The Montgomery Park office complex in northwest Portland has been sold for $33 million to a company affiliated with the Menashe real estate family, according to land records filed Friday.

Three family members involved in Portland-based Menashe Properties — Barry, son Jordan and daughter Lauren — declined to comment Friday.

The building at 2701 NW Vaughn St. was last sold in 2019 for $255 million.

The Menashe family purchased downtown office buildings, namely the JK Gill and American Bank buildings, at huge discounts last year amid general problems in Portland’s commercial real estate market. According to real estate brokerage CBRE, more than 31% of downtown office space is vacant.

Montgomery Park’s sheer size alone makes it an indicator of Portland’s office culture. According to a Portland Business Journal list, it’s the third-largest office building in the metro area, behind No. 2 Wells Fargo Center and No. 1 U.S. Bancorp Tower.

The Oregonian/OregonLive first reported on July 17 that Menashe Properties was considering buying Montgomery Park. Founder Barry Menashe had denied the existence of a deal but left open the possibility of a future purchase.

On Friday, property records filed in Multnomah County showed that Montgomery Park PDX LLC had purchased the building for $33 million, an 87 percent drop in value from its 2019 sale price, when an entity affiliated with Seattle-based Unico Properties bought it for $255 million.

After the owners were no longer able to meet their payment obligations, the building was put up for auction in February. However, since no bidder was found, the lender commissioned the real estate brokerage company Newmark to find buyers.

Barry and Jordan Menashe are linked in state business records to Montgomery Park PDX LLC, a limited liability company formed last month as a real estate investment trust.

— Jonathan Bach covers housing and real estate. Reach him by email at [email protected] or by phone at 503-221-4303.

Our journalism needs your support. Subscribe today.