HFO Brokers Sale of 225-Unit Gresham Apartments for $37.25 Million

August 23, 2016

HFO Investment Real Estate (HFO) has sold the 225-unit Parkside Apartment Homes in Gresham, Oregon for $37,250,000.  HFO’s institutional team was able to execute a national marketing plan for the asset, demonstrating its ability to garner interest in the property from investor groups around the country.

Built in 1999, Parkside Apartment Homes occupies more than 8 1/2 acres adjacent to Gresham’s 32-acre Gradin Community Sports Park. The property is served by Tri-Met and offers renters easy access to nearby major employers and retail amenities.

The latest Industry reports demonstrate Gresham’s strength. The national apartment research firm REIS reports area vacancies at just 1%, leading REIS to forecast rent growth of 8% in east Gresham. “Rent growth throughout the Gresham market continues to match or outperform many areas of Portland,” said HFO partner Tyler Johnson. “As vacancies drop and rents rise, large institutional investors are taking advantage of the value added investments available in the submarket.”

Parkside Apartment Homes was purchased from New York-based KKR by BEF Holdings of Los Angeles, California. The sale represented a price per unit of $165,555 or nearly $183 per square foot. HFO partners Tyler Johnson, Cody Hagerman, Greg Frick and Rob Marton represented the seller in the transaction.