Category: New Residence

Business Relocating, Construction, New Residence

Affordable Housing Rising Above Methodist Church

Recently, the members of Montavilla United Methodist Church voted to demolish all their buildings at 232 SE 80th Avenue to create three stories of affordable housing above a new ground-level worship space that will also share resources with support organization Rahab’s Sisters. Reverend Heather Riggs explained that this site transformation will embrace the faith-based group’s efforts to provide resources it sees needed in the community while reducing its operational burden of maintaining an aging building. The project is in pre-development with a target completion date of 2030. Until the city approves permits, parishioners and users of the midcentury building will continue to gather there.

Riggs said they plan to maximize housing options on the site while respecting the neighborhood’s scale and preserving on-site parking for the gathering space. The 0.88-acre property occupies nearly a full block and is shared with only one single-family residence. The Residential Multi-Dwelling 2 zoning of the site allows up to four stories and has a three-to-one Floor Area Ratio through bonus provisions for affordable housing.

Interior of a church decorated for Christmas, featuring a large cross, Christmas trees, and festive lights.
Montavilla United Methodist Church December 2024

Riggs explained they are in a pre-development phase and working to formalize a relationship with a prospective developer who will take ownership of the property and rent back the ground floor to the congregation at a discounted rate. The agreement will target an Area Median Income (AMI) restriction for future residents of 30 to 60 percent for the anticipated 72 units of regulated affordable housing. The Methodist Church wants the property to remain affordable for at least 60 years. “We would like to be in the 30 [AMI] range because that’s what’s affordable for our local baristas and for our local restaurant workers,” said Riggs. “This is not free housing. This is housing for people who work, who cannot afford to live in the city where they work.”

The final configuration of units and income targets depends on the funding available at the time of construction. Riggs noted that affordable housing projects require specialized skill sets to fund and manage. That is why the congregation and regional Methodist leadership are planning to transfer the land to another group rather than keeping it under church control. “Honestly, one of our priorities has been to get out of the business of building management so that we can focus on ministry,” said Riggs. The older property, built between the 1940s and 1950s, takes considerable funds to maintain. The building also sits empty more often than it is occupied, attracting unwanted attention and vandalism. Church leadership feels that having people living above the worship space will make the property more active and safer for the surrounding community.

Exterior view of a brick church with a tall, green steeple, featuring a welcoming sign detailing community values of peace, prayer, and learning, surrounded by trees and grass.

Demolishing the building could seem like a loss of history, but Riggs explained it is part of the site’s tradition to adapt to changing needs. Initially, a large wooden structure painted white served as a place of worship at this site. That was torn down to make way for the larger facility that accommodated a growing congregation in the 1950s. Now the faith community sees the mission changing again. The city needs housing, and the younger members of the church started the conversation around adapting the site’s use to address both faith and service to Portland’s needs.

A committee of knowledgeable members will take on preservation work, identifying the precious items that need to become part of the new facility. “We have plans to incorporate a lot of things into the new building. We want to incorporate some of the stained glass into the new building, but we’re thinking of placing it on interior walls, lighting hallways,” said Riggs. “We would like to preserve at least one of the upside-down boat arches in our worship space, and we’d like to preserve the bell, creating a small bell tower.” The “Precious Team” will work right up to demolition, preserving everything that matters to the congregation’s history. “We will be going through that process of honoring the history of those who came before us and celebrating that history,” remarked Riggs. Part of that celebration will be the opening of a time capsule on the front of the building.

Map showing buildings and structures with numbered addresses in a grid layout, highlighting a specific area outlined in blue.
Portland Maps image showing 232 SE 80th Ave

During the demolition and construction phases, church members will share space with the Tabor Heights United Methodist Church, less than a mile away at 6161 SE Stark Street. Before work begins, the design team will hold public meetings to gather community feedback on the project’s design. Riggs wants this site to meet the faith organization’s goals of serving those most in need while still playing a positive role in the wider community. As a community advisory committee member for the nearby Oak Street Village shelter, Riggs feels it is important for working people transitioning back into stable housing to have a place to move into. The church members also know this property is central to the neighborhood and asked the developer to include a garden and green space to keep it an attractive element of Montavilla’s historic downtown.

Reverend Heather Riggs hopes to speak to the Montavilla Neighborhood Association about the project at a future meeting. When the developer is formally secured for the housing, the design phases will begin, and community members can expect to learn more and provide input. Riggs wants people to know these changes will create a safer, more secure site that remains a useful resource for Rahab’s Sisters to build on its over 20 years of community support, and for the church to add to its 100-year history.

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Jacob Loeb

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Community, Government, New Residence

Advocating for a Jade District Park

In July 2025, Oregon Metro purchased a 1.46-acre property at the intersection of SE 90th Place and SE 89th Avenue for planned Transit-Oriented Development (TOD). For over a decade, community advocates have envisioned the large, sloped property as a neighborhood park and are now seeking support for that project ahead of Metro’s RFP (Request for Proposals) this summer. Residents and interested parties can complete an Online Form to endorse a call for the City to purchase the lot from Metro and to direct Portland Parks and Recreation to create public green space for the expanding community in this area.

