JLL Capital Markets closes $44 million sale of 103-unit Misty Ridge apartments in Happy Valley, OR

Carrie Kahn

 

 PORTLAND, OR – JLL Capital Markets has closed the $44 million sale of Misty Ridge, a 103-unit, garden-style multi-housing community in Happy Valley, OR in the Portland MSA.

 JLL marketed the property on behalf of the seller, Misty Apartment, LLC, and the developer Gramor Development Inc. DHIJ Management acquired the property.

Ira Virden

The JLL Capital Markets Investment Sales Advisory team representing the seller was led by Senior Managing Director Ira Virden, Senior Director Carrie Kahn and Associate Frank Solorzano.

 “Happy Valley has experienced 28 percent population growth over the last five years and has become one of the most desirable investment submarkets in the Portland MSA,” said Virden.

“Misty Ridge is a truly unique asset that is next door to a New Seasons, and the community offers protected sweeping views of the Willamette Valley that makes it extremely difficult to replicate.”

Frank Solorzano

Misty Ridge comprises one-, two- and three-bedroom units averaging 953 square feet.

Units feature full-size washer and dryers, air conditioning, walk-in closets, stainless steel appliances and USB outlets.

The community offers a clubhouse, outdoor kitchen and dining lounge, fire pit, dog park and parcel lockers.

 Located at 12846 SE 157^th Ave., Misty Ridge is surrounded by a host of expanding healthcare, educational and manufacturing companies, including Providence Health Willamette Falls Medical Center.

Misty Ridge apartments,
a 103-unit, garden-style multi-housing
 community in Happy Valley, OR
in the Portland MSA.

The property’s location connects residents to major transportation arterials, granting access to downtown Portland in 25 minutes via the MAX light rail at Clackamas Town Center Transit Station.

For more news, videos and research resources on JLL, please visit our newsroom.

 Contact: 

Cierra Lacasse

 JLL Associate

 Public Relations

Phone: +1 602 648 8701

Email: Cierra.Lacasse@am.jll.com

 

 

Stan Johnson Co. Brokers $9 Million Sale of South Tulsa Retail Center Next to Woodland Hills Mall

Maggie Holmes 

 

 St. Louis, MO --  Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of a multi-tenant retail center located at 7020-7030 South Memorial Drive in Tulsa, Oklahoma.

 The Burlington-anchored center totals more than 102,000 square feet across two buildings and includes an outparcel occupied by men’s clothing retailer, DXL.

Mike Sladich

Stan Johnson Company’s Mike Sladich, Jeff Hughes, Maggie Holmes and Michael Watson exclusively represented the seller, a Baltimore, Maryland-based investor.

 A private 1031 exchange buyer from San Jose, California purchased the asset for $9.1 million.

 “This asset had some obstacles to overcome in the sales process, namely the oversized box for the main tenant, Burlington,” said Sladich, Regional Director and Partner in Stan Johnson Company’s Atlanta, Georgia office.

 

Jeff Hughes

 “Burlington has communicated their intent to decrease their average store size and operate in the 25,000-30,000-square-foot range moving forward.

 "Because this site featured a larger floorplate commitment of 55,000 square feet, there was little to no interest from institutional investors that typically would have jumped to acquire an asset like this.

 "However, this opened the door for private investors to purchase a well-located, multi-tenant center in the heart of south Tulsa’s retail corridor, and we were able to secure a California exchange buyer who saw the intrinsic value of the shopping center.”

 The property is located at the intersection of South Memorial Drive and East 71st Street and is adjacent to the more than 1.0-million-square-foot Woodland Hills Mall, which is Tulsa’s highest-volume regional shopping mall anchored by Dillard’s and Macy’s, among others.

Michael Watson

 The retail center benefits from high visibility from more than 80,000 vehicles per day and features signalized access.

  New retail construction and redevelopment in the surrounding area, along with infrastructure improvements, continue to support a growing residential population with strong household demographics.

 

Contact:

   David Ebeling

   Ebeling Communications

   (949) 278-7851

   david@ebelingcomm.com

   www.stanjohnsonco.com

 

"There's simply too much money chasing too few goods" -- John Oharenko, Director, The Real Estate Capital Institute

 

John Oharenko

Chicago, IL – The Fed recently announced that inflation is slowly returning.  

For the first time since the pandemic in early 2020, the five-year benchmark interest rate returned to the 100-basis-point-plus threshold during the quarter. 

 Even with inflation fears, lenders battle for funding opportunities, as few other lending categories offer similar yields to real estate loans.  

John Oharenko, Director of The Real Estate Capital Institute, suggests, "For the right property, investors continue to break any glass ceilings for both equity and debt underwriting.

"There's simply too much money chasing too few goods."

With more funding competition, the following realty capital market trends emerge based on the word "higher":

Higher Prices:  As with lending capital, equity funds also represent an insatiable demand for income properties.  Borrowers pay up for various real estate projects, as many investors are flush awash with fresh capital. 

 In particular, industrial property values increased by more than twenty-five percent, and apartments climbed by about twenty percent since the pandemic.

Higher Leverage:  As commercial real estate prices rose over the past few years, lenders relied on traditional debt coverage ratios (e.g., 125%) to restrict loan proceeds.  

As a result, such underwriting generated loan amounts of 65% to 70% LTV.  Now, some lenders loosen restrictions allowing for lower debt coverage rates. 

 Loan amounts are climbing to as much as 80%, especially for desirable [multifamily, industrial] property loans.

Higher Capital Stacks:  Selective capital sources offer more significant portions of funding proceeds, including both debt and equity combinations.  

Such players contribute as much as 90% to 95% of the capital stack, allowing seasoned borrowers further to maximize their leverage position and cash flow returns.

 

The Real Estate Capital Institute® is a volunteer-based research organization that tracks realty rates data for debt and equity yields.

 The Institute posts daily and historical benchmark rates, including treasuries, bank prime, and LIBOR.  

 Chicago, Illinois USA 60622

Contact:

 John Oharenko 

 Executive Director

john.oharenko@reci.com

director@reci.com / www.reci.com