The 138-unit Villa La Paloma Apartments at 7722 Reseda Blvd., Reseda, CA, has sold for $14.5 million, or $105,072 per unit. Investor Lucille Hotnog of the West Hollywood-based Blue Jay Group sold the multifamily building to Steve Siemens, investor/owner of Los Angeles-based PCS Corp. The seller will defer the tax liability on this transaction, which was the down-leg of a 1031 exchange. The buyers own other properties in the area and were motivated by the economies of scale realized by owning multiple buildings in the area. Other attractive factors were the stable 96% occupancy and swift turnover of vacant units. Constructed in 1978, the building has been adequately maintained but the buyers intend to add value by cleaning up the image of the building and restoring worn exterior and interior fixtures. There’s no word on the up-leg of the 1031 exchange, however the seller purchased the building in 2003 for $10.5 million, providing plenty of options for the replacement property. Jeff Louks of Marcus & Millichap represented the seller, while Gary Fox of Miller & Desatnik Realty was the buyer’s broker. Please see CoStar COMPS #2759987 for more information on the transaction.