RRA Capital recently financed a transformative deal on a mixed-use project in Portland, Oregon. The newly constructed property has three stories of apartments above ground-floor retail space, creating an enticing space that combines residential and commercial components.

Encompassing 22,973 rentable square feet across four floors, the property features 4,322 square feet of prime retail space on the ground floor and 36 upscale apartment units on the upper three floors. The contemporary residential units are designed to offer a luxurious living experience, equipped with high-quality amenities such as plank flooring, quartz counters, wood cabinets, stainless appliances, and in-unit laundry.

RRA Capital provided a $7,850,000 non-recourse loan with a 24-month interest-only term, inclusive of two 6-month extension options. The financing package also includes a follow-on funding facility to cover leasing costs for the retail suites and reserves to address expenses before reaching stabilization. Moreover, the loan will refinance the sponsor's existing construction loan and provide crucial tax, insurance, and interest reserves to supplement cash flow during the lease-up period.

Nestled in a dense submarket of Portland, the property's unique blend of residential and retail spaces enriches the neighborhood. With its strategic positioning, the project is well-equipped to meet the demand for apartment living with convenient access to an array of retail amenities.

Additionally, both the sponsor and property manager have local expertise, offering an in-depth understanding of the market's dynamics and ensuring effective property management. Their familiarity with the area contributes to seamless leasing operations and unparalleled tenant satisfaction. The property's seamless combination of residential and retail spaces creates an exceptional opportunity within the market, and its prime location advantages within a dense submarket add to the property's appeal.

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