This is Bend, Oregon This is Bend, Oregon (Ory-gun)(Ory-gun)

Lunch break on Mirror Pond of the Deschutes River in downtown Bend

Photo ©2010 by Lee Hicks

Mirror Pond at Drake Park

A walk along Mirror Pond offers mountain views and an upclose visit with resident swans.

Photos by Lee Hicks

Mt. Bachelor in summerMt. Bachelor in summer

Kayakers on Sparks Lake in a summer view of Mt. Bachelor’s “back side” ski runs. Photo by Lee Hicks

Mt. Bachelor in winterMt. Bachelor in winter

It’s a long, beautiful trip from Mt. Bachelor’s 9,000-foot summit to the base village.Photos courtesy

Mt. Bachelor

Fall on the Crooked RiverFall on the Crooked River

A placid stretch of the Crooked River in Smith Rock State Park, a favorite with rock climbers and hikers. Photo by Lee Hicks

Mt. JeffersonMt. Jefferson

At 10, 497 feet, Mt. Jefferson anchors its namesake wilderness in the Central Oregon Cascades. Photo by Lee Hicks

The Three Sisters PeaksThe Three Sisters Peaks

Horses are a way to enjoy Central Oregon’s spectacular views while riding public lands.

Photo by Lee Hicks

The Metolius RiverThe Metolius River

Fly fishing on the Metolius River attracts anglers from around the country

Photo by Lee Hicks

Fall River Fall River

Fall River near Sunriver Resort is a catch and release gem that feeds the upper Deschutes River.

Photos by Lee Hicks

A cycling destinationA cycling destination

USA Cycling chooses Bend for its national championship races. Photos by Lee Hicks

Cross country skiingCross country skiing

Cross county skiing at Meissner Sno-park is 15 minutes from downtown Bend.

Photo by Lee Hicks

Rock ClimbingRock ClimbingThe rock faces in Smith Rock State Park draw climbers from around the country.

Photo by Lee Hicks

Rafting the “Big Eddy”Rafting the “Big Eddy”

Boiling rapids of the “Big Eddy” are 15 minutes from downtown Bend.

Photo by Lee Hicks

Bend BasicsBend Basics WEATHER -WEATHER - At an altitude of over 3,600 feet Bend is the population and commercial hub of Central At an altitude of over 3,600 feet Bend is the population and commercial hub of Central

Oregon. This high desert environment enjoys approximately 300 days annually of at least some sunshine. Oregon. This high desert environment enjoys approximately 300 days annually of at least some sunshine. Bend averages less than 35 inches annually of snowfall. But Mt. Bachelor, at a base elevation of more than Bend averages less than 35 inches annually of snowfall. But Mt. Bachelor, at a base elevation of more than 6,000 feet 21 miles southwest of town has averaged 387 inches of snowfall from 2000-2009. The mountain 6,000 feet 21 miles southwest of town has averaged 387 inches of snowfall from 2000-2009. The mountain often has a base of 100-150 inches and typically is open Thanksgiving through Memorial Day.often has a base of 100-150 inches and typically is open Thanksgiving through Memorial Day.

POPULATIONPOPULATION – Bend, nearly 82,000; Deschutes County more than 155,000 according to updated Census – Bend, nearly 82,000; Deschutes County more than 155,000 according to updated Census estimates in 2010. The second largest city in the county is Redmond, estimated population of 25,000. estimates in 2010. The second largest city in the county is Redmond, estimated population of 25,000. Sisters to the northwest of Bend has about 1,800 residents but a school district population of about 10,000.Sisters to the northwest of Bend has about 1,800 residents but a school district population of about 10,000.

PUBLIC LANDSPUBLIC LANDS – Extensive Forest Service and Bureau of Land Management lands ranging from – Extensive Forest Service and Bureau of Land Management lands ranging from sagebrush and juniper high desert to sub-alpine pine and fir forests.sagebrush and juniper high desert to sub-alpine pine and fir forests.

MAJOR PEAKSMAJOR PEAKS – The Three Sisters and Mt. Jefferson, all approx. 10,000 feet; Mt. Bachelor, 9,065 ft. – The Three Sisters and Mt. Jefferson, all approx. 10,000 feet; Mt. Bachelor, 9,065 ft. Broken Top, 9,175 ft., Mt. Washington, 7,694 ft and Three Fingered Jack, 7,841 ft.Broken Top, 9,175 ft., Mt. Washington, 7,694 ft and Three Fingered Jack, 7,841 ft.