A vibrant community park scene featuring people riding bicycles, walking, and playing. In the background, families enjoy a picnic on the grass, while others engage in games. The landscape includes greenery, seating areas, and informational signage.
Park Rendering from the 2018 EPA Greening The Jade project document

Metro’s TOD team plans to introduce new affordable housing at the site with help from partner developers. The early concepts included open neighborhood greenspace, but not at the scale documented in the 2014 Jade District community visioning plan or the 2018 EPA Greening the Jade project. The community outreach recorded in those documents showed a desire and expressed need for green space across all groups in the neighborhood. The Metro-owned property at 2815 SE 90th Place is in the center of a community surrounded by busy city roadways, a State highway, and a freeway. Harrison Park is the closest park to this location, at over half a mile away, and often serves as an extension of the adjoining school’s campus rather than a neighborhood park.

A fenced lot with a grassy area and several structures, including a green shed and nearby houses, under a clear blue sky.
2815 SE 90th Place property with fence

Andrea Pastor, Metro’s Senior Development Project Manager of Housing and TOD, explained in a September 2025 interview that Metro purchased the land along SE 89th Avenue using an allocation provided by the Oregon State legislature for a revolving acquisition fund around 82nd Avenue. “With all of the improvements happening on 82nd, including the planning of the new transit, we wanted to prioritize the area. So we made a specific legislative ask back in 2023 for some funds to buy land near 82nd,” said Pastor. “We have been basically looking and making offers on properties in the area for the last couple of years.” She notes that Metro has often owned land around transit with the intention of developing it. “We are trying to think of ourselves as a regional land bank specifically aimed at building affordable housing near transit.”

A construction site featuring two multi-story buildings with yellow exteriors, in various stages of development. In the foreground, a red car is parked beside a fenced area containing construction materials and tools. A caution sign indicates a roadway that is not improved. The sky is cloudy.
The Jade apartments under construction

The Jade District advocacy organizers seeking support for the park say Metro TOD is willing to sell the parcel, but City of Portland support must be secured before Metro releases an RFP to potential developers in August or September 2026. The park space is across from The Jade apartments, which are currently under construction and will offer 15 units with family-sized accommodations, including three bedrooms and two bathrooms. The workforce housing development will also create 14 one-bedroom and 11 two-bedroom flats. The expanded pool of families on this street would benefit from a new city park with a safe crossing to a play area. The site can also amplify existing green space that is not publicly accessible but protected by Portland’s Bureau of Environmental Services, which owns the lot to the south of this property. It serves as a natural stormwater detention area where plants and soil help absorb the area’s rainwater. It also contains a sewer pump facility that requires 24-hour security for community safety and asset protection. Depending on the City’s flexibility, designers could extend park space into some of the stormwater detention area land without compromising security.

Map of a park featuring various amenities including an air quality monitoring installation, a terraced amphitheater, a multi-purpose paved pad, a nature play area, and a park loop trail. It also shows locations for public art installations and potential housing.
Image from the 2018 EPA Greening The Jade project document

Park designs and amenities presented in the visioning materials are illustrative only and do not constitute final design options. If the idea receives community support through the Online Form and city officials adopt the property for a new park, future community outreach from park planners will drive the development of the green space. Whether the land serves as a public park or affordable housing, this large, underdeveloped property will become a needed community resource as housing density brings more people into the Jade District.

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Construction, New Residence

House and Two ADU Condo on NE Multnomah

A novel condo project is nearing completion at 6909 NE Multnomah Street, where developer Neil Heller added two Accessory Dwelling Units (ADU) next to a 1,234 square foot 1951-era home. This approach seems similar to other infill housing projects, but its focus on reducing city-paid fees and lessening infrastructure buildout should produce a more affordable product for buyers, according to Heller.

As a resident, living just blocks away from his worksite, making space for more neighbors without upsizing the cost of entry to home ownership in the community is important to Heller. “I live here in the neighborhood, and I take my daily walk or two over to the project. It’s about seven blocks away from where I live,” remarked Heller. He also mentioned his commitment to keeping the original house on the site, which had been the home to Robert and Suzanne Matney, longtime residents who were central to the surrounding community. “They were the original owners, from what I understand. The guy even planted that big cedar tree that’s on the corner. When you see how big it is, you realize that they’ve been there a long time. They raise their kids there, and I guess they were a staple in that part of the neighborhood,” said Heller. “People just loved them, and so when they heard that we weren’t going to tear the house down and we would take good care of it, they were happy about it.”

A blue house with a porch shaded by a large tree, surrounded by a small fence and green grass.
Original 1,234 square foot 1951-era home at 6909 NE Multnomah St with tall cedar tree

The existing home spanned several lots but was massed near the corner, leaving plenty of yard space for the two 800-square-foot detached ADUs. “We removed some sheds and gazebos,” recalled Heller. His Heller Development Company then followed the condo plat process to create a micro three-unit condo he is calling “Cedar Corner Cottages.” Each of the new homes the contractor created has two bedrooms and a full bathroom on the top level. The main floor has a kitchen, a living area, and a half bathroom. Heller explained that people may recognize the construction style from other area homes created by Rees Bettinger Properties. “Rees Bettinger is my general contractor on this, and sort of my development advisor.”

Heller says this is his maiden project in which all the homes on the property are intended for individual sale. “This is the first project where we are not using owner-occupied finance strategies. We have investment partners, and this is the first time we don’t have to live in the construction dust.” He is not new to the housing creation process. He has tested out his work at his own property. “I added a basement apartment and an ADU out back so we turned our single-family lot into three households,” Heller said. Additionally, he spends a considerable amount of his professional life thinking about housing supply and its impact on communities. “I have an urban planning consulting firm, and I work with cities around the country to update their zoning codes. I’m [also] faculty with the Incremental Development Alliance. It’s a national nonprofit. And we teach local people how to invest in real estate and contribute to their communities.”

