On June 16, 2014, Cumberland Holdings acquired the Gresham Square Shopping Center in Gresham, Oregon for $9,150,000. The acquisition was financed by a $6,100,000, fixed rate mortgage from Advantis Credit Union.
The center consists of 124,774 square feet anchored by JR Furniture. The property is located on NE Burnside Road and NW Eastman Parkway in the heart of Gresham’s retail district. Other tenants include: Red Lobster, Tuesday Morning, Wunderland, Dutch Brothers, Kaiser Permanente, and Providence Health. Occupancy at the time of acquisition was 65%. Tenant suites range from 1,500 to 37,000 square feet.
The value add plan consisted of: (i) Subdividing the former Office Max box space of 24,000sf, (ii) Rebranding the western portion of the center in a professional services image, (iii) Renewing & expanding tenants: Providence Medical, Kaiser Dental, Wunderland, Tuesday Morning, & Red Lobster at higher rates (iv) leasing up vacant suites.
In April 2017, the mortgage was refinanced at $8,320,000, returning $1,800,000 to investors and funding future leasing costs. Gresham Square was appraised at a current value of $15,575,000 and a stabilized value of $17,125,000.