RIVERS & LAKESRIVERS & LAKES – Deschutes River and its major tributaries. the Metolius and Crooked rivers, along – Deschutes River and its major tributaries. the Metolius and Crooked rivers, along with pristine Fall River south of Bend, and Wychus Creek which flows through Sisters. The Deschutes is a with pristine Fall River south of Bend, and Wychus Creek which flows through Sisters. The Deschutes is a legendary steelhead trout fishery in its lower reaches south of Bend to the Columbia River. legendary steelhead trout fishery in its lower reaches south of Bend to the Columbia River.

LAKESLAKES– A chain of lakes along the Cascades Lakes scenic route offer blue ribbon trout fishing, power – A chain of lakes along the Cascades Lakes scenic route offer blue ribbon trout fishing, power boating and sailing opportunities. Several are designated for fly fishing only where no motor boating is boating and sailing opportunities. Several are designated for fly fishing only where no motor boating is allowed. allowed.

AIR SERVICEAIR SERVICE - - daily direct air service from Redmond (18 minutes north of Bend) to Portland, Seattle, daily direct air service from Redmond (18 minutes north of Bend) to Portland, Seattle, San Francisco, Salt Lake City and Las Vegas. Airlines include Horizon (regional carrier of Alaska Airlines); San Francisco, Salt Lake City and Las Vegas. Airlines include Horizon (regional carrier of Alaska Airlines); Delta (through SkyWest); United Express; and Allegiant Air. The Sunriver Resort Airport and Bend Delta (through SkyWest); United Express; and Allegiant Air. The Sunriver Resort Airport and Bend Municipal Airport also have lighted runways capable of handling general aviation jets.Municipal Airport also have lighted runways capable of handling general aviation jets.

Tetherow Resort

Downtown Business District

Old Mill District

St. Charles Regional Medical Center

Costco, Barnes & Noble, Whole Foods, Old Navy, others

Broken Top neighborhood and private golf course

* Interactive map link

Regional mapRegional mapBend to key destinations:Bend to key destinations:

Portland, 163 miPortland, 163 mi Seattle, 327 miSeattle, 327 mi Spokane, 386 miSpokane, 386 mi San Francisco, 491 miSan Francisco, 491 mi Boise, 319 miBoise, 319 mi Reno, 406 miReno, 406 mi Salt Lake City, 657 miSalt Lake City, 657 mi Jackson Hole, 683 mi Jackson Hole, 683 mi

Men’s Journal- “best adventure town” Sunset - “you’ll

find Central Oregon’s adventure hub hopelessly addictive..”

USA Today – Bend’s 2nd home seekers go full-time

Business Week- market cools and savvy buyers eye Bend

National & regional media look at Bend

Bulletin –economy more diverse than other mountain towns

The Old Mill DistrictThe Old Mill District

Photo by Lee Hicks

SSculpture in the main culpture in the main plaza of the Old Mill plaza of the Old Mill District reflects its District reflects its history as the region’s history as the region’s leading timber mill site. leading timber mill site.

An REI store is now An REI store is now housed in the former housed in the former mill’s renovated mill’s renovated powerhouse which powerhouse which retains the massive retains the massive smokestacks of a smokestacks of a previous era.previous era.

Preserving history for todayPreserving history for today

Photo by Lee Hicks

Old Mill Shops aerial viewOld Mill Shops aerial view

Old Mill on the DeschutesOld Mill on the Deschutes

TThe Deschutes River he Deschutes River once carried once carried massive logs to be massive logs to be milled in Bend. milled in Bend. Now it’s a scenic Now it’s a scenic waterway waterway attracting kayakers attracting kayakers and fly fishers and fly fishers inside the city inside the city limits at the Old limits at the Old Mill District. Mill District. Photo by Lee Hicks

Music on the RiverMusic on the River

A A pedestrian bridge pedestrian bridge connects the Old connects the Old Mill District shops Mill District shops to the Les Schwab to the Les Schwab Amphitheater.Amphitheater.

