Located at 4203 E. Indian School Rd., the 2.5-story 42nd Place was sold by Palm at Third LLC of Norfolk, NE, which was represented in the deal by Eric Wichterman and Stan Shafer with Grubb & Ellis/BRE Commercial LLC. The buyer, Walter Strazzara, sold several multifamily assets in the Valley and is investing the proceeds in other types of commercial real estate, says Robert Chester, a broker with Realty Executives of Phoenix, who represented Strazzara in the transaction.

"Walt has owned apartments for a long time and just wanted something that was less management intensive," Chester says. He tells GlobeSt.com that another buyer had put 42nd Place in escrow, but could not come up with the financing to acquire it. He then brought an offer from Strazzara. "He liked the quality of the building and the cash flow," Chester says.

Built in mid-1980s, 42nd Place is 72% occupied. Chester says Palm at Third guaranteed rent for the vacant space for 18 months. Strazzara plans to lease and manage the building, which rents for $17 per sf.