On September 19, 2016 Cumberland acquired the 53 unit Springcreek Apartments in Portland, Oregon for $6,250,000.
Located in Southwest Portland’s “close-in”, Hillsdale neighborhood, Springcreek apartments is 3.5 miles south of Portland’s Central Business District with excellent mass transit and vehicle access. The property is walking distance to the Hillsdale and Multnomah Village neighborhood shopping and dining options. The property has a unique setting on a quiet cul-de-sac which has a creek and mature landscaping.
The property was acquired from a private out of state owner. The property suffered from a dated exterior appearance and overgrown landscaping. Rents were $95 to $325 below professionally owned and managed communities.
On behalf of its investors, Cumberland executed a $1,000,000 “Value Add” plan which included: select exterior siding replacement and new exterior paint, new roofs, new leasing office, and landscape renovation. The units benefited from upgrades to open the floor plan, installing new kitchen cabinetry, adding dishwashers, and contemporary flooring and paint. The community was rebranded, Dwell Apartments.
Management services are provided by Affinity Management. Acquisition financing was provided by Umpqua Bank with equity from Cumberland Investors. In September 2019, Cumberland closed on the refinance of Dwell Apartments. The $4,750,000 mortgage by JP Morgan Chase Bank had a fixed interest rate of 3.92% with interest-only payments due during the 5 year loan term.