Bob Dylan, Sheryl Bob Dylan, Sheryl Crow BB King, Crow BB King, Willie Nelson, Willie Nelson, Bonnie Raitt, Diana Bonnie Raitt, Diana Krall, Keb Moe and Krall, Keb Moe and Ben Harper are Ben Harper are among musicians among musicians who have performed who have performed on the river.on the river.

Photo by Lee Hicks

Old Mill District retailersOld Mill District retailersOrvisOrvisREIREIGAPGAPColdwater CreekColdwater CreekAnn TaylorAnn TaylorHelly-HansenHelly-HansenBanana RepublicBanana RepublicVictoria’s SecretVictoria’s SecretChicosChicosRegal CinemasRegal CinemasBanana RepublicBanana RepublicAerosolesAerosolesAmerican EagleAmerican EagleAnthony’sAnthony’sRed RobinRed Robin

Orvis

Helly Hansen

GAPAnn Taylor Loft

Anthony’sBend Film

Regal Cinemas Coldwater Creek

National retailers in Bend National retailers in Bend

Barnes & NobleBarnes & NobleOrvisOrvisCostcoCostcoOffice MaxOffice MaxStaplesStaplesBest BuyBest BuyWorld MarketWorld MarketStarbucksStarbucksBed Bath & Bed Bath &

BeyondBeyondOlive GardenOlive Garden

TargetTargetHome DepotHome DepotLowe’sLowe’sTrader Joe’sTrader Joe’sWhole FoodsWhole FoodsMacy’sMacy’sBlockbusterBlockbusterPier 1Pier 1Old NavyOld NavyWal-MartWal-Mart

GAPGAPVictoria’s SecretVictoria’s SecretBanana RepublicBanana RepublicAerosolesAerosolesChicosChicosAnn TaylorAnn TaylorAmerican EagleAmerican EagleColdwater CreekColdwater CreekMichael’sMichael’s

Destination resorts and Destination resorts and golf coursesgolf courses Bend and Central Oregon have five major Bend and Central Oregon have five major

destination resorts with multiple golf courses in destination resorts with multiple golf courses in operation, and several others in various stages of operation, and several others in various stages of planning or construction.planning or construction.

There are more than 25 golf courses, including There are more than 25 golf courses, including resort courses, open for public play.resort courses, open for public play.

Bend and Sisters have excellent memberhip Bend and Sisters have excellent memberhip athletic clubs with guest privileges that include athletic clubs with guest privileges that include indoor pools and tennis courts.indoor pools and tennis courts.

Sunriver Resort-the region’s originalSunriver Resort-the region’s original The only AAA 4 Diamond resort The only AAA 4 Diamond resort

in Central Oregon and the in Central Oregon and the Northwest’s “original” signature Northwest’s “original” signature resort. on the Deschutes River 12 resort. on the Deschutes River 12 miles south of Bend.miles south of Bend.

Begun in the early 1970s on Begun in the early 1970s on nearly 4,000 acres. Now has nearly 4,000 acres. Now has many private homes, condos and many private homes, condos and a central lodge with fine dining, a central lodge with fine dining, golf clubhouse, 44,000 sf of golf clubhouse, 44,000 sf of conference space, and a 5,000 sf conference space, and a 5,000 sf full-service spa adjacent to an full-service spa adjacent to an indoor pool and tennis courts.indoor pool and tennis courts.

Three 18-hole golf courses, Three 18-hole golf courses, tennis, several swimming pools.tennis, several swimming pools.

Crosswater,Crosswater, the newer Sunriver the newer Sunriver sister golf community- 1 mile sister golf community- 1 mile from Suniver’s entrance, has a from Suniver’s entrance, has a member’s only course that has member’s only course that has hosted major competitons hosted major competitons including NCAA golf finals and including NCAA golf finals and the Jeld-Wen Tradition pro the Jeld-Wen Tradition pro tournament.tournament.

Caldera SpringsCaldera Springs, just to the east , just to the east of Crosswater, has an executive of Crosswater, has an executive golf course and caters to families golf course and caters to families and second home owners.and second home owners.

Sunriver is the only Bend area resort with airport facilities capable of accommodating general aviation jets.

Photos by Lee Hicks

Pronghorn ResortPronghorn ResortPronghorn resort has golf Pronghorn resort has golf

courses by Tom Fazio and courses by Tom Fazio and Jack Nicklaus, the only Jack Nicklaus, the only such tandem arrangement such tandem arrangement by the two designers in the by the two designers in the nation.nation.

