Listed by Kidder Mathews Portland
$2,190,000
3526 & 3540 SE 28th Ave
Details
APN R298776 & R298779
Property Type Retail, Office
Sub Type Commercial, Executive Office
Occupancy 100%
Tenancy Single
Year Built 1954 / 2004
Acreage 0.670
Zoning CM2 – Commercial Mixed Use 2
Parking Spaces 50 spaces
Investment Type Redevelopment
Great development or owner/user site
Marketing description
Fantastic opportunity for developers seeking high-density CM2-zoned land in a premier SE Portland location, or for users/investors looking for a functional office or flex space with shop/garage and a large storage yard.
Comprised of nearly 30,000 SF and two tax lots, the property’s CM2 zoning makes the site well suited for apartment development due to its allowance for higher-density residential and mixed-use projects. CM2 supports efficient site utilization and urban scale development, enabling developers to maximize unit count and design flexibility, with the option to include ground-floor commercial uses if desired. The property benefits from strong renter demand driven by proximity to major arterials, transit, bike infrastructure, employment centers, parks, and neighborhood retail corridors, supporting stable absorption and long-term occupancy. Combined with zoning flexibility and central location fundamentals, the site offers attractive development economics and investment appeal for multifamily use.
For the past 20 years, the property has been home to a full-service environmental consulting and construction company that is now downsizing. A 3,500 SF single-story office building is at the front of the property, adjacent to a 1,500 SF storage garage.
The remainder of the site is primarily used as a yard for truck parking and equipment storage. An adjacent tax lot included in the sale consists of a separate parking lot.
This property is centrally positioned in close-in SE Portland, within the Creston Kenilworth neighborhood, offering strong connectivity to the city’s major employment and lifestyle centers. SE 28th Avenue offers direct north–south access and connects to Portland’s renowned bike network, enhancing its bike-friendly, neighborhood setting. The site is located a half-block off SE Powell Blvd, allowing efficient access to downtown Portland, inner-Eastside commercial corridors, and surrounding neighborhoods. Nearby transit options and neighborhood retail along SE Foster Road enhance the property’s convenience, while close proximity to Powell Park and Creston Park adds recreational appeal. Adjacent neighborhoods such as Woodstock, Brooklyn, and Sell wood offer additional dining, shopping, and community amenities just minutes away by car or bike.
Investment highlights
- Unique development site with flexible CM2 zoning (Commercial Mixed Use 2) for sale in SE Portland
- 29,155 SF of development land (2 tax lots) with large fenced yard
- Existing 3,500 SF office building & 1,500 SF shop/garage
- Convenient location in the heart of SE Portland and 1.5 miles to Downtown Portland
- Bike-friendly streets provide connectivity to surrounding neighborhoods with a Bike Score of 85
- Situated just 2 blocks from Powell Park and numerous shops and restaurants with a Walk Score of 85
- The 4.8% Portland MSA unemployment rate is just slightly above the National unemployment rate of 4.5% (November 2025).
- $219 billion total GDP for Portland-metro in 2023.
- The State’s Employment Dept. projects to add 170,000 new jobs by 2033. Private health care, social assistance, and construction are projected to grow the fastest.
- From Dec 2023 to Dec 2024, Oregon employers added 22,000 nonfarm jobs.
- Oregon’s above average income growth is translating into higher wages, with wages growing 35% for the five-year period ending in 2023.
- The Bureau of Labor Statistics and Oxford Economics project annual growth could rise 50 basis points to 0.7% through 2029. If achieved, this figure would slightly exceed the projected annual growth rate of 0.6% for the U.S. (Costar).
- While 8,000 multifamily units were completed in 2024, Portland's 3,000 units currently underway represent a staggering 70% drop from the previous three-year high mark of 13,000 units in late 2022. As such, just 3,300 units are expected to be constructed during 2025 (Costar).
- With less competing supply delivering over the next 24 months and demand stabilization solidifying, the vacancy rate projects to decline further due to lower construction stats. Asking rents posted annual growth of 1.2% in 24Q4, and the House view forecast calls for rent growth of around 4% by late 2025 (Costar).
- The state of Oregon has the ninth-best quality of air (2024).
- USA Today has ranked Portland as one of the top cities for food lovers, particularly for its creative and experimental food scene, and its focus on plant based dining. Portland is also famous for its award-winning craft beer and coffee culture, with over 80 breweries and over 700 coffee shops in the city.
Listing Contacts
Listed by Kidder Mathews Portland
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