Portland-based Langley Investment Propertiesis planning to build about 750 apartments in the heart of the Lloyd District. The project, on behalf of a San Diego-based real estate investment trust, is one of the largest single apartment projects in the city’s history.
A mixed-use project on the Lloyd District “superblock” site has been in the works for some time, but Mayor Sam Adams announced fresh details of the project in his State of the City address Friday. He said it would cost about $250 million, calling it the city’s “largest private sector-only investment in years.”
This project alone would almost equal the 852 apartment units granted building permits citywide in 2011. Those projects, spread across 21 developments, cost an estimated $87 million combined.
Permitting is expected to finish this year, with 28 months of construction beginning early next year, a spokeswoman for Langley said.
In a city craving new apartments — the U.S. Census Bureau said this week the city had the second-tightest major rental market in the country, with 3.4 percent vacancy — commercial real estate brokers say the project will have no problem filling up.
In a city craving new apartments — the U.S. Census Bureau said this week the city had the second-tightest major rental market in the country, with 3.4 percent vacancy — commercial real estate brokers say the project will have no problem filling up.
“I’m not saying (the Lloyd District) can absorb 700 units easily, but I’d rather be putting 700 units there than in Northwest, with everything that’s going on there,” said Greg Frick, a partner with HFO Investment Real Estate in Portland. Several smaller-scale projects are in the works in the Pearl District and the Alphabet District.
A one-bedroom apartment in or near the Lloyd District would currently fetch an average of $969 a month in rent.
“I would expect that this new project will be absorbed quite quickly,” said Gary Winkler, a managing broker with Winkler & DuPont Commercial Real Estate Services. “It’s just a matter of who they’re going to cater to and whether construction will be offset by the rents they’re going to get.”
A document provided by Langley describes the development as a transit-oriented “urban village.” The four towers would be near the Rose Quarter transit center and a new streetcar line. They would be LEED certified and designed by GBD Architects.
Scott Langley, the chief executive officer of Langley Investment Properties, declined to comment further on the proposed development.
It’s Langley’s first development project since it split from Connecticut-based Ashforth Co. last year.
Langley will develop a site owned San Diego-based American Assets Trust Inc., which bought the site of the proposed development from Ashforth last year.
Langley will develop a site owned San Diego-based American Assets Trust Inc., which bought the site of the proposed development from Ashforth last year.
It was not Ashforth’s practice, however, to venture into Portland apartment buildings. The company generally stuck to Lloyd District and downtown office buildings.
Adams said the project would create 3,000 construction jobs. Langley said the it is currently in the design and entitlement phase.
— Elliot Njus
— Elliot Njus