The resort offers a mix of The resort offers a mix of individual home sites, a individual home sites, a members only Pronghorn members only Pronghorn Club, fractional interest Club, fractional interest homes, villa-style homes homes, villa-style homes and public nightly and public nightly accommodations with golf accommodations with golf privileges, spa and fine privileges, spa and fine dining.dining.

Pronghorn takes top honors in the "Top 50 Developments," and is "a personal favorite." ~ Estates West March 2008 Photos courtesy

Pronghorn

Tetherow Resort Tetherow Resort (in progress)(in progress)

Links style golf course designed Links style golf course designed by David McKlay Kidd, architect by David McKlay Kidd, architect of Bandon Dunes on the Oregon of Bandon Dunes on the Oregon coast.coast.

379 home sites along the course 379 home sites along the course and bordering public Forest and bordering public Forest Service land.Service land.

Just 5 minutes to the Deschutes Just 5 minutes to the Deschutes River and downtown Bend.River and downtown Bend.

Proposed 150 room hotel and spa, Proposed 150 room hotel and spa, private club for homeownersprivate club for homeowners

Proposed townhomes and cabinsProposed townhomes and cabins

Photos top right courtesy Tetherow, top left & above by Lee Hicks

Brasada RanchBrasada Ranch

Brasada Ranch is a 1,800 acre project of Jeld-Wen, also Brasada Ranch is a 1,800 acre project of Jeld-Wen, also developer of Eagle Crest west of Redmond, the Running Y developer of Eagle Crest west of Redmond, the Running Y near Klamath Falls, and Suncadia, Washington’s premier near Klamath Falls, and Suncadia, Washington’s premier all seasons resort 90 miles west of Seattle. all seasons resort 90 miles west of Seattle.

18-hole Peter Jacobsen/Jim Hardy-designed, par 72, 7,328 18-hole Peter Jacobsen/Jim Hardy-designed, par 72, 7,328 yard championship course--private but open to resort yard championship course--private but open to resort guests.guests.

Equestrian center to accommodate nightly stays of horses; Equestrian center to accommodate nightly stays of horses; extensive riding trails on Brasada propertyextensive riding trails on Brasada property

Fine dining restaurant, pool and spa.Fine dining restaurant, pool and spa. Homesites, golf course homes and cabins available.Homesites, golf course homes and cabins available.

Eagle CrestEagle Crest

Eagle Crest is among the original three leading Central Oregon Eagle Crest is among the original three leading Central Oregon destination resorts, along with Sunriver and Black Butte Ranch.destination resorts, along with Sunriver and Black Butte Ranch.

Two 18-hole golf courses and a “short 18” par 63.Two 18-hole golf courses and a “short 18” par 63. Three lodge sports centers including one with indoor pool and gym.Three lodge sports centers including one with indoor pool and gym. 10 miles of paved trails.10 miles of paved trails. Condo, townhome and single family homes and home sites.Condo, townhome and single family homes and home sites. Clubhouse, spa and fine dining restaurantClubhouse, spa and fine dining restaurant Retail villageRetail village

Photos courtesy Eagle Crest

Black Butte RanchBlack Butte Ranch

Black Butte Ranch was created from a former cattle ranch in the 1970s by Black Butte Ranch was created from a former cattle ranch in the 1970s by Brooks Resources, the real estate group of the region’s then dominant Brooks Resources, the real estate group of the region’s then dominant timberland and milling company.timberland and milling company.

1,250 home sites, central lodge with dining, condominiums and rental 1,250 home sites, central lodge with dining, condominiums and rental cabinscabins

Two 18-hole golf courses, 19 tennis courts and five swimming poolsTwo 18-hole golf courses, 19 tennis courts and five swimming pools Neary 20 miles of bike pathsNeary 20 miles of bike paths Stables and a resident seasonal herd of horses for ridingStables and a resident seasonal herd of horses for riding Easy access to national forest land for hiking, biking and horseback riding.Easy access to national forest land for hiking, biking and horseback riding. 10 minutes to fly fishing the blue-ribbon Metolius River10 minutes to fly fishing the blue-ribbon Metolius River Photos courtesy Black Butte Ranch

Ranch at the CanyonsRanch at the Canyons

Agricultural uses, including vineyards and hayfields, blend with gracious estate living at Ranch at the Canyons.

