Cascade Physical Therapy New Owners Reunify Locations

Cascade Physical Therapy recently repurchased its former Montavilla location at 9310 SE Stark Street, an establishment that the previous owners split off from their Gresham-based company two decades ago. New owners, Dr. Liz Reynolds and Erika Elliott, are now working to reunify the two locations and serve more people who need help recovering from workplace or automotive injuries, while also addressing general pain and age-related decline.

Jon Schnepel founded Cascade Physical Therapy in 1987 after graduating from Pacific University’s Physical Therapy program and a stint working for a large hospital system. Partnering with his wife, Chris, who worked at Cascade Athletic Club in Gresham, they created a physical therapy clinic inside the gym. At the time, this integrated clinic model was unique in the industry. The distinct but embedded business started within a small space on the upper floor of the gym building. It kept expanding, adding more clients, until it ultimately moved downstairs, where they converted space previously used for a couple of racquetball courts into a full-size clinic that Cascade Physical Therapy Gresham still operates today.

Interior of a gym featuring various fitness equipment including a treadmill, stationary bike, and elliptical machine, along with windows and a television.
Fitness equipment used in physical therapy

When the athletics club expanded into Montavilla on SE Stark Street, Cascade Physical Therapy opened its second location attached to that new space. Elliott’s mother was the office manager of that location, and Erika Elliott worked there starting at age 16, managing medical records and later providing transcription services while attending college. “I would come here at night and type all of their reports,” recalled Elliott. The Schnepels sold both locations in the mid 1990s with the intention of retiring. “HealthSouth was a nationwide company that came through and bought up a bunch of little mom and pop shops in the area,” explained Elliott. However, the national healthcare clinic operator ran into financial difficulties within a few years of acquiring the physical therapy company and closed both gym-adjacent locations as part of the HealthSouth bankruptcy. The owners of Cascade Athletic Clubs offered the vacated spaces to the Schnepels, who returned to the business and reopened Cascade Physical Therapy.

Two women standing together in front of a green plant and wall decor, smiling at the camera.
Dr. Liz Reynolds and Erika Elliott

To stay focused on a single space, the Schnepels sold the Montavilla location to their employee, Julie McAllister, in December 2002, while rebuilding the Gresham business. “She came back here, and it was gutted; there was nothing here. So she furnished it, equipped it, hired staff, and has been here ever since,” said Elliott. McAllister’s business operated under the name “Cascade 205 Orthopedic and Sports Physical Therapy,” with a name less tied to the original business.  In February 2023, the Cascade Athletic Clubs closed its Montavilla location at 9260 SE Stark Street after nearly 36 years in operation. McAllister needed to adapt the location, which would not have extended gym or pool access for clients. Fortunately, DolFun Swim Academy took over the former Cascade Athletic Clubs swimming facilities and made arrangements to allow physical therapy clients access to the pool. “When Cascade [gym] left, they drained the pool, and there were no plans for it to be a pool again. So when DolFun came and negotiated to take over the lease, the McAllisters were really excited because it meant that they could offer pool therapy again, which is a big need in our community. Not a lot of physical therapy offices offer pool therapy,” explained Elliott.

A small treatment room featuring a wooden shelf with towels, a lamp, tissue box, and a toy ball. A dark-colored stool and treatment table with a white pillow are also visible. A mountain and tree silhouette decorates the wall.
One of three private treatment rooms

After several more years of success in Gresham, the Schnepels looked to pass the business along again, this time to trusted employees who had worked for them for 10 to 15 years. “So they looked at us for a succession plan, started those negotiations in the fall of 2018, and we became the official owners January 1st of 2020,” recalled Reynolds and Elliott. They completed a relatively smooth transition of the business, with the former employees continuing the founders’ work. Then, in the fall of 2024, McAllister contacted the partners about buying the SE Stark Street company and reunifying the two locations. “Julie approached us, asking us if we’d be interested in taking over for her. She felt a call to not just close after being here and treating patients since the 1990s,” recalled Elliott. When Julie McAllister retired at the end of June 2025, the location rejoined Cascade Physical Therapy under its name and business license.

A calm treatment room featuring a massage table, a black chair, and a wall-mounted framed picture of a mountain landscape.
One of three private treatment rooms

The new owners of the Montavilla location were able to extend their existing business into the space while retaining some continuity for clients. “Some of her patients have just carried over, and we kept an employee of hers on board. His name’s Greg, and he’s a PTA (Physical Therapist Assistant) here, and he’s wonderful. That’s been nice because patients who don’t maybe know Erika and I know his face, and we’re keeping the legacy going,” said Reynolds. They have updated the paint scheme in the space to match the company colors and are working to update some equipment offerings. “We are one of the first locations to trial a new AI exercise program that was developed by Intel and a local physical therapist,” remarked Elliott. “We, as therapists, would program in exercises, and the patient would wheel the machine in front of them. Then it would get a visual of their body while they’re doing the exercise and critique them,” added Reynolds. They explained that it is a tool that appeals to some customers who want their movement reviewed but do not want someone staring at them the whole time. They are still working to integrate this newer technology into treatments, but they are excited to expand the tools they can offer people seeking help.

Interior view of a waiting area featuring black chairs aligned along the window, a reception desk at the end, and decorative wall art.

The Cascade Physical Therapy team is genuinely excited to expand back into Portland, though they acknowledge that running two locations is twice the work. They anticipate more people will seek out their services and want people to know that in Oregon and Washington, patients can visit a physical therapist without a referral if their insurance allows it. Reynolds is a licensed Doctor of Physical Therapy and can work with many insurers. They can work with patients aged 9 or older. In addition to treating injuries or helping with sports training, many people see them for balance issues. Another group of people seeking help has no idea what happened. “Some people have pain, and they don’t know why they hurt,” said Elliott. “We call them the NARs. No apparent reason. Usually, I can figure out why, but they don’t know. It wasn’t like they got hit on a bicycle or anything like that. They just started having hip pain,” explained Reynolds.

A well-equipped gym interior featuring a multi-gym machine, exercise balls, resistance bands, and various workout equipment, with a mirrored wall reflecting the setup.
Fitness equipment used in physical therapy

The Montavilla location is open from 7:45 a.m. to 7 p.m. Monday, Tuesday, and Thursday. People needing help on a different weekday can also visit the Gresham location at 19201 SE Division Street. The original space has access to more equipment through the Cascade Athletic Club, which is still in operation outside Portland. However, the SE Stark Street space has nearly everything they need to restore motion or alleviate pain for patients and offers three private treatment rooms, as well as access to pool therapy. The owners hope to meet more people in the area seeking Portland-based physical therapy and expect that visitors living near Interstate 205 will appreciate the location’s easy freeway access.


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