Front view of a modern two-story blue house with a wooden fence and walkway.
Street facing unit has a zero-step entry with an accessible bathroom but the lack of a sidewalk creates a step at the property’s edge

This condo project is Heller’s way of bringing his philosophy and professional experience close to home. “It’s nice being able to invest into the neighborhood that I live in, bring more affordable, diverse housing options to help people looking for homes,” Heller admits that there is a limit to how much of his style of infill housing is possible in the area, but he is committed to local contributions to the housing market. “I would ideally like to stay in Montavilla and continue to contribute to the vitality here. But I know that’s not always possible because deals do pop up elsewhere.”

These new homes are designed to be naturally affordable, without income restrictions. Heller accomplished this by building the units as ADUs rather than using some of Portland’s modern lot-division tools that do not require a condo Home Owners Association (HOA). “I did consider the middle housing land division. We felt like the ADU was going to be a bit more cost-effective. Right now there’s an SDC (System Development Charges) vacation, but at the time [we started] there was not. To not have to pay those SDCs, $25,000 per unit, that’s a lot of savings. And when you permit ADUs, the [city won’t] require you to improve the right-of-way,” explained Heller. “That would have been cost-prohibitive, either requiring us to build larger homes and sell them for more, or potentially leading to a project that just wouldn’t even pencil.”

Exterior view of a blue two-story house with a covered porch, surrounded by a small garden and fence.
Back unit with large patio and yard space. Each ADU has a 44-square-foot storage room with external door

In the case of this property, NE Multnomah Street is not fully improved, with gravel parking lanes on both sides and no sidewalks. Adding that infrastructure and the rainwater management required when you fully pave a street would have significant financial consequences. “Stormwater could be a $150,000 cost, which these small projects can’t really support,” said Heller. The original home received updates to the kitchen and bathroom, but Heller said it was in great shape, just a little outdated, until crews refreshed it. It also retained its single-car garage for onsite vehicle parking.

This smaller infill project joins others on this block, both by developers and by existing property owners. That scale of housing development pleases Heller, as it aligns with what the Incremental Development Alliance teaches. “We say ‘nobody’s coming to save you.’ If you’ve ever looked at a building and said ‘you know what that could be…’ then you’re probably that person who needs to figure out how to make it become that thing,” said Heller. “The idea here is to embolden and strengthen a whole swarm of local small-scale developers that can invest in their neighborhoods.”

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Jacob Loeb

Promotion: Check out East Portland News as it continues to advocate for and report on outer East Portland. You will find frequently updated articles and an archive of more than 5,000 stories written over the past 20+ years alongside a robust Community Calendar of events.

Community, New Residence

Harrison Community Village Shelter Public Meeting Feb 26

As the Multnomah County Homeless Services Department (HSD) readies the Harrison Community Village Shelter at 1818 SE 82nd Avenue for future residents, they invite people to attend a Public Meeting on February 26th. Nonprofit provider Do Good Multnomah will operate the alternative shelter under a “clean and sober” model. Interested community members can attend the 6:30 p.m. in-person event this Thursday. Portland Community College will host the meeting in its Community Hall Annex at 7901 SE Division Street.

Shelter operators anticipate opening the facility in spring 2026 and have worked on a Good Neighbor Agreement with community and business stakeholders to lessen the impact of the Harrison Community Village Shelter on surrounding properties. Multnomah County purchased the former recreational vehicle dealership at 1818 SE 82nd Avenue in December 2022 for $2.015 million. This 34,000-square-foot parcel was the second Montavilla location the County bought that year for temporary shelter services. The other shelter, Oak Street Village at 333 SE 82nd Avenue, opened in February 2025 and is currently operating at full capacity. The Joint Office of Homeless Services — now renamed the Homeless Services Department — has held several community meetings, including one in April that announced that Do Good Multnomah would operate the site as a sober shelter. Presenters explained that residents and staff are subject to drug testing, and policy strictly prohibits the possession of non-prescribed intoxicants on the property. Selecting a sober format meets a specific need for people transitioning into stable housing who are in recovery from substance use disorder, and it better matches community desires for the site, which is near two Portland Public Schools.

A labeled diagram of the Harrison Community Village layout, showing various designated areas including sleeping units, community space, staff space, showers, and landscaping. The map highlights entry points and features like a fence and recycling area.
Harrison Community Village Shelter site map courtesy HSD

HSD will contract with the operator to staff the alternative shelter site at all hours of the day. The adult residents will receive one of 38 private sleeping quarters, each with a shed-style pod design. Six converted shipping container units will provide office space for staff, participant services, hygiene facilities, kitchenette amenities, and laundry facilities. Residents and their pets will have on-site access to green space. The site will receive upgraded fencing with privacy inserts on all street sides and a wood fence between the adjacent residential property to the east. The site intends to offer more than short-term shelter. People in the program will have access to dedicated housing case management and abstinence-based recovery services to help with long-term substance use recovery and housing stability.

The HSD meeting organizers ask that people complete an online form at the Harrison Community Village Shelter website to attend the 90-minute public meeting on February 26th. Attendees can also review the draft Good Neighbor Agreement prior to the meeting to better understand the work created by the Agreement Parties, which include representatives from the 82nd Avenue Business Association, African Youth & Community Organization, APANO, Montavilla Neighborhood Association, Portland Community College, and Portland Public Schools.

