We demonstrate a position sensitive avalanche photodiode (PSAPD) based compact gamma camera for the application of small animal single photon emission computed tomography (SPECT). The silicon PSAPD with a two-dimensional resistive layer and four readout channels is implemented as a gamma ray detector to record the energy and position of radiation events from a radionuclide source. A 2 mm thick monolithic CsI:Tl scintillator is optically coupled to a PSAPD with a 8mm×8mm active area, providing submillimeter intrinsic spatial resolution, high energy resolution (16% full-width half maximum at 140 keV) and high gain. A mouse heart phantom filled with an aqueous solution of 370 MBq (99m)Tc-pertechnetate (140 keV) was imaged using the PSAPD detector module and a tungsten knife-edge pinhole collimator with a 0.5 mm diameter aperture. The PSAPD detector module was cooled with cold nitrogen gas to suppress dark current shot noise. For each projection image of the mouse heart phantom, a rotated diagonal readout algorithm was used to calculate the position of radiation events and correct for pincushion distortion. The reconstructed image of the mouse heart phantom demonstrated reproducible image quality with submillimeter spatial resolution (0.7 mm), showing the feasibility of using the compact PSAPD-based gamma camera for a small animal SPECT system.