Individual Portland Apartment Sales >$450K – March 2013

<<<Mar13vsMar12_PortlandAptSales>>>

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Attached is a list of individual Portland-area sales of apartment complexes greater than $450,000 in March 2013.  We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to February 2012 averages.  March 2012 had 2 large sales (264 and 554 units) that  skews averages.

Side note for apartment owners – The Oregon legislature is considering a bill which will not allow a landlord to base tenant acceptance on whether they use an individual Section 8 voucher for rent payment.  Details are at:

http://gov.oregonlive.com/bill/2013/HB2639/

If you feel strongly either way, please be sure to make your elected representative aware of your feelings.

We’ve issued our 2007-2012 history broken down by county.  If you’d like a copy, eMail me and I can send under separate cover when done.

If you’d like more information on:

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using Financial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – Feb 2013

<<<Feb13vsFeb12_PortlandArea_AptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Attached is a list of individual Portland-area sales of apartment complexes greater than $450,000 in February 2013.  We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to February 2012 averages.  February 2012 had 2 large sales (274 and 255 units) that  skews averages.

Sellers are still not very motivated since returns year-over-year on apartments continue to grow.  We think this year the growth rate in rents will slow and owners should focus on attracting/keeping good tenants and work on keeping expenses well-managed.

NOTES:

Hot Markets – Multnomah county and Beaverton-Hillsboro are in demand due to jobs, average income and proximity to amenities

Interest Rates – Recently the economy has show some initial signs of strength (after four years we should hope so) and long T-bills have begun to drop in price (which means yields go up).  Both of these are indicators of a rise in interest rates.  If you have not locked in a long-term loan on your property – DO IT NOW!

We’ve issued our 2007-2012 history broken down by county.  If you’d like a copy, eMail me and I can send under separate cover when done.

If you’d like more information on:

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using Financial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – Jan 2013

<<<Jan13vsJan12_PortlandArea_AptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Attached is a list of individual Portland-area sales of apartment complexes greater than $450,000 in January 2013.  We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to December 2011 averages.  January 2012 had 1 sale of 140 units (plus retail)  at $55M that  skews averages.

NOTES:

Hot Markets – Multnomah county and Beaverton-Hillsboro are in demand due to jobs, average income and proximity to amenities

Interest Rates – Recently the economy has show some initial signs of strength (after four years we should hope so) and long T-bills have begun to drop in price (which means yields go up).  Both of these are indicators of a rise in interest rates.  If you have not locked in a long-term loan on your property – DO IT NOW!

We’ve issued our 2007-2012 history broken down by county.  If you’d like a copy, eMail me and I can send under separate cover when done.

If you’d like more information on:

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using Financial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – Dec 2012

<<<Dec12vsDec11_PortlandArea_AptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Attached is a table of individual Portland-area sales of apartment complexes greater than $450,000 in December  2012.  We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to December 2011 averages.  November 2011 had 3 sales greater than 100 units that  skews averages.

NOTES:

Huge burst of activity in Dec 2012.  In the Portland metro area 24 complexes (vs. 16 in Dec 11) changed hands.  Probable reason is the increase in Cap Gains rates (15 to 20%) and introduction of a tax/fee (your choice) for “ObamaCare” (approx 3.8% on gains.

Hot Markets – Multnomah county and Beaverton-Hillsboro are in demand due to jobs, average income and proximity to amenities

Interest Rates – Recently the economy has show some initial signs of strength (after four years we should hope so) and long T-bills have begun to drop in price (which means yields go up).  Both of these are indicators of a rise in interest rates.  If you have not locked in a long-term loan on your property – DO IT NOW!

NEXT MONTH – Within two weeks we’ll issue our 2012 activity summary and 2007-2012 history broken down by county.  If you’d like an earlier copy, eMail me and I can send under separate cover when done.

If you’d like more information on:

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using Financial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – Nov 2012

<<<Nov12vsNov11_PortlandArea_AptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Attached is a table of individual Portland-area sales of apartment complexes greater than $450,000 in November  2012.  We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to November 2011 averages.  November 2011 had 3 sales greater than 100 units that  skews averages.

NOTES:

Fewer large sales so far this year.  In Nov 12 one large (>100 units) sold.  In Nov 11, 3 large complexes sold.  So far in 2012 the average sold complex size is 44.5 units, in 2011 it was 64.5 units.

Hot Markets – Multnomah county and Beaverton-Hillsboro are in demand due to jobs, average income and proximity to amenities

CapRates – While sales of smaller complexes are picking up, most of the down pressure on CapRates is driven by larger sales and institutional buyers.  There is an abundance of money looking for a better return and in tax-sheltered investments like apartments.

NEXT MONTH – In addition to a Dec 12 summary, we’ll be posting a 2012 full-year summary with comments.  If you’d like an earlier copy, eMail me and I can send under separate cover when done.