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Jacob Loeb

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Construction, New Residence

Four Townhomes on E Burnside Street

Work is underway on four townhomes at 8426 E Burnside Street, built in clusters of two massings joined by a common trash room. The project is occupying a previously undeveloped parcel that once served as the extended yard of the adjacent home to the west of the property. Recently, cement masons erected the foundations for the new 1,000-square-foot homes. The two-story buildings will offer residents two-bedroom units with two and a half bathrooms, to be sold as condos without income restrictions.

Architectural drawing of the north (front) facade of a house, showing dimensions, materials, and design details including windows, doors, and roofing.
North elevation of 8426-8432 E Burnside St courtesy Leon Simms

Although all units are attached, project developer Leon Simms explained that he and the architect, Bayard Mentrum, worked together to create three outer walls for each unit. “The nice thing is we were able to split them so there’s no middle units,” said Simms. The residences function as two duplexes with a small one-story utility structure sitting between them. The sidewalk-adjacent unit faces East Burnside Street, while the other home’s doors face east, connecting to a walkway. The back of the units connects to a small yard via large double glass doors. The alignment of the buildings should obscure the true quantity of homes, so that most people passing the site will not immediately detect the housing density tucked behind.

Simms said that the builder, Martin Kehoe with Portland Leeds Living, will construct the main floor with nine-foot high ceilings, and people will access the homes through eight-foot tall doors. This feature helps make the homes feel larger and of high quality. Each bedroom will have its own attached ensuite bathroom on the second floor, with the other half restroom located on the first floor.

Architectural drawing of an east facade of two residential buildings, illustrating the layout, window placements, and structural details.
East elevation of 8426-8432 E Burnside St courtesy Leon Simms

This project will take advantage of temporary System Development Charge (SDC) exemptions enacted by the Portland City Council that apply to permits issued from August 15th, 2025, through September 30th, 2028. These fees are typically paid by developers to support public costs incurred as the city expands public infrastructure for sewer, water, parks, and transportation to accommodate the additional demand on those services by new residents in an area. City leaders hope removing those construction fees will help builders start projects and deliver more affordable products to the housing market. “We’re going to be one of the first to take advantage of the SDC waiver program, so that there’s not any income restriction,” said Simms. He explained that these types of homes often use the Homebuyer Opportunity Limited Tax Exemption (HOLTE) program to remove property taxes for up to ten years. It has a homebuyer income limit of 100 percent of the median family income for a family of four in the region. This and other affordability program restrictions can exclude people who would benefit from a lower entry point into home ownership, but are making just enough to not qualify. “A lot of people that want to buy these more affordable, small new homes but make a little bit too much money,” remarked Simms.

Construction site with concrete foundations laid for a new building, surrounded by a fence and trees.

Leon Simms is a fan of infill housing but has only recently started working on projects east of the Willamette River. “I’ve always been a Westside guy. I’ve been in the new home sales business for almost 40 years, but I’ve been 99% Westside,” Simms said. He likes this area and thinks these homes will be a “cute” addition to the neighborhood. They are walking distance from the historic Montavilla Downtown on SE Stark Street and near transit options. This section of East Burnside Street has curbside parking only on the north side, across the street from the development. However, it is often underutilized and buffered from passing traffic by a bike lane, making it a suitable place for residents to park. Work on the units is moving quickly, and people should expect to see them take shape over the next few months.

  • 8426 E Burnside Street
  • 8428 E Burnside Street
  • 8430 E Burnside Street
  • 8432 E Burnside Street

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Construction, New Residence

Sixteen Detached Homes Complete on East Burnside

Recently, crews completed paving work on the NE 92nd Place-94th Avenue Alley off East Burnside Street, leading to 16 new two-story homes. Each of the back 15 units has attached garages, and the front home features a wide parking pad. This development project transformed a former automotive storage and wrecking yard into an urban subdivision with family-sized units.

Low-angle view of a newly paved street with a storm drain in the foreground and residential buildings lining the sides.
Stormwater management on paved alleyway

The approximately 20-foot-wide asphalt-paved alley has a concrete center channel that connects to stormwater inlets, which will control rain runoff from extensive paving at this site. The developer widened the once-overgrown gravel alley that connects East Burnside Street to a private street serving a 1996-era housing development. The public right-of-way alley continues north to NE Glisan Street but is blocked by parked vehicles and overgrown vegetation beyond this recently improved loop. Although the alley is not for through traffic, work at this site built a street-grid connection that facilitated significant housing density.

A newly constructed residential area featuring multiple houses, a sidewalk, and a recently paved street, surrounded by landscaping and a split rail fence.

Most of the new homes have a similar floor plan, with the frontmost home deviating from the design pattern in two notable ways. In addition to not offering interior vehicle storage, 9251 E Burnside Street has one less bathroom on the second floor than its 15 neighbors to the north. Designers also placed that unit’s stacked laundry closet on the ground floor rather than the upper level. All homes in this project have three bedrooms and an open concept main level. Each has a half-bath powder room on the first floor under the stairs. Six of the back units are designed to meet Portland’s visitability standards for universal access on the main level. They have a concrete ramp to the front doors that bypasses the steps and a larger ground-floor bathroom. Those larger restrooms extend past the outer wall, creating pop-out space with interior capacity to accommodate an unobstructed circle at least 60 inches in diameter. Both features help people in mobility devices enter the structure and use all the lower-level facilities. All 15 back-homes have a primary suite on the second floor with an attached bathroom and a double closet.

