Land Sale Negotiations Stall North Waterfront Condos

PORTLAND, OR-A proposed four-tower, 370-unit condominium development north of Downtown on the Willamette River is in limbo this week. The Waterfront Pearl development is slated for two parcels that sit on Naito parkway between the Albers Mill building and the Portland Police horse paddock. The Portland Design Commission late last week declined to approve the project’s design because it is not clear that would-be developer H. Naito Corp. and partners will be able to acquire the adjacent parcel it needs for the project to go forward as designed. While H. Naito Corp. owns half the land it needs, Bill Naito Co. owns the other half and the two sides of the family are in disagreement over the price, among other things. If they cannot come to agreement, the project will have to be cut in half and redesigned because the current design has the required public plaza on the Bill Naito Co. parcel.H. Naito Corp. is owned by Sam Naito and his son Verne. Bill Naito Co. is owned by the children of Sam Naito’s late brother, Bill Naito, and two of Sam’s sons. In January, the two sides settled litigation with regard to the family’s investments by splitting up assets. Generally, Bill Naito Co. bought out H. Naito Corp.’s interest in the real estate portfolio and H. Naito Corp. bought out Bill Naito Co.’s interest in the family’s Made in Oregon retail chain. That is true save for two real estate properties that H. Naito retained, with one of those being one of the two parcels between Albers Mill and the paddock.Neither Bill Naito Co. nor H. Naito Corp. could be reached Monday for comment, though Bill Naito Co. attorney Steve Naito confirmed the facts of this story. The project was always planned to rise in two phases of two towers each, with the first phase slated for the parcel closest to the paddock. That parcel is the one owned by H. Naito Corp. and partners. The other parcel, owned by Bill Naito Co. and Wheat Marketing Center, holds what is now the parking lot for the Albers Mill Building.The project is scheduled to be in front of the Design Commission once again on June 16. By that time, it is expected H. Naito Corp. will be presenting a revised, two-tower design or a purchase and sale agreement with Bill Naito Co.