Edison Apartments in Gresham sell for nearly $20 million
The Edison Apartments have sold for $19.5 million as of April 8, according to independent commercial real estate firm Kidder Matthews, who represented the seller.
Built in 2020, the Edison Apartments is a 64-unit multifamily property located at 1833 S.E. Sixth St. in Gresham.
Jordan Carter is an executive vice president with West Coast-based Kidder Matthews.
"Edison Apartments was a unique and highly desirable opportunity in our market — a newly built suburban asset with significant loss-to-lease given the dramatic rent growth it experienced over the 15 months since it initially started leasing," Carter said.
Los Angeles-based Trion Properties sold the Edison Apartments to RM Communities, according to Kidder Matthews.
Trion has owned and managed 18 properties in the Portland metro area since 2015, as well as some properties in California, Colorado and other states. Trion recently acquired two other apartment complexes in Beaverton.
While a number of multifamily properties in Portland have changed hands, not many new multifamily apartments are being built. Some local experts have called for a need to make it easier to build and operate all kinds of rental properties, the Tribune previously reported.
Max Sharkansky, managing partner at Trion, said the firm initially acquired the property in October 2020 for $12 million.
"This was a departure from our typical strategy in the Portland area of acquiring apartment communities of older vintages and implement light-to-moderate value-add renovations," Sharkansky said. "With strategic timing and effectively communicating the strengths of the property and market with the team at Kidder Mathews — who were instrumental in making the deal happen and went above and beyond to ensure a successful sale — we were able to sell the asset for well over the initial purchase price."
According to Sharkansky, Gresham is projected to be a hot spot for high rent growth in the Portland metro area.
"The city of Gresham is the manufacturing and distribution hub of Portland, with industrial tenants continuously flocking to the area," Sharkansky said. "With the ongoing boom of industrial asset classes, Gresham is well positioned to continue to benefit from economic expansion tied to the rise of the e-commerce industry. The continued expansion has led to an increased need for quality housing to support the growing population of employees. Despite the increasing population, new construction has been limited as developers have focused on Portland's core during the economic expansion. The result has been a submarket with some of the tightest vacancy rates and fastest rising rents in the state."
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