Could the Phoenix Pharmacy’s rebirth hinge on your pocket books?
If a proposed partnership between Mercy Corps and Rose Community Development Corp. takes hold, and a financial plan proves successful, that could be the case. The Portland Business Journal (subscription required) recently published an article discussing the proposal, which would revolve around a collective investment model and seek up to 300 investors from the neighborhood. This model, otherwise known as a real estate investment trust (REIT), is being pursued as a means to acquire the building, but also to “bring real estate investing to residents of Portland’s low-income Lents and Foster-Powell neighborhoods,” as the article states.
If the theory follows, local investors would be able to tap into rising property values of the building as it becomes restored and attracts businesses willing to rent. Investing in the project could cost “as little as $10 a month.” It is not known how this model will specifically help low-income residents, as the article suggests, but it appears to be the Foster area’s first chance at putting its money where its mouth is. In other words, we all want to see that building restored—now there may be a possibility to actually contribute toward that end.
Details remain foggy, such as how investors would get their return, how long an investor would need to commit, and what kind of businesses would be sought out to lease the space. And even if all that were to be determined, the cost of repairing the building must be factored into the financial plan…and that could become too prohibitive. If all works out, however, this could be the first real chance the Phoenix Pharmacy has at a rebirth. And with that, Foster realizes more and more of its potential.
What are your thoughts on the community investment model?