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News release

PORTLAND, OR

Portland Primed for Stunning Multifamily and Retail Development

JLL raises equity for LOCA, a mixed-use asset set for Portland’s Central Eastside neighborhood


PORTLAND, Ore., April 13, 2015 – Across the river from Portland’s Central Business District is the city’s rising Close-in Eastside submarket: home to trendy restaurants and retailers, local and small-scale manufacturing as well as vibrant creative-class office tenants. Adding to this momentum is the development of a mixed-use multifamily and retail asset called LOCA. In terms of scale and investment, LOCA is one of the premiere developments currently underway in the city of Portland.

On behalf of Vancouver-based developer Killian Pacific, JLL’s Capital Markets experts today announced the firm has secured joint venture equity from a national pension fund for the proposed LOCA.

“Ambitious projects entail a myriad risk factors, and having a premier national pension fund as an equity partner and U.S. Bank providing moderate leverage construction financing creates a strong foundation,” said Killian Pacific Managing Director of Developer, Noel Johnson.

Managing Director Buzz Ellis and Senior Vice President Paige Morgan led the JLL team on the transaction.

“This development is located in Portland’s Close-in Eastside neighborhood – one of the city’s top submarkets that is increasingly attracting creative office space and tech tenants,” said Ellis. “With plenty of jobs heading to the area, there is rising demand for multifamily and retail offerings.”

Added Morgan, “Jobs and renters continue to head to Portland: it’s a great market for a long-term hold with a carefully structured capital stack.” 

Informally known as the “Goat Blocks” (a herd of goats having kept the grass mowed for many years), the project is composed of seven distinct building masses located across a three block, 133,000 square-foot site. The site retains the neighborhood’s industrial heritage and honors its nuanced urban fabric. The Class A, LEED Gold-designed, mixed-use development will consist of 247 multifamily units and approximately 89,000 square feet of net retail space. The development will also feature robust on-site parking ratios of 385 stalls for cars and 510 stalls for bikes. 

“Killian Pacific is a highly-respected developer here in Portland and has a tremendous vision for this site. The mixed-use style project and fun recent history of the site will create a vibrant urban space and attract shoppers and residents throughout the region,” said Ann Young, commercial real estate market manager for U.S. Bank in Portland.

The apartments feature their own architecture, interiors and amenities so as to appeal to distinct target markets and provide a boutique sense of place. The retail is anchored by Market of Choice, a 26,000 square foot, locally owned specialty grocery as well as a 40,000 square foot hardware store.

“Providing the neighborhood essential services - a grocery and hardware - while complimenting them with what will be over a dozen carefully selected small scale retailers will create a community enhancing and lively neighbourhood hub,” noted Killian Pacific President, Lance Killian.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether a sale, financing, repositioning, advisory or recapitalization execution. In 2014 alone, JLL Capital Markets completed $118 billion in investment sale and debt and equity transactions globally. The firm’s Capital Markets team comprises more than 1,700 specialists, operating all over the globe.

For more news, please visit The Investor, an online and mobile app news source providing real-time commercial real estate news to asset buyers and sellers around the world.

For more news, videos and research resources on JLL, please visit the firm’s U.S. media center Web page: http://bit.ly/18P2tkv.

About JLL
JLL (NYSE: JLL) is a professional services and investment management firm offering specialized real estate services to clients seeking increased value by owning, occupying and investing in real estate. With annual fee revenue of $4.7 billion and gross revenue of $5.4 billion, JLL has more than 230 corporate offices, operates in 80 countries and has a global workforce of approximately 58,000.  On behalf of its clients, the firm provides management and real estate outsourcing services for a property portfolio of 3.4 billion square feet, or 316 million square meters, and completed $118 billion in sales, acquisitions and finance transactions in 2014. Its investment management business, LaSalle Investment Management, has $53.6 billion of real estate assets under management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit www.jll.com.

About U.S. Bank
U.S. Bancorp (NYSE: USB) with $403 billion in assets as of December 31, 2014, is the parent company of U.S. Bank National Association, the 5th largest commercial bank in the United States. The Company operates 3,176 banking offices in 25 states and 5,022 ATMs and provides a comprehensive line of banking, brokerage, insurance, investment, mortgage, trust and payment services products to consumers, businesses and institutions. Visit U.S. Bancorp on the web at usbank.com.

About Killian Pacific
Killian Pacific is a locally based, family owned commercial real estate company.  With nearly 40 years of development experience in Oregon and Washington and a reputation for doing the right thing for their community, Killian Pacific seeks to blend community identity with innovative and thoughtful projects in order to improve quality of life. With a diverse $350m+ stabilized real estate portfolio as well as numerous developments underway, integrity, quality, expertise, innovation and relationships set their project’s apart and enable dynamic industry leadership,  For additional information, visit www.killianpacific.com.