Well-located Portland, OR property offers opportunity for improvements in operations, tenant retention
SAN DIEGO–Pathfinder Partners (“Pathfinder”), a San Diego-based private equity firm specializing in multifamily real estate investments, today announced the acquisition of FortyOne 11 Apartments in Portland, Oregon for $27.4 million ($244,642 per unit). The investment was made from Pathfinder Partners Opportunity Fund VIII, L.P.(“Fund VIII”), raised in 2020 to make opportunistic multifamily investments.
FortyOne 11 is a 112-unit property located in an eclectic and vibrant suburb of northeast Portland. Pathfinder will focus on stabilizing the property’s operations while improving the resident experience and tenant retention. FortyOne 11 is 76% occupied, presenting an immediate opportunity to substantially increase cash flow through improved occupancy and rent collections and through better utility reimbursement and expense management.
“FortyOne 11 epitomizes our strategy for Fund VIII – a well-located, multifamily project which has struggled operationally during the pandemic,” said Mitch Siegler, Co-Founder and Managing Director of Pathfinder Partners. “With the availability of low-cost debt and shifting demographics, multifamily remains a highly resilient asset class.”
In addition to Portland, Pathfinder Fund VIII invests in Seattle, Sacramento, Southern California, Phoenix and Denver.
“With rising costs pushing millions of potential buyers to remain renters, there is a housing supply/demand imbalance in the U.S., with more renters than rental units available,” said Lorne Polger, Co-Founder and Managing Director of Pathfinder. “Multifamily properties such as FortyOne 11 have a track record of providing higher risk-adjusted returns compared to virtually all other property types and support the strategy of accredited investors looking to include real estate in their portfolios.”
About Pathfinder Partners
Headquartered in San Diego, Pathfinder Partners was founded by Lorne Polger and Mitch Siegler in 2006 to make opportunistic and value-add real estate investments. Pathfinder has acquired or sold $1 billion of properties since inception and currently has over $700,000,000 in real estate assets under management, primarily income-generating multifamily properties in six mid-tier cities in the western U.S.