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PHOENIX-Guardian Management LLC has collected $17.8 million by selling the 180-unit Paradise Foothills Apartments to a newly formed TIC investment group. The TIC formation was completed 15 months after Guardian bought the asset from a local developer.

David Mikkelsen, senior associate of acquisitions for the Portland, OR-based Guardian, says the intent had always been to syndicate the complex at 12231 N. 19th Ave. as a TIC. He tells GlobeSt.com that Guardian spent about $950,000 in the past year to spruce up the 1980s-era, class B asset and bump occupancy to 95%.

Guardian Management, which has a 1% stake in the TIC, will continue to manage the complex. Guardian Management acquired Paradise Foothills Apartments in late February 2007 from Picerne Development Corp. for $16.4 million.The 15-building Paradise Foothills Apartments has one- and two-bedroom units ranging from 620 sf to 934 sf. Monthly rents go from $620 to $810.

“We have a total of six properties in Phoenix and this is the second one we’ve syndicated as a TIC,” Mikkelsen says. One asset was syndicated through a private placement while three more were bought and are being held in partnership with New York City-based Morgan Stanley Group Inc.

“We’re still definitely evaluating deals in Phoenix. Just about all of our deals are value-add,” Mikkelsen says. “We manage about 12,000 units between Seattle, Portland and Phoenix. You could say those are our specialty markets, and we’re familiar with them.”

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