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Menashe Properties鈥� $33 million purchase of the Montgomery Park building comes as a vote of confidence for the future of office work in Portland, CEO Jordan Menashe said.

The deal, announced Friday, values the 768,443-square-foot building at $42.95 per square foot. Menashe Properties purchased the building, at 2701 N.W. Vaughn St., from its lenders for a fraction of its previous sale price of $255 million in 2019.

鈥淲e believe in office still,鈥� Menashe said in an interview. 鈥淭he pandemic advanced and really exaggerated work from home. And like everything in our lives, it reverts back to a historic mean. I think we鈥檙e starting to see that reversion back to the mean, especially as the economy tightens up.鈥�

Menashe, who now lives in Dallas, said Portland remains a strong place to invest. He also pointed to national analysts鈥� calls that the U.S. office market had hit bottom.

鈥淚鈥檓 impressed with the beginning of this turnaround story in Portland,鈥� he said. 鈥淚t is cleaner. It is livelier. There are more people downtown 鈥� and people breed people.鈥�

Montgomery Park is approximately 50 percent occupied by tenants including Avangrid Renewables, Daimler Trucks North America, WebMD and Adidas鈥� employee store. Menashe said he plans to update the property.

鈥淭he goal is clear: Revitalize the iconic asset to what it once was and what it wants to be,鈥� he said.

Menashe Properties鈥� purchase of Montgomery Park, Portland鈥檚 third-largest office building, caps a string of deals for the local family real estate investment firm. The company acquired the American Bank building, a 183,735-square-foot building neighboring Pioneer Square, for $13.6 million in September. More recently, it acquired the JK Gill building in July for $3.25 million.

Menashe Properties has also continued to expand elsewhere, recently buying a 29-story Chicago office building for $45 million. All those deals were completed without financing, Menashe said.

In the Montgomery Park transaction, Newmark Vice Chairman Nick Kucha, Senior Managing Director James Childress, Director Kellen Kollmorgen and Director Jakob Nicholls represented the seller 鈥� Montgomery Park Property Owner LLC. It鈥檚 indirectly owned by a group of banks that foreclosed on the property in February.

The building was constructed in 1921 as the Montgomery Ward & Co. warehouse. It was converted into a sprawling office complex in 1989.

鈥淢ontgomery Park is a piece of Portland’s history,鈥� Kucha stated in a news release. 鈥淭he sale of such an iconic asset underscores the enduring appeal of properties that blend historical significance with modern functionality.鈥