SEATTLE, Washington— JLL Capital Markets announced it has secured a $15.9 million financing for Woodland Flats, a 120-unit hotel-to-multifamily conversion project in Gresham, Oregon.
JLL worked on behalf of the borrower, PH Development LLC, in arranging the two-year, bridge loan through AGP Capital.
Woodland Flats is 25 minutes east of downtown Portland. The property will offer access to public transit, employers, and nearby retail amenities. The project includes the conversion of an existing hotel into 120 apartment units and 6,400 square feet of ground-floor retail space.
Woodland Flats is PH Development’s sixth acquisition and second hotel-to-multi-family conversion. The conversion of Woodland Flats will require $6.1 million of capital improvements and will take approximately 10 months to complete.
“We only do a select few of these hotel-to-apartment conversions that meet our strict underwriting criterion,” offered Phil Hoban, founder and principal, PH Development, LLC. “This one checks all the boxes.”
“We’ll present renters an essentially brand new product but at rent rates well below nearby competition,” said Hoban. “The City of Gresham has been great to work with. They’re as excited as we are to bring affordability to the market this way.”
JLL Capital Market’s Debt Advisory team representing the borrower was led by Senior Managing Director Tom Wilson, Director Steve Petrie and Associate Jake Davidson.
