Kennedy Wilson buys Heatherwood Apartments
Yet another large apartment complex in Portland's suburbs is changing hands.
Global real estate investment company Kennedy Wilson acquired the Heatherwood Apartments for $51 million, with plans to invest another $5 million in improvements.
The acquisition fits squarely with the multifamily group's goals to invest in value-add opportunities in high-growth markets throughout the Pacific Northwest.
Back in September, Kennedy Wilson also purchased Latitude Apartments for $58 million, a complex located at 11282 S.E. Causey Cir., Happy Valley.
Improvements are slated to include upgrades to the unit interiors, the leasing office, the building exterior and amenities over the next several years.
Heatherwood, originally built in 1997, holds studios, one-, two- and three-bedroom units averaging 886 square feet. Currently, it's more than 90 percent occupied.
"Heatherwood Apartments fit right into our sweet spot as a value-add acquisition opportunity within an undersupplied but actively growing market," said Kennedy Wilson Managing Director Shem Streeter. "We see a significant potential for continued low vacancies and steady rental growth in Gresham, especially as we begin making targeted enhancements throughout the property. We are excited to be growing our presence in the Portland metro area, which is one of the strongest apartment markets in the U.S."
Kennedy Wilson's multifamily group currently has approximately 25,000 units under management, including more than 11,000 units in the Pacific Northwest. Kennedy Wilson, based in Beverly Hills, California, made its first investment in the Pacific Northwest in 2006.