Photos by Lee Hicks

Bend Real Estate Bend Real Estate MarketMarket

20102010

Market cools…creates opportunityMarket cools…creates opportunity Central Oregon and Bend--the region’s hub-- have long Central Oregon and Bend--the region’s hub-- have long

been known to Northwesterners seeking sunnier been known to Northwesterners seeking sunnier climates and abundant recreation variety. climates and abundant recreation variety.

In the recent period of rapid national housing growth In the recent period of rapid national housing growth Bend was also “discovered” by many buyers from Bend was also “discovered” by many buyers from outside the region, especially California. outside the region, especially California.

A SIGNIFICANT CHANGE IN 3 YEARSA SIGNIFICANT CHANGE IN 3 YEARS

By the second quarter of 2006 the Bend Statistical By the second quarter of 2006 the Bend Statistical Metropolitan Area (encompassing most of Central Metropolitan Area (encompassing most of Central Oregon) led the country in housing appreciation Oregon) led the country in housing appreciation according to the government’s Office of Federal according to the government’s Office of Federal Housing Enterprise Oversight.Housing Enterprise Oversight.

By year end 2009 Bend had fallen to last position—By year end 2009 Bend had fallen to last position—299299thth among 299 SMAs tracked by the federal agency. among 299 SMAs tracked by the federal agency.

Bend housing appreciationBend housing appreciation

National rankNational rank 1 year1 year % % Quarter%Quarter% 5 year%5 year%

2Q 2006 2Q 2006 1 1 +36.65 +7.37 +96.36 +36.65 +7.37 +96.36 3Q 20093Q 2009 299 299 -20.55 -5.52 -0.71 -20.55 -5.52 -0.71Source: Federal Housing Finance Agency statistics for 299 MSAs (Metropolitan statistical areas).Source: Federal Housing Finance Agency statistics for 299 MSAs (Metropolitan statistical areas).

--------------------------------------------------------------------------------------------------------------------------------------------

Bend rose to the top of the national appreciation charts in Bend rose to the top of the national appreciation charts in 2006 but by 2009 was at the bottom of the statistics.2006 but by 2009 was at the bottom of the statistics.

Distressed propertiesDistressed properties Higher housing debt and lax lending Higher housing debt and lax lending

standards combined with the Bend area’s standards combined with the Bend area’s attractive quality of life to drive up prices to attractive quality of life to drive up prices to unsupportable levels at mid-decade.unsupportable levels at mid-decade.

With the national recession, the consequence With the national recession, the consequence has been rising loan defaults leading to has been rising loan defaults leading to substantial short sales and foreclosures and substantial short sales and foreclosures and dramatic price reductions for other properties.dramatic price reductions for other properties.

Bend 2009 Bend 2009 % short/REO asBend 2009 Bend 2009 % short/REO as SF Sales SF Sales short /REO salesshort /REO sales short/REOsshort/REOs % pending/contingent% pending/contingent

1,5441,544 880 880 56.99% 80.05% (293 of 56.99% 80.05% (293 of 366)366)

Of the 1,544 single family homes sold in Bend during 2009, Of the 1,544 single family homes sold in Bend during 2009, more than 56% were either short sales or bank owned more than 56% were either short sales or bank owned properties.properties.

SOURCE: Multiple Listing Service of Central Oregon statisticsSOURCE: Multiple Listing Service of Central Oregon statistics

Short sales, foreclosures & REOsShort sales, foreclosures & REOs

Sales rising…prices fallingSales rising…prices falling From 2001 through 2008 annual single family From 2001 through 2008 annual single family

home sales in Bend made a “round trip” – home sales in Bend made a “round trip” – rising from 1,419 to a peak of 2,897 in 2005 rising from 1,419 to a peak of 2,897 in 2005 and dropping to 1,123 in 2008. 2001.and dropping to 1,123 in 2008. 2001.

Unit sales began an upturn in 2009, climbing Unit sales began an upturn in 2009, climbing to 1,544 – more than a 37% increase over to 1,544 – more than a 37% increase over 2008 as distressed properties and “friendly” 2008 as distressed properties and “friendly” pricing attracted buyers.pricing attracted buyers.

