Portland, Oregon: Sold! 8 Units on N. Portsmouth
This vintage eight unit sold for $820,000 and features studios and one bedroom units.
The property is located just north of Lombard on N. Portsmouth Avenue in Portland, Oregon and has (cliche alert) “tons of charm!”
The property features:
-Off street parking
-Great location 1/2 mile from New Seasons on N. Lombard
-“Rehab” deal with potential to upgrade quality and value
List price: $875,000
Sale Price: $820,000
Price per unit: $102,500
Cap rate (actuals): 6.67%
Price per square foot: $156.25
While the property transacted at a lower price than list, which is a rarity in this hot market, the buyer offered a quick close and an “as-is” purchase. This was a true “win-win” situation for the buyer and seller, as each party appeared to reach their goals.
The property has new plumbing with long term tenants.
In comparison to the market, there were multiple offers on the property, and the transaction ended below the 2017 market average of $134,000/unit for older properties (pre 2010 year built). However, there was some deferred maintenance which would increase the “all in” price post rehab. I was curious to see how many offers would come to the table, as I am seeing multiple offers across our listings over the past six to twenty four months. In this case, there were two offers, and I was slightly surprised we did not see more written offers. Is this a precursor of the Oregon apartment market changing? Stay tuned!
Bernard Gehret of Joseph Bernard Investment Real Estate represented the seller and Chris Johnson and Conor Finley of Core Realtors represented the buyer.