Company Expands Its 'Strategic Footprint' With Oregon Acquisition
- Apr 17, 2012
Gresham, Ore.—Crossbeam Capital LLC, a Bethesda, Md.-based real estate investment firm, acquired the 225-unit Parkside apartment community located in Gresham, Ore.
“That market has been on our radar screen and this acquisition is the start of our strategic footprint in the greater Portland area,” Richard Devaney, CEO for Crossbeam Capital, tells MHN. “We see this as a key market for growth. Traditionally, the area has attracted a very strong base due to the lifestyle and a high percentage of 28-34 year olds, which represent the strongest renter population out there.”
The garden-style apartment community was originally built in 1999, and is currently 95 percent occupied. Crossbeam Capital plans to enhance the resident experience with approximately $1 million in upgrades.
“We will have an overhaul for common areas as well as interior improvements,” Devaney says. “Our signature enhancement program normally focuses on enhancing the amenity space and marketing window for residents so they can feel proud to bring friends to this community. It’s one of the nicest of all the comparables in the immediate submarket to allow it to drive traffic and retain residents through better services.”
Plans include new exterior paint combined with enhancements to the landscaping and individual apartment homes. Devaney says that as the units turn over, it will increase the quality of kitchens, baths and living areas through enhancements.
Located in the southeast portion of Gresham, a suburb of Portland, Parkside has excellent proximity to highways, the light-rail and is just 45 minutes from mountain recreation areas. The area has a high concentration of forward-looking industries such as computer software, design, environmental services, renewable energy and high-tech firms.
U.S. Bank Columbia Center employs 1,000 workers, the Boeing Company plans to build a $100 million plant within the next three years, and other major employers include FedEx, Owens-Corning, Legacy Medical Center and the 31,000-student Mt. Hood Community College.
“We are big believers in the people, the economy and the quality of life in Gresham and everything that signals for the growing rental market there,” says W. Bradford Blash, Chief Business Officer for Crossbeam Capital. “Over the next eight years, job growth in the Portland area is expected to increase nearly 10 percent, or 83,000 jobs, and we are confident the remodeled Parkside apartments will be well-positioned to help fill that need.”
Crossbeam recently acquired apartment communities in Colorado, Illinois and Texas, and has just broken ground on a new multifamily development in San Antonio. Devaney says the company plans to close on 1,000 more units in the Portland area by the end of the year as it looks to expand their presence in the Pacific Northwest.
Parkside was acquired by the estimated $300 million Crossbeam Apartment Fund II-2011 LP.