Units sold 2000-2009Units sold 2000-2009Bend Single Family HomesBend Single Family Homes

UNITS SOLD 2000-2009Bend Single Family Homes

0

500

1000

1500

2000

2500

3000

3500

Units Sold

Units Sold 1260 1472 1526 1812 2319 2897 2091 1523 1123 1544

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Sales Volume 2000-2009Sales Volume 2000-2009Bend Single Family HomesBend Single Family Homes

SALES VOLUME 2000-2009Bend Single Family Homes

0

200,000,000

400,000,000

600,000,000

800,000,000

1,000,000,000

1,200,000,000

Sales volume

Sales volume 247,367,387 306,758,294 343,281,476 426,631,087 628,677,618 967,128,154 849,245,618 645,956,423 396,798,572 411,841,640

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Median Sales Price 2000-2009Median Sales Price 2000-2009Bend Single Family HomesBend Single Family Homes

MEDIAN PRICES 2000-2009Bend Single Family Homes

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

Median $

Median $ 162,950 169,125 182,900 195,250 226,900 279,000 352,500 345,000 289,000 212,637

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

An unwelcome “top 10”An unwelcome “top 10”

America's top 10 underwater housing marketsAmerica's top 10 underwater housing markets6. Bend, Ore.6. Bend, Ore. From 2002 to early 2007, home prices in Bend, Ore., jumped by 99%, as From 2002 to early 2007, home prices in Bend, Ore., jumped by 99%, as

second-home buyers and retirees were drawn to this community. But after second-home buyers and retirees were drawn to this community. But after the housing bubble popped and economy eroded, home prices have the housing bubble popped and economy eroded, home prices have slumped some 32% through the third quarter of 2009. "We are seeing slumped some 32% through the third quarter of 2009. "We are seeing homes that people bought for $2.5 million now selling for under $1 homes that people bought for $2.5 million now selling for under $1 million," says Kathy Ragsdale, the CEO of the Central Oregon Association million," says Kathy Ragsdale, the CEO of the Central Oregon Association of Realtors. Ragsdale says the initial phase of the downturn was triggered of Realtors. Ragsdale says the initial phase of the downturn was triggered by evaporating demand from second-home buyers. But more recently, as by evaporating demand from second-home buyers. But more recently, as unemployment has surged, many residents have found themselves unable unemployment has surged, many residents have found themselves unable to make their mortgage payments. Today, more than half of the residential to make their mortgage payments. Today, more than half of the residential property transactions in Bend are distressed sales, Ragsdale says. "It's property transactions in Bend are distressed sales, Ragsdale says. "It's huge when somebody stands up in a meeting and says, 'I have a home for huge when somebody stands up in a meeting and says, 'I have a home for sale, and by the way, it's not a short sale,' " she says. As of the fourth sale, and by the way, it's not a short sale,' " she says. As of the fourth quarter of last year, roughly 41% of single-family home mortgages were quarter of last year, roughly 41% of single-family home mortgages were underwater, according to Zillow. underwater, according to Zillow. 

Excerpted from USNews online – March 2010Excerpted from USNews online – March 2010

CNN.Money forecasts 3.3% Bend CNN.Money forecasts 3.3% Bend uptickuptick

Home price forecast (1 year):*Home price forecast (1 year):* 3.3% 3.3%Poised where the Cascades meet the Great Basin desert, Poised where the Cascades meet the Great Basin desert, Bend is a sportsman's paradise, drawing tourists from all Bend is a sportsman's paradise, drawing tourists from all over the Northwest. Other economic engines include health over the Northwest. Other economic engines include health care, tech services and wood products manufacturing. But care, tech services and wood products manufacturing. But unemployment is high, with 14.9% out of work as of unemployment is high, with 14.9% out of work as of December.December.

During the bubble, Bend was one of the strongest residential During the bubble, Bend was one of the strongest residential markets in the nation. Prices rose 130% from 2000 to early markets in the nation. Prices rose 130% from 2000 to early 2007 before dropping 34% since. A modest gain is projected 2007 before dropping 34% since. A modest gain is projected for 2010, banking on the area's attractions to lure in enough for 2010, banking on the area's attractions to lure in enough new buyers, especially retirees, for prices to stabilize.new buyers, especially retirees, for prices to stabilize.

