Three years ago, the One Jefferson apartment complex in Lake Oswego sold to San Francisco's Friedkin Realty Group and Jackson Square for $63 million.
Three years later, the same apartments have sold for $78 million, this time to Seattle's Security Properties and the California-based Pacific Life Insurance Company.
The partners announced the deal in a release today. Jon Hallgrimson, Eli Hanacek and Josh McDonald of the CBRE Capital Markets Pacific Northwest Institutional Properties team represented both the seller and the buyer. Nick Santangelo of CBRE’s Debt & Structured Finance organized the financing for the acquisition.
The 347-unit complex was built in 1987 and 1990. Security Properties plans to renovate the unit interiors and improve amenity areas and aesthetics.
"This deal epitomizes what we look for in value-add projects," said Barrett Sigmund, a senior director at Security Properties. "Lake Oswego boasts some of the best schools, demographics and proximity to jobs of any suburban Portland submarket. Additionally, given the barriers to entry and limited future supply, there should be little new product in the submarket for the foreseeable future. This dynamic allows us to reposition the property and provide residents a best-in-class physical asset on par with the A+ location."
Madrona Ridge Residential, an affiliate of Security Properties, will manage the property.
