Newmark Capital Markets has completed the $68 million sale of 400 Sixth Avenue, a 208,477-square-foot Class A office tower in Portland, OR. Located in the Portland CBD, the 11-story multi-tenant property features up to 17-foot slab-to-slab heights, unique 10-foot window lines, is transit-oriented and provides unobstructed views of Mt. Hood to a potential new anchor tenant.
Newmark Capital Markets Vice Chairman Nick Kucha and Director James Childress, who recently joined as part of the Pacific Northwest Capital Markets team covering Portland and Seattle, represented the seller, Felton Properties. Newmark Executive Vice President and Managing Director David Squire provided local leasing advisement during the sale process. The buyer, a joint venture between SteelWave and Barings Real Estate Advisers, acting on behalf of an institutional investor, was self-represented.
“We have been evaluating the Portland market for two years and are excited to make our entry into Portland, in this cycle, by acquiring an asset with such great potential. With our partner, Barings, we have significant improvement plans for this asset,” said Managing Director of Acquisitions and Development Peter Llorente with SteelWave.
“The acquisition of this building provides an opportunity to continue an investment strategy that has proven successful in other markets with creative, forward-thinking tenants,” added Chris Black, Managing Director with Barings Real Estate Advisers. “Highly amenitized common areas will be constructed and office spaces will be built out to accommodate tenants desiring a collaborative work environment.”
The sale represents the first transaction for the new Portland-based Pacific Northwest Capital Markets team. “The buyer plans to reposition this well-located asset to creative office and will add to and modernize the existing amenities in order to create a best-in-class tenant experience,” said Kucha.
Childress added: “This property sale is testimony to a market that is continuing to show strength and growth. Institutional real estate capital views the fundamentals of Portland with optimism and wants to be here. We expect to see continued upward pricing momentum as outside groups look to plant a flag in Portland’s office market, as tenants and as buyers.”
Situated on a half-city block in the heart of Portland’s CBD, the property features subterranean parking, bike storage, fitness center, tenant lounge, and is strategically positioned on the transit mall which allows direct access to bus and light rail providing tenants a multitude of transportation options.
Barings Real Estate Advisers is part of Barings LLC, one of the world’s largest diversified real estate investment managers. The group is an active investor in private and public, equity and debt markets, and provides core, value-added, and opportunistic investment and advisory services to institutional and other qualified investors around the globe.
Barings is a $299 billion* global financial services firm dedicated to meeting the evolving investment and capital needs of our clients. We build lasting partnerships that leverage our distinctive expertise across traditional and alternative asset classes to deliver innovative solutions and exceptional service. A member of the MassMutual Financial Group, Barings maintains a strong global presence with over 650 investment professionals and offices in 16 countries. Learn more, at www.barings.com.
*As of September 30, 2017.
Newmark is one of the world’s leading commercial real estate advisory firms. Together with London-based partner Knight Frank and independently-owned offices, Newmark’s 15,000 professionals operate from more than 400 offices in established and emerging property markets on six continents.
With roots dating back to 1929, Newmark’s strong foundation makes it one of the most trusted names in commercial real estate. Newmark’s full-service platform comprises BGC’s real estate services segment, offering commercial real estate tenants, landlords, investors and developers a wide range of services including leasing; Newmark Capital Markets services, including investment sales, debt placement, valuation and advisory services; commercial mortgage brokerage services; as well as corporate advisory services, consulting, project and development management, and property and corporate facilities management services. For further information, visit www.ngkf.com.
Newmark is a part of BGC Partners, Inc., a leading global brokerage company servicing the financial and real estate markets. BGC’s common stock trades on the NASDAQ Global Select Market under the ticker symbol (NASDAQ: BGCP). BGC also has an outstanding bond issuance of Senior Notes due June 15, 2042, which trade on the New York Stock Exchange under the symbol (NYSE: BGCA). BGC Partners is led by Chairman and Chief Executive Officer Howard W. Lutnick. For more information, please visit www.bgcpartners.com.