--Excerpted from CNN. Money magazine – March 2010--Excerpted from CNN. Money magazine – March 2010

Investor opportunityInvestor opportunity

Bend remains at or near the top of the Northwest’s Bend remains at or near the top of the Northwest’s most attractive “dry side” recreation and retirement most attractive “dry side” recreation and retirement areas.areas.

Inventory availability and deeply discounted pricing Inventory availability and deeply discounted pricing from recent peaks provide significant opportunity from recent peaks provide significant opportunity for long-term investors, or those seeking immediate for long-term investors, or those seeking immediate purchases for personal use such as a vacation home.purchases for personal use such as a vacation home.

NOTE: Market status of properties changes frequently and properties are represented by a variety of brokers. Information presented is assembled from MLSCO and other sources and is deemed reliable but not guaranteed.

1. Selected Investor activity1. Selected Investor activity

In Fall of 2009 an investor purchased an 81-lot “shovel-In Fall of 2009 an investor purchased an 81-lot “shovel-ready” Sisters subdivision for $2.4 million from the bank ready” Sisters subdivision for $2.4 million from the bank that had taken it back from a troubled builder. The builder that had taken it back from a troubled builder. The builder paid more than $5.7 million for the bare ground in 2006 paid more than $5.7 million for the bare ground in 2006 with the bank raising the debt another $1.2 million for with the bank raising the debt another $1.2 million for infrastructure and other costs. The bank initially listed the infrastructure and other costs. The bank initially listed the property for $6 million before accepting the investor’s property for $6 million before accepting the investor’s offer.offer.

2. Selected Investor activity2. Selected Investor activity

In October 2009, 10 foreclosed lots at Pronghorn sold for In October 2009, 10 foreclosed lots at Pronghorn sold for $100,000 to $125,000 each. The properties were originally $100,000 to $125,000 each. The properties were originally listed at $3.25 million as part of a non-performing loan listed at $3.25 million as part of a non-performing loan portfolio of a small Wyoming bank taken over by the FDIC. portfolio of a small Wyoming bank taken over by the FDIC. Lots at Pronghorn have previously sold in 2003 for more than Lots at Pronghorn have previously sold in 2003 for more than $500,000.$500,000.

3. Selected Investor activity3. Selected Investor activity

At the private Crosswater golf community south of Sunriver a At the private Crosswater golf community south of Sunriver a bank owned, nearly completed 4 bedroom, 3,500 sf home on a bank owned, nearly completed 4 bedroom, 3,500 sf home on a fairway sold for $550,000 in February 2010. The lot sold for fairway sold for $550,000 in February 2010. The lot sold for $460,000 in 2006.$460,000 in 2006.

4. Selected Investor activity4. Selected Investor activity

Potential 20-26 condominiums or apartments in Bend’s Potential 20-26 condominiums or apartments in Bend’s Northwest Crossing, a master planned community of Northwest Crossing, a master planned community of Brooks Resources.Brooks Resources.

Sale price: $560,000Sale price: $560,000 Date of sale: 11/24/09Date of sale: 11/24/09 1.32 acres1.32 acres Property type: multi-familyProperty type: multi-family

5. Selected Investor activity5. Selected Investor activity

23 lots mixed-use lots in Northwest Crossing adjacent to the 23 lots mixed-use lots in Northwest Crossing adjacent to the retail town center and park.retail town center and park.

Status: pending saleStatus: pending sale List price: $790,000List price: $790,000 Property size: 1.489 acresProperty size: 1.489 acres Property type: Resident mixed use/live-workProperty type: Resident mixed use/live-work

Selected investment opportunitiesSelected investment opportunities Lot 1, Mt. Bachelor Village, mixed useLot 1, Mt. Bachelor Village, mixed use North Mountain View Estates: 39 finished lots BendNorth Mountain View Estates: 39 finished lots Bend FivePine, Sisters, Commercial/mixed use landFivePine, Sisters, Commercial/mixed use land Monta Vista: 15 ready to build Bend view lotsMonta Vista: 15 ready to build Bend view lots Awbrey Butte: bank owned building lots & Awbrey Butte: bank owned building lots &

completed townhomescompleted townhomes Vail Meadows, 58 townhome lotsVail Meadows, 58 townhome lots Vacation homes in most Bend area resorts including Vacation homes in most Bend area resorts including

Sunriver, Black Butte Ranch, Eagle Crest, Pronghorn, Sunriver, Black Butte Ranch, Eagle Crest, Pronghorn, Tetherow and Brasada Ranch.Tetherow and Brasada Ranch.

