Holes in ArcGIS Polygons from AutoCAD

It remained a mystery to me how Polygons can be exported from CAD to ArcGIS with holes (or donuts, if you prefer to call it so) until recently.

I read in the GIS CAD Interoperability blog that when ArcGIS encouters a block, it considers all the objects inside it to create a multipart object (that is multipart polygon, multipart polyline or multipoint) which is exactly how ArcGIS stores its polygons with holes. 

That means that to create a polygon with hole in AutoCAD you only need to select the polygons creating the polygon and its holes and make a block, this will tell the ArcGIS when importing CAD data that it is a single object with multipart geometry.