Row of modern suburban homes with various colors and architectural styles, featuring garages and front porches.
Six units with concrete ramps to the front doors that bypasses steps meeting visitability standards

The homes use a condominium land structure with a small monthly homeowners’ association (HOA) fee. Units also have fire sprinkler systems required in modern builds of this density. One of the units is currently listed for $439,900, with the others expected to become available soon. This site is walking distance from several transit options, including the MAX light rail system, and East Burnside Street has dedicated bike lanes. This location would be a good home for non-drivers or families that only have one car. However, this development still provides significant parking with space for up to two vehicles per home, along with infrastructure improvements that many opponents of some infill housing say must be part of density projects. The design team transformed a blighted commercial property into housing that fits the scale and style of the surrounding structures. Look for homes to fill with new residents over the coming months.

  • 9251 E Burnside Street
  • 9253 E Burnside Street
  • 9255 E Burnside Street
  • 9257 E Burnside Street
  • 9259 E Burnside Street
  • 9261 E Burnside Street
  • 9263 E Burnside Street
  • 9265 E Burnside Street
  • 9267 E Burnside Street
  • 9269 E Burnside Street
  • 9271 E Burnside Street
  • 9273 E Burnside Street
  • 9275 E Burnside Street
  • 9277 E Burnside Street
  • 9279 E Burnside Street
  • 9281 E Burnside Street

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Jacob Loeb

Promotion: Montavilla News is supported by contributions from businesses like Otter Wax, a neighborhood producer of small-batch specialty goods handcrafted in Portland. Using only natural ingredients, they make modern care products that are steeped in tradition. We thank them for their support.

Construction, New Residence

Home with ADU Sprouting Up Along New Sidewalk

Crews recently built the foundation for a new home and attached Accessory Dwelling Unit (ADU) at 2701 SE 85th Avenue and will soon begin framing on the three-story structure. This lot has remained vacant since the previous property owner demolished the original single-story home in 2018. In 2021, Ernie Jette Construction bought the 1,936-square-foot corner property after it was split from the parcel that currently supports a 1997-era duplex. Since then, contractors working for the City of Portland have paved the adjacent gravel road and constructed modern sidewalks, saving the developer from having to provide that infrastructure along SE Clinton Street.

The two new homes will have sloped shed roofs, giving them a flat front appearance towards the street. The main residence will face SE 85th Avenue and stand three stories tall, while the ADU will face SE Clinton Street and be one level shorter. Both units will have open main floors with living and kitchen space. Designers placed a half-bathroom under the stairs on the first floor, with a full bathroom on the second floor serving two adjacent bedrooms. The primary residence has the owner’s suite on the third floor with its own attached bathroom and walk-in closet. The larger home will offer future residents 1,426 square feet of living space, and the ADU will provide 789 square feet of living space.

Construction site with a wooden foundation frame on a gravel base, surrounded by a fence, portable toilet, and nearby homes.

The infrastructure work in this area is part of the Jade and Montavilla Multimodal Improvements Project, which created new sidewalks on SE Clinton Street from SE 84th to 87th Avenues, among many other updates. These additions help ready this area for future housing density. Much of the surrounding lots are Residential Multi-Dwelling 1 (RM1) zoned for low-scale multi-dwelling development. Replacing the gravel streets with modern infrastructure is essential as more residents will need to walk, roll, or drive through the area. Although Ernie Jette said that the new streets and sidewalks were not a deciding factor for creating this project, he is happy with the timing.

This section of the Jade District, bordered by SE Division Street, SE 82nd Avenue, SE Powell Boulevard, and Interstate-205, still has many streets and sidewalks in need of updates. Some of that work will occur during redevelopment, but for smaller developments, adding the infrastructure costs to a project can significantly increase the selling price of a home. When the City can leverage Federal funds and System Development Charge (SDC) funds to bring the area up to modern street standards, as they did in this area, it can make it easier to add housing density within a community and lessen the burden on neighbors by providing curbside parking and more efficient streets and sidewalks.

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Jacob Loeb

Promotion: Montavilla News is supported by contributions from businesses like Greg Beddor – SEO Specialist, an Oregon based digital marketing consultancy. The company markets customer’s websites and provide SEO services to grow their business. We thank them for their support.

Construction, Government, New Residence

Home Builder Ramping Up but Still Facing City Headwinds

Leaders across Oregon want developers to build more homes. Governor Tina Kotek set a statewide housing production goal in 2023, aiming to add 36,000 units per year, and although that goal was not met, it remains a key talking point for the administration. Locally, past and present Portland City Council members, along with the Mayor, have tried to reorganize the City’s permitting structure and suspend specific fees to incentivize housing construction, which has declined post-pandemic. At a time when housing production targets and efforts to increase affordability would benefit from high-unit-count apartment construction within the Urban growth boundary, developers have reduced multifamily unit production, with outside investors choosing to build in other cities instead. Regional housing creators have likewise experienced diminished production, but recently, some Portland builders are finding a way to put crews back to work by reducing project unit counts to lessen permitting hurdles and bring in specialists who can navigate the convoluted City permitting process.

DK Homes owner Damir Karin began building Portland projects in 1991 and has remained a prolific housing developer in the region over the last 35 years. He points to the complex and opaque permitting process as the reason many of his projects have stalled over the past five years. However, he feels this is changing and anticipates a return to pre-pandemic levels of development for his company. Karin explained this change was not due to streamlined building code or reduced fees. Instead, he points to a new role within his company that focuses on breaking through the building permit bureaucracy while scaling down projects to get past “unexplained” rules that have caused years of delay. “What helped me is I hired a guy who just does permits for me, nothing else. He is running around, calling the City, and bothering them,” explained Karin.

