One of our objectives at NAI Cascade is to provide full circle service to our clients. Here is a transaction that perfectly illustrates what we mean by that:
Mid 2019, Jeff Reed represented the seller of several duplexes in Bend. The seller was ready to be done with residential and exchange his money into a different asset class. Tumalo Junction, a mixed-use office/retail center in Tumalo was the perfect fit. This value-add property had been poorly managed with short term leases, under market rents, inaccurate square footages and tenant reimbursement charges (CAMs) that were all over the board and up to $0.30/SF under the accurate amount. The duplex seller became the Tumalo Junction buyer. This property closed for $1,300,000 in July of 2019.
Over the next two years, Jeff and Walt Ramage worked with the new owner hiring an architect to recapture nearly 400 rentable square feet, extending leases at the market rate of $1.25/SF and correcting the CAM charges to create a well performing asset.
With cap rates continuing to fall as buyers flooded the market in 2021, the owner of Tumalo Junction saw an opportunity to capitalize on value he had worked with NAI brokers to add to the asset.
Enter Jenn Limoges, CCIM. Jenn received a buyer referral through her relationships at Summit Bank. The buyer was relocating to Bend and needed to place the proceeds of their ranch and business into property locally. The buyer was looking to diversify their portfolio with an income producing property in an area of rapid growth. Tumalo Junction checked all those boxes. Tumalo held additional appeal to the buyer because of the significant investment into infrastructure which will support the growth of the tenants in the property. This property closed for $1,680,000 in October of 2021.
At closing, the new owner of Tumalo Junction hired the NAI Cascade property management team to manage the asset allowing Jenn to maintain a high level of connectivity to the property manager as they worked through water easements and ODOT plans that came up during the sale.
The Tumalo Junction seller, with the help of Jeff and NAI Global’s reach, is under contract on a property in Idaho Falls where he has relocated.
Jenn, Jeff and Walt worked together to match the right players with the right properties who each continue to grow their portfolios and assets with the full circle service of their NAI brokers and property managers.