Monday, March 18, 2013

Market Update: Albany and Corvallis Apartment Markets

Demand for apartments has brought the developers back into the market. Albany and Corvallis have a number of new construction project either proposed or permitted for this coming year.
Albany has a vacancy factor under 5% and currently Corvallis is reporting “negative” vacancy with waiting list on many properties.

Albany Update
Albany currently has a 90-unit apartment complex permitted and ready for construction on 34th and Hill. There is a proposed 120 unit development in North Albany at North Albany Rd. and Hwy 20, near the North Albany Village retail center. 
There were 5 apartment transactions in Albany in 2012.
  1. 1440 Geary Circle SE, Latitude 44, year built 1982, 125 units, $6,300,000.00
  2. 1938 Geary St SE, Wildflower Apartments, year built 2009, 44 units, $3,650,000.00
  3. 750 Queens Ave SE, Holly Square Apartments, year built 1965, 43 units,$2,200,000.00 (sale still pending)
  4. 1015 SW 5th Ave, 18 units, year built 1971, $770,000.00 
  5. 1958-1968 SE Marion St, 6 units, year built 1977, $350,000.00
Corvallis Update

Corvallis has continued to be a very tight market for sales of apartment properties. There is high demand for product with very few owners having the desire to sell. There were 2 apartment transactions in 2012.
  1. 6300 SW Grand Oaks Dr, Grand Oaks Apartments, year built 2002, 125 units, $14,500,000.00
  2. 755 NW 3rd St, Whispering Pines, year built 1964, 24 units, $1,350,000.00
Due to increasing student enrollment, Corvallis has a consistently high demand for apartments.  Slightly less than 800 units are proposed or permitted for Corvallis. This speaks well of the ongoing demand for apartment housing close to campus.

The following is a list of Corvallis apartment projects for 2013:
  • Timberhill Meadows- 135 units
  • 7th St. Station- 82 units
  • Walnut Creek- 80 units
  • Franklin Place- 28 units
  • Tyler Townhomes – 44 units
  • Harrison Apartments – 70 units 
  • Water Street – 27 units
  • The Sather property – 330 proposed units.  This property was recently annexed. Preliminary plans have been provided and numerous meetings with the City of Corvallis have occurred but no permits have been submitted.
It appears 2012 ended on a strong note for the multifamily sector and 2013 is shaping up to be another strong year.

The above information was obtained from the City of Albany and the City of Corvallis planning departments, as well as other third-party sources that are deemed reliable. If you need additional information or have questions feel free to email me at anita@hfore.com or call my direct number in our Portland office, 971-717-6336. It would be my pleasure to answer any questions you might have.
HFO Investment Real Estate is an investment brokerage firm with a focus exclusively on apartment properties in Oregon and Washington and provides a national selling platform with a unique insider’s knowledge of these local apartment markets. This complete attention on apartment investments enables HFO’s clients to make better investment decisions.  HFO Investment Real Estate: All Apartments - All the Time(SM).  Learn more at www.hfore.comwww.hfore.com.