Apartment Appraiser Provides Update on Portland/Vancouver Multifamily Market Based On Recent Sales
At the sold-out HFO Investor Roundtable on Tuesday, October 21st, Multifamily appraiser Jeremy snow gave an update of the Portland/Vancouver multifamily market.
He reported that although there is significant interest in multifamily investment, 2008 sales through September have fallen far below 2007 levels. CAP rates for 1970’s era properties are in the 6.5% to 7.0% range with newer properties selling in the 5.50% to 6.5% CAP rate range, with institutional grade Class A properties ranging from 4.5% to 5.5%.
Current apartment projects are under construction in Clackamas, the Sunset Corridor, and in Tigard. In downtown/close-in Portland, there are 10 apartments under construction or in lease-up, nearly all of them luxury apartments that will face extreme competition for tenants in the next 1-3 years during lease-up.
Download Jeremy’s full report by clicking here.
HFO Investment Real Estate specializes in multifamily brokerage sales and advisory services for commercial real estate investors and apartment owners throughout Oregon and Washington. Build your legacy at http://www.hfore.com