For buyer, Shanbagham LLC, of San Ramon, CA, the $3.4-million deal provided a cash-flowing property with a strong tenant base while seller Silver Tree/35th Ave. LLC, of Phoenix, found that the sale offered an opportunity to upgrade its real estate holdings through a 1031 Exchange. The seven-building, 96-unit apartment complex at 4336 N. 35th Ave. in Phoenix is the second purchase in a year for Shanbagham, which made its first venture into the Valley's real estate market with an apartment property in Tempe.

"It cash flows very nicely and has very little deferred maintenance," Julie Vaughn, with Sperry Van Ness, tells GlobeSt.com of Shanbagham's latest deal, a 1986-built frame and stucco complex comprised of 16 studios, 42 one-bedroom, 16 two-bedroom and 24 three- bedroom units. "Given the neighborhood, it's much better liked by tenants because the occupancy is always high."

Occupancy is so high, in fact, that the property had only one or two vacant units when the California firm took it over from Phoenix-based seller, Silver Tree/35th Ave. LLC. For the limited liability company, the sale offered an opportunity to fulfill a 1031 Exchange by moving into a larger property, Vaughn said. She represented both buyer and seller in the transaction.