An empty lot with a fallen tree and overgrown grass, surrounded by residential houses, under a cloudy sky.
380-foot-deep-by-80-foot-wide property at 2721 SE 101st Ave where DK Homes will build 8 new houses

Utilizing the added staff support for building permits, DK Homes intends to break ground in the next few months on three multi-unit developments in the Montavilla and surrounding areas, with a fourth from 2020 potentially reactivating as a smaller project. Karin appreciates the State and City efforts to make Middle Housing more enticing for housing producers. The Residential Infill Project (RIP), parts one and two, in effect since June 2022, added rules allowing many housing density options on parcels formerly restricted to single-family residences. It also ushered in Middle Housing Land Divisions within Single-Dwelling zones that allow houses to be on their own lots even if they are not directly connected to a city street, avoiding the need to create a condominium with homeowner fees. That has provided DK Homes with an avenue to convert its larger-unit projects into detached single-family homes that can sell for enough to cover the added expenses of holding high-interest-rate construction loans for a prolonged period and meeting the growing costs required by the City code.

DK Homes purchased a nearly three-quarter-acre property at 2721 SE 101st Avenue in 2017 with the intention of creating 11 homes. Now, the project will offer eight units off a shared driveway along the south edge of the property, with each house featuring a small garage, three bedrooms, two full bathrooms, and a half bath on the main level. “It was supposed to be 11, but going through the permit process and dealing with the City, fire code, this code, that code; they cut me to eight,” said Karin. “I want to do 11, but they cut to eight, I guess because of some fire rules.” He felt City staff never fully explained to him why the only way forward on this project was to offer less housing. Particularly because all homes on the 380-foot-deep-by-80-foot-wide property will have sprinkler systems to reduce the risk of fire spreading. Additionally, the driveway will extend to the back of the property in both designs. However, he is less interested in pushing against the rules and is instead trying to focus on moving these projects through the permitting process so he can start building again.

Aerial view of a residential neighborhood showing outlined properties with house numbers, streets, and green spaces.
Portland Maps aerial view of DK Homes project sites on SE 101st and 103rd Avenues near SE Clinton St

The delay in development on the SE 101st Avenue project allowed him to use a new form of land division introduced through the RIP updates called cottage clusters. This project will not be a condominium with a Home Owner Association (HOA). Each home will have its own lot. The driveway and utilities will cross the adjoining homes’ easement, allowing access to the buildings located in the center of the large block. “It’s going to be separate houses, average is 1,400 square feet each,” said Karin. “But they are counting the garage, so it is 1,200 plus 200 [square feet] for the garage.” Most of the projects DK Homes has underway in the area will include attached vehicle storage as part of the design. Karin acknowledges that garages take up space in the home’s footprint that could serve as living space, and says his approach may be “old-fashioned,” but he feels it better serves his customers. “The City is pushing for no garages. I think Portland is not ready for that; people still have cars, especially in that area. So I decided to do houses with a garage. The people can park their car or use it like a storage unit,” explained Karin.

DK Homes will start a similar project one block over on the southwest corner of SE 103rd Avenue and Clinton Street. Because that site is on a corner, three houses will face SE Clinton Street, each having a driveway connecting to the city street. The other three homes will use a shared driveway accessed from SE 103rd Avenue. The 14 new homes on SE 101st and 103rd Avenues will use the Homebuyer Opportunity Limited Tax Exemption (HOLTE) Program. That affordability program for Single-unit homes lets qualified buyers take a property tax exemption on structural improvements for up to 10 years, as long as the property and owner remain eligible per HOLTE Program requirements. This provision will limit homebuyers for these projects to those earning at or below 100% of the Median family income for a family of four in the area. That income cap can increase for larger households.

An empty lot with green and blue recycling bins, a mailbox, and a wooden sign, surrounded by trees and residential buildings in the background.
2719 SE 103rd Ave vacant lot where DK Homes will construct 6 homes

Whenever possible, DK Homes will preserve the original homes on the development site and add newer units within the undeveloped yard space. However, the lack of building during COVID and the slow recovery left its structures south of SE Division Street unoccupied, attracting squatters who damaged the homes significantly. Karin opted to demolish the nearly unrecoverable original homes and remove the incentive for people to trespass.

A residential house in Portland with a for sale sign in the front yard, surrounded by trees and a grassy area on a rainy day.
47 NE 87th Ave post renovation

The dangers of sitting empty did not impact DK Homes’ project on NE 87th Avenue. The team worked to preserve the interior of the 1909-era house at 47 NE 87th Avenue as much as possible and refinished the basement for added living space. Karin Split that property back into two distinct lots and is now selling the renovated century-old house. On the vacant lot at 43 NE 87th Avenue, DK Homes will create two attached homes. One of the common-wall homes will have four bedrooms with three and a half baths. It will have one bedroom on the ground floor with a full bathroom, making it suitable for multi-generational homebuyers or those with other accessibility needs. On the top floor are the other three bedrooms and two baths. The neighboring unit will have a similar layout without the lower-level bedroom and ensuite bathroom. They will both have attached garages with a split driveway running down the center of the property. A later land division will create separate properties for the new houses.

