Today Microsoft Azure announced the Simplified restore experience for Azure virtual machines https://azure.microsoft.com/en-us/updates/simplified-restore-of-azure-vms/
Now we can restore an Azure VM directly with managed disks with a truly single-click operation.
In addition, we can restore only the unmanaged disks to a storage account and the process will create a template for us to create the VM on a later time.
So, at the recovery services vault, select a VM to restore and you will see two main options.
Create New: to create a new Virtual Machine with managed disks or to restore the disks with the ARM Template
Replace existing: To restore the VM in-place, replacing the current VM.
At both options you will need to select a Staging storage account, in order to restore the VHD files. Those file will be auto-converted to managed disks by the process.
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Source: e-apostolidis.gr