Montgomery Partners Expands into Pacific Northwest with $9M Apartment Complex Purchase

Montgomery Partners Expands into the Pacific Northwest

In a significant development for the real estate market, Montgomery Partners has marked its entry into the Pacific Northwest by purchasing the Westwood Green apartment complex in Tigard, Oregon, for $9 million. This acquisition not only signifies a major step for the firm but also highlights the increasing investment opportunities within this thriving region.

About the Property

The Westwood Green complex is noteworthy for its extensive layout, comprising eight two-story buildings that host a total of 53 units. Nestled in a sought-after locale, the property spans 4.56 acres and is conveniently located just a 20-minute drive from downtown Portland. This prime positioning between Beaverton and Lake Oswego makes it an attractive draw for new residents.

Acquired at approximately $169,800 per unit—almost a third of the replacement cost—this investment holds promise as Montgomery Partners aims to implement a strategic renovation plan. The projected year-one proforma cap rate stands at an appealing 6.30%, reflecting the potential for value growth and tenant appeal.

Strategic Expansion and Future Plans

Montgomery Partners sees this deal as a milestone in its growth strategy. According to Spencer Palmer, Vice President and General Partner, the firm’s approach in navigating a market with limited deal activity showcases its commitment to expanding its footprint. He described the property’s location as exceptional and expressed excitement about the renovation plans designed to enhance both the asset and the broader community in Tigard.

The comprehensive renovation strategy will target 45 of the units, modernizing their interiors to meet current market standards. Additionally, Montgomery Partners proposes several community upgrades, including improvements to the pool area, the addition of a dog park, new gas barbeque facilities, a pergola-covered gathering space, and improved landscaping, lighting, and signage around the property.

Community Insights

Tigard is recognized as one of the safest neighborhoods in the Portland metro area, known for its community vibe and access to essential amenities. The property is strategically positioned close to major employers, including the Nike World Headquarters and Intel's West Coast Headquarters, making it a desirable living area for professionals.

Families will also appreciate the location within the respected Beaverton School District, which adds a layer of value for potential tenants. The convenience of having a Whole Foods-anchored shopping center nearby, in addition to proximity to Washington Square Mall and various parks and dining options, further enhances Westwood Green's appeal.

Conclusion

With this acquisition, Montgomery Partners is set to influence the local real estate landscape significantly. By focusing on renovations to meet demand for quality and attainable housing, the firm is poised to attract a diverse range of tenants while contributing positively to Tigard’s community and housing market.

As Montgomery Partners embarks on this strategic journey, the expansion into the Pacific Northwest may signal the firm’s readiness to venture into new territories, bringing with it a commitment to elevating residential living standards. The developments at Westwood Green will be closely watched as they unfold over the coming months.