View of a residential construction site with a rocky pathway leading to a portable restroom, surrounded by trees and houses.
43 NE 87th Ave awaiting permit approval for two attached townhouses

This project, just off os East Burnside Street, is different than his other work south of the site. It is less focused on maximizing land and may not include affordability incentives. “I can go all the way to four [units on the property], but then you bring four families [on a smaller lot], and it’s gonna be a problem for neighbors,” remarked Karin. “I’m still trying to figure out all my costs to see if I will be able to build under the tax abatement.”

Intersection of SE Clinton Street and SE 103rd Avenue, featuring an empty lot surrounded by trees and nearby homes.
2719 SE 103rd Ave vacant lot where DK Homes will construct 6 homes

Damir Karin said that he feels the overlapping and contradictory building codes, along with infrastructure improvement requirements placed on housing creators, are driving up costs and incentivizing people to build for higher earners. “They’re talking about affordable housing and a shortage of space for people to live, but on the other hand, all the rules they bring up just hold back developers and make each project cost more. More requirements add more expenses,” explained Karin. “When we have to spend an additional hundred thousand to improve the sidewalk and curb or add a bioswale, somebody needs to pay. As a professional trying to make my living, if I spend $100,000, I have to somehow get some money back.” He points to years of changing requirements that have added to the cost of a detached home, and he feels it is even harder to make apartment projects profitable.

Rendering of a three-story multi-unit residential building featuring a driveway and parking area, surrounded by trees and landscaping, with pedestrians approaching the entrance.
2020 rendering of proposed 12-unit apartment building at 2444 SE 90th Ave provided by Concept Design & Associates

Karin points to his long-delayed apartment project at 2444 SE 90th Avenue as an example of one he could not get built in Portland. It started as a 12-unit apartment building with tuck-under parking. It faced delays and eventually became a smaller, five-unit project for sale rather than as a rental near a commercial corridor. “We have five attached townhomes, and my permit is in its fifth year with the City,” said Karin. After downsizing the unit count, the permits began moving forward. However, he said officials recently told him he will need to build a half-street improvement on the curbless section of SE 90th Avenue. He explained that this provision will require more engineering and further drive up costs, leading to fewer units at higher prices for future buyers.

Some builders are getting back to work as recent City programs have helped drive the creation of middle housing. Still, even a developer like Karin will point out that the number of projects underway is not the best measure of a successful housing policy. When the building permit process discourages apartment building density by adding costs and delaying project approval, builders will target lower-density land uses to get the project moving. He wants to build more housing units per property where it is appropriate, offering more affordable options for price-constrained buyers. He notes density is needed within Portland, recognizing that “no one is making more land,” but he needs the City to help builders like him navigate the system to deliver those projects. Not many local development companies can afford a dedicated person to shepherd projects through the permitting process, and they may still need to make unit-count concessions to gain approval.

People can expect to see work underway at the three DK Homes project sites in 2026.

Article and photos by

Jacob Loeb

Promotion: Check out East Portland News as it continues to advocate for and report on outer East Portland. You will find frequently updated articles and an archive of more than 5,000 stories written over the past 20+ years alongside a robust Community Calendar of events.

Community, Construction, New Residence

Buildings Arrive at Harrison Community Village

On December 2nd, crews working with a crane unloaded prefabricated mobile buildings that will support the residents and site operators of Harrison Community Village at 1818 SE 82nd Avenue. This installation marks a significant milestone as the Multnomah County Homeless Services Department (HSD) prepares the site to house a new sober shelter operated by nonprofit Do Good Multnomah. Principal work on this project began in August, when demolition crews razed the single-story sales office and shop, last used as an RV sales location and later purchased by Multnomah County to become Montavilla’s second shelter site on 82nd Avenue. Work will continue during the 2025-2026 winter season to prepare the site for 38 single-occupancy shed-style shelter units.

A crane unloading prefabricated blue mobile buildings made from shipping containers at the Harrison Community Village construction site, surrounded by a fence and utility poles.

The blue metal buildings, made from shipping containers that specialists recently craned into place, will house sanitation facilities, offices, cooking facilities, and other shared spaces. Previously, electricians and plumbers installed underground utilities to provide services to the temporary buildings on the site. Fencing installers have begun setting posts for a new seven-foot-high chain-link fence with plastic privacy inserts meant to obscure visibility into the property. Further work phases will create an outdoor pet relief area, green space, and covered seating for residents. Crews will also construct a trash enclosure and complete new perimeter barriers, including a new wood fence along the eastern edge of the property to create a buffer between the shelter site and the adjoining single-family residence.

A proposed site design for a new sober shelter, showing the layout of sleeping units, community space, staff areas, and essential facilities like showers and laundry. The design includes labeled areas for vehicle entry, landscaping, and fencing.

Multnomah County purchased the former recreational vehicle dealership at 1818 SE 82nd Avenue in December 2022 for $2.015 million. This 34,000-square-foot parcel was the second Montavilla location the County bought that year for temporary shelter services. The other shelter, Oak Street Village at 333 SE 82nd Avenue, opened in February and is currently operating at full capacity. The Joint Office of Homeless Services — now renamed the Homeless Services Department — has held several community meetings, including one in April that announced that Do Good Multnomah would operate the site as a sober shelter. Presenters explained that residents and staff are subject to drug testing, and policy strictly prohibits the possession of non-prescribed intoxicants on the property. Selecting a sober format meets a specific need for people transitioning into stable housing who are in recovery from substance use disorder, and it better matches community desires for the site, which is near two Portland Public Schools.

