Completion of X Wine Lofts, an 82 unit condominium project on Osborn Road just west of Scottsdale Road, is on indefinite hold until Mortgages Ltd (lender) and Grace Communities (developer) work things out according to a December 27, 2008, Arizona Republic article.
Mortgages Ltd sued Grace Communities claiming the developer defaulted on a $32 million loan for another Scottsdale project called Portales Place. On the other hand Grace claims that Mortgages Ltd did not live up to an agreement to fund it loans on X Wine Lofts and another project.
According to the article 64 prospective buyers at X Wine Lofts have all cancelled their contracts and received a refund of earnest money.
Clearly no one knows how this will all shake out but in the short term it’s probably good for everyone that X Wine Lofts is sitting uncompleted. Afterall, there is clearly a glut of urban condominiums throughout the Valley and the market certainly doesn’t need another 82 units vying for buyers. It’s a shame too because X Wine Lofts is a very nice community in a good part of town.
My guess is that once the dust settles prices at X Wine Lofts will be much lower than originally offered.
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