Client Success Story: AltSource
What They Do: Customized software design for businesses
AltSource had been rapidly growing and occupied multiple locations. With the goal of consolidating into a single location and owning the property, AltSource wanted to sell their existing building and relocate closer to their current location. The plan was to redevelop a building, occupying a portion of it, and lease out the remaining building as an investment until needed for expansion.
We uncovered an off-market property which met their requirements, but many redevelopment hurdles stood in the way. The selected location was formerly a distribution warehouse and was left with unresolved environmental issues, zoning challenges, and structural deficiencies for use as a creative office.
Due to the environmental issues, bank financing for the purchase was unavailable so the property was acquired with a seller-carried note and trust deed. While having a relationship with the seller and the buyer, negotiating a purchase “on contract” ensured both parties were meeting their goals. Since the zoning overlay wouldn’t take effect for several more years, the building was not permitted for outright office use. A conditional use entitlement was needed from the city prior to redevelopment, which took roughly six months. To ensure a smooth hand-off to project completion, we also assisted in the interviewing and selection of the project architects and contractor (Siteworks Design Build).
The seller of the former warehouse was able to consolidate their operations to a location in Vancouver that better suited their needs and dispose of a property with environmental issues still in place. AltSource’s renovation of a historic landmark in Portland’s Central Eastside will bring their operations back under one roof, occupying 20K SF of the 30K SF building. The remaining 10K SF gives AltSource the opportunity for future expansion with rental income in the meantime. Most importantly, AltSource is creating a new, more efficient work environment to attract and retain the talent needed to maintain their growth plan.
Kevin VandenBrink represented both the buyer and the seller.