Construction workers unloading prefabricated mobile buildings using a crane at the site of Harrison Community Village, with blue shipping container buildings visible in the background.

Homeless Services Department staff will continue to collaborate with community partners on a Good Neighbor Agreement. People can expect to see much more above-ground work at the site, leading up to an early 2026 community tour of the property, followed by the first group of residents beginning to move into the sober housing, where they will receive on-site support every hour of every day, with operators providing wraparound services that aim to move people into stable housing. People interested in knowing more can visit the Harrison Community Village website.

Feb 2025 Design – courtesy HSD

Article and photos by

Jacob Loeb

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Construction, Demolition, History, New Residence, Renovation

Four Affordable Townhouses on NE Hassalo

Crews will soon begin work preparing the vacant lot at 8425 NE Hassalo Street for a quartet of new townhouses. The seller will offer the new homes under an affordability program that exempts buyers from paying reassessed property taxes for a decade, cutting their monthly escrow payments. The developer will use the Middle Housing Land Division (MHLD) process to split the parcel into four distinct lots for individual sale. The frontmost home’s door will open onto the street, with the back three accessed by a shared walkway along the western edge of the properties. The attached units will provide buyers with three bedrooms in around 1,200 square feet of living space spread across two floors.

Aerial view of a vacant lot at 8425 NE Hassalo Street, surrounded by residential properties, outlined for future development of townhomes.
Portland Maps image showing 8425 NE Hassalo St outlined in red

Area developer Rees Bettinger purchased the 15,700-square-foot investment property at 8413 NE Hassalo Street in May, splitting its two linked lots. NW Development bought the undeveloped tract east of the existing house for this housing project. That company’s owner, Brett Barton, explained that he and Bettinger are longtime friends, working cooperatively when possible. Another developer purchased the corner lot and is using Cascade Homes NW to construct an additional four townhouses off NE 84th Avenue, as well as renovate the existing 1908-era two-story home that originally occupied the site. In the 1930s, a plumbing permit for the century-old property listed the “World War Veterans’ State Aid Commission” as the owner of this home, possibly indicating that a past resident was a World War I or Spanish-American War veteran who received the supportive organization’s loan to purchase the house. Although the house on NE Hassalo Street has used the adjacent property as a side yard for decades, the original platting of this block indicates that its subdividers intended the undeveloped 5,650-square-foot parcel to serve as a distinct property, and this current project is likely its first housing development.

Architectural floor plan for a development featuring four townhouse units, showing first and second floor layouts with labeled storage spaces.
8425, 8427, 8429, 8431 NE Hassalo St, floor plans courtesy NW Development

The 50-by-114-foot lot offers considerable space for the new housing. Barton said his project will utilize the same architect who designed Rees Bettinger’s townhouses, located a block over on NE Holladay Street. However, with the increased property size, the NE Hassalo Street units will offer their owners a few extra feet in critical spaces, such as bathrooms. The main level’s open layout places the “L” shaped kitchen in the back corner near the rear sliding door that leads to a patio space on the east side of the homes. An outdoor storage closet, located near the back patio, provides space for seasonal outdoor furniture or other deck items. A kitchen island has space for counter seating from the living room side and helps define the kitchen space from the rest of the open main room. The northern walls support a pantry, a half-bath washroom, and an under-staircase storage area containing the water heater. The second floor features two standard-sized bedrooms, each with a shared bathroom located in the hallway near a stacked laundry closet. An “owner’s” third bedroom features an ensuite bathroom and a walk-in closet.

Architectural rendering of a row of four townhouses showing modern design elements, large windows, and a symmetrical facade.
8425, 8427, 8429, 8431 NE Hassalo St, renderings courtesy NW Development

Barton said the new homes will also have more yard space, thanks to the deeper and wider lot. However, development plans will not allow for attached onsite vehicle storage. He explained that he registered the development in the “Homebuyer Opportunity Limited Tax Exemption” (HOLTE) program, which grants a property tax exemption of up to ten years to single-unit homes, as long as the property and owner remain eligible according to HOLTE Program requirements. Owners remain responsible for paying the original assessed value of the land without a building during the exemption period. This program only applies to housing with at least three bedrooms or some Two-bedroom homes within transit-oriented areas. Buyers must remain below the Median Family Income (MFI) restriction levels, and the home sale price for this program cannot exceed a maximum price currently set at $455,000. Barton intends to sell the houses for under $400,000 and expects the HOLTE option to make this obtainable for people qualified for loans in the $330,000 to $370,000 range.

A partially renovated house with wooden siding and a new roof stands on a lot that has been cleared of vegetation and debris. Surrounding trees and shrubs are visible in the background under a blue sky.
Renovation work underway at 8413 NE Hassalo St with 8425 NE Hassalo St seen behind it

New changes to Portland’s System Development Charges (SDCs) will also have a positive impact on this project. Barton said he would have needed to enroll in other affordability programs to reduce the fees the City charges builders to pay for new infrastructure. Those expenses can make some projects too costly. In July 2025, the Portland City Council adopted an ordinance that temporarily exempts newly created housing units from SDCs. With that change, Barton said prospective buyers will face fewer restrictions when qualifying for these affordable units. For other market-rate projects, it could keep costs within the profit margins needed to undertake a development.

City staff are still reviewing permits for the new housing. When construction crews complete work on these concurrent developments, the land that once supported a single home will now contain at least nine residences. People can expect significant progress on this project in 2026.

Article and photo by

Jacob Loeb

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