CBRE Secures $28 Million Sale of Multnomah County Central Courthouse in Downtown Portland
06 12 2018
CBRE announced the sale of the historic Central Courthouse located at 1021 SW 4th Avenue in downtown Portland, OR, which closed on November 14th, 2018. The century-old building, which is listed on the National Register of Historic Places, has been acquired by Portland-based NBP Capital, LLC for $28 million.
The building is currently home to Multnomah County’s court operations, and the County will continue to lease the property until completion of its new Central Courthouse at SW 1st Avenue and SW Madison Street in 2020.
Charles Safley and Graham Taylor of CBRE’s Portland office represented Multnomah County in the sale.
“The per square foot sale price we received for the old courthouse was strong for a historic building in Portland,” said Bob Leek, interim director of Multnomah County’s Department of County Assets. “The County was pleased to get a good value for the asset, reflecting the healthy local real estate market.”
“Our team at NBP Capital is grateful for the opportunity to preserve, protect, and renovate one of the most special assets in the Portland-Metro. This acquisition fits perfectly within our long-term business plan to acquire and convert value-add real estate investments within the central city,” said Ryan Feigelson, NBP Capital.
“The Multnomah County Courthouse received a tremendous reception from the investment community. At the time of sale, this was the largest opportunistic conversion project west of Denver in any major urban area. Our marketing efforts garnered more than 170 unique buyer confidentiality agreements, which is an extraordinary response. Our team couldn’t be happier with the smooth performance of our selected buyer, and we can’t wait to watch the project transform in the future,” said Charles Safley, First Vice President, CBRE.
Built between 1909 and 1914, the eight-story, neo-classical building has a gross building area of 323,486 sq. ft. with a rentable building area yet to be determined after conversion. The County Courthouse has large floor plates above 30,000 sq. ft. and flexible CXd Zoning allowing for a variety of commercial uses.
Key terms of the lease include:
- Zero base rent for 24 months from closing date: two 2-month extension options, $50,000 and $100,000 base rent per month, respectively.
- County to pay all insurance, taxes, maintenance and operations expenses during lease.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.