If you’d like more information on:

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using Financial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – Oct 2012

<<<October12vsOctober11_PortlandArea_AptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Attached is a table of individual Portland-area sales of apartment complexes greater than $450,000 in October  2012. We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to September 2011 averages.  October 2011 had 2 sales greater than 100 units each that  skews the averages.

Year-over-year – October 2012 shows a nice increase in all sizes of apartments with total transactions (14 – Oct 12 vs. 9 – Oct 11) and a CapRate decrease (5.46% – Oct 12 vs. 6.85% – Oct 11).

Albeit, the CapRate decrease is driven by 3 large sales of which one is a true trophy property (downtown Portland and river front.)

The lure of low finance rates is starting to be realized by smaller buyers also which drives transaction volume.

Whether you keep or sell your property, you need to focus on increasing the net income to you or any future buyer!

If you’d like more information on:

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using FInancial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – Sept 2012

<<<Sept12vsSept11_PortlandArea_AptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Attached is a table of individual Portland-area sales of apartment complexes greater than $450,000 in September  2012. We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to September 2011 averages.  September 2011 had 3 sales greater than 100 units each that  skews the averages.

In general, buyers are still picky about returns on properties, so if you do have issues with your property like deferred maintenance or low rents, it behooves you to remedy them before you list.

In addition, your tenants usually aren’t any better looking than your property.

Whether you keep or sell your property, you need to focus on increasing the net income to you or any future buyer – Always!

If you’d like more information on:

– A comparative analysis of your property vs. your neighborhood with specific comp properties for sale and listed and a rent survey, or

– Analyzing your property to maximize your income to see how you can make more money or get a higher sales price, or

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using FInancial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – Aug 2012

<<<Aug12vsAug11_PortlandArea_AptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Above is a table of individual Portland-area sales of apartment complexes greater than $450,000 in August  2012. We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to August 2011 averages.  August 2011 had 2 sales that totaled almost $70M which skews the averages.

Aug 2012 had one large (202 units) sale.  In comparison to Aug 2011 there were 2 large (>100 unit) sales (one senior housing project at a high cap rate and one market-rate complex).

However, we look to be about 75% of what was sold in 2011 in terms of projected total sales dollars by year end.  Other indicators:

CapRate = 6.86% (vs. 6.84% in FY2011)

$/unit = $91,776 (vs. $83,898 in FY2011)

$/unit = $91,776 (vs. $83,898 in FY2011)

$/sqft = $106.53 (vs. $96.06 in FY2011).

While CapRates remain constant, price inflation can be attributed to a very healthy rental market with low vacancies which means more income.

While there are lots (approx. 8,000) of units planned, due to 2012 soft costs, it’ll be hard for them to compete with existing rental stock (i.e. a new 2 bed may have to rent for $2000/month to pay the mortgage).

If you’d like more information on:

– A comparative analysis of your property vs. your neighborhood with specific comp properties for sale and listed and a rent survey, or

– Analyzing your property to maximize your income to see how you can make more money or get a higher sales price, or

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using FInancial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593

Individual Portland Apartment Sales >$450K – July 2012

<<<July11vsJuly12_PortlandAptSales>>>

RIGHT-CLICK ABOVE LINK (and SAVE LINK AS) TO DOWNLOAD THE DETAILED REPORT

Above is a table of individual Portland-area sales of apartment complexes greater than $450,000 in June 2012. We’ve included $/unit, $/sqft , unit count, year built and CapRate (as reported) and a comparison to July 2011 averages.  July 2011 had 3 sales that totaled almost $75M which skews the averages.

July 2012 is the third month in a row without any large (>100 units) sales.  A comparison to July 2011 is difficult since there were 3 large sales in Jun 11 and none in Jun 12, however, sales figures seem flat.

However, we look to be about 75% of what was sold in 2011 in terms of projected total sales dollars.  Other indicators:

CapRate – 2012 reported is averaging almost exactly what 2011 is so far at about 6.8% overall

$/sqft and $/unit – 2012 is running higher than 2011.  For reported sales thru today, $/unit = $94,223 (vs. $84,893 in 2011) and $/sqft = $106.63 (vs. $97.37 in 2011).

While CapRates remain constant, price inflation can be attributed to a very healthy rental market with low vacancies.

While there are lots (approx. 8,000) of units planned, due to 2012 soft costs, it’ll be hard for them to compete with existing rental stock (i.e. a new 2 bed may have to rent for $2000/month to pay the mortgage).

If you’d like more information on:

– A comparative analysis of your property vs. your neighborhood with specific comp properties for sale and listed and a rent survey, or

– Analyzing your property to maximize your income to see how you can make more money or get a higher sales price, or

– Details/background on individual sales in the report, or

– Free copy of our 80-page book – Buying, Selling and Operating Apartments Using FInancial Analysis

Please contact me:

Steve Morris – Senior Advisor Multi-Units
Sperry Van Ness – Bluestone & Hockley
steve.morris@svn.com  / (503) 970-4593