Portland Multifamily Housing Market, Underproduction, Inclusionary Zoning & Homelessness

• City of Portland and Metro Affordable Housing Bonds looking to acquire units to preserve affordability <60%MFI (targeting $175k or less per unit) • Emergence of social equity funds (Gerding Edlen and Meyer Memorial) looking to acquire and preserve NOAH units ~ 80% to 120% MFI with minimal rehab cost • New construction faces challenging financial feasibility, institutional capital shift to acquisition (value add) strategy • Apartment registry, tenant protection laws, and rent control impact on investor valuation (Cap rate risk) • Mortgage and cap rate uncertainty in short and long run