- Commercial Property Executive
BKM Sells Industrial Asset in Portland
BKM sold Hayden Business Park, a 98,516-square-foot business park in Portland, Ore.
Portland, Ore.—BKM Capital Partners has sold the first three multi-tenant industrial business parks in its debut fund, which includes a 223,009-square-foot multi-tenant industrial building and a 137,603-square-foot industrial complex in Las Vegas and a 98,516-square-foot business park in Portland.
BKM repositioned and leased up all three assets, ultimately achieving an IRR of 38.5 percent and a 2.4 multiple at the Portland property, Hayden Island Business Park.
The company initially acquired the asset in 2014. During its ownership, BKM implemented a series of capital improvements including modernizing signage, updating the paint scheme and new landscaping.
“By integrating these cosmetic upgrades, we were able to bring the property up to 98-percent occupancy with rents more in line with market,” Brett Turner, BKM’s director of acquisitions, said in a statement. “We more than doubled rental rates. This created strong stabilized in-place cash flow, further adding to the appeal of the property.”
The property is located at 2400-2422, 2511-2527, 2535-2541 and 2701-2703 N. Hayden Island Drive in Portland. David Hill at Newmark Grubb Knight & Frank represented BKM Capital Partners, the seller in this transaction.