a 150-room boutique hotel. Grace Communities bought the downtown building in 2007 via a $27-million loan from Mortgages Ltd.

ML Manager is a receivership company formed after the Chapter 11 bankruptcy of Mortgages Limited. ML Manager has owned and has been trying to sell the 82-year-old Monroe building since foreclosing on Grace Communities in 2010.

A sale could close by September 23 said Mark Winkleman, COO of ML Manager LLC, and as reported by the Phoenix Business Journal.

The 157,000-square foot building was built in 1931 and is on the National Register of Historic Places.

Winkleman said the group has formed a real estate entity called Grasshopper One LLC as part of its purchase effort.

A $7 million bid to buy Hotel Monroe by Evergreen Development Co. Inc. fell short last year as did some other sales efforts.
 

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