NOTE: Market status of properties changes frequently and properties are represented by a variety of brokers. Information presented is assembled from MLSCO and other sources and is deemed reliable but not guaranteed.

Lot 1, Mt. Bachelor Village, adjacent Lot 1, Mt. Bachelor Village, adjacent to Athletic Club of Bendto Athletic Club of Bend

Mixed use multi-family, retail and office land just off Century Mixed use multi-family, retail and office land just off Century Drive on the way to Mt. Bachelor. Drive on the way to Mt. Bachelor. (not bank owned)(not bank owned)

Status: Available as of 03/08/2010Status: Available as of 03/08/2010 Price: $1,725,000Price: $1,725,000 Size: 2.19 acresSize: 2.19 acres Property type: mixed useProperty type: mixed use

North Mountain View EstatesNorth Mountain View EstatesBend, ORBend, OR

Bank owned: 39 lot, ready to Bank owned: 39 lot, ready to build subdivision in Northeast build subdivision in Northeast BendBend

Status: Active as of 03/22/10Status: Active as of 03/22/10 Price: $1,287,000Price: $1,287,000 Lot Size: 7.78 AcresLot Size: 7.78 Acres Property Type: Residential Property Type: Residential

landland

FivePine Lodge-Conference centerFivePine Lodge-Conference center

Bank owned: Mixed use commercial/retail lot with 2Bank owned: Mixed use commercial/retail lot with 2ndnd story condo potential at the award-winning FivePine in story condo potential at the award-winning FivePine in Sisters. (Bank owned)Sisters. (Bank owned)

Status: active as of 03/22/10Status: active as of 03/22/10 Price: $295,000Price: $295,000 Lot size: 0.520 acresLot size: 0.520 acres Property type: mixed useProperty type: mixed use

Monta VistaMonta Vista

Bank owned: ready to build view lots in west side Bend Bank owned: ready to build view lots in west side Bend subdivisionsubdivision

Status: ActiveStatus: Active Price: $64,900 - $119,900Price: $64,900 - $119,900 Typical lot size: 0.18 – 0.20 acreTypical lot size: 0.18 – 0.20 acre Property type: Residential landProperty type: Residential land

Awbrey ButteAwbrey Butte

Bank owned: Awbrey Butte, 16 view lots and 8 partially Bank owned: Awbrey Butte, 16 view lots and 8 partially completed townhomescompleted townhomes

Status: ActiveStatus: Active Price: $2,000,000 with posssible seller financingPrice: $2,000,000 with posssible seller financing Property type: Multi-family residentialProperty type: Multi-family residential

Vail MeadowsVail Meadows

Bank owned: 58 ready to build townhome lotsBank owned: 58 ready to build townhome lots Status: ActiveStatus: Active Price: $1,682,000Price: $1,682,000 Size: 4.72 acresSize: 4.72 acres Property type: RM (residential multi-family)Property type: RM (residential multi-family)

Vacation property valuesVacation property values

Much of Central Oregon’s real estate bubble was Much of Central Oregon’s real estate bubble was driven by the second home/vacation home buyer. driven by the second home/vacation home buyer. Sagging demand in this segment has created Sagging demand in this segment has created substantial opportunities.substantial opportunities.

Distressed properties -- short sales and bank owned – Distressed properties -- short sales and bank owned – are available in many Bend area resorts and other are available in many Bend area resorts and other attractive locations including new mixed-use attractive locations including new mixed-use downtown projects. Prices have generally returned to downtown projects. Prices have generally returned to early 2000s levelsearly 2000s levels

Vacation/2Vacation/2ndnd home properties home properties

Bank owned home on Awbrey Butte, purchased December Bank owned home on Awbrey Butte, purchased December 2007 for $365,000, 2007 for $365,000, pending salepending sale March 2010 at $199,000 list March 2010 at $199,000 list price.price.

Vacation/2Vacation/2ndnd home properties home properties

The Courtyards at Broken Top townhome with large deck The Courtyards at Broken Top townhome with large deck viewing the 18th fairway, near the clubhouse. Bank owned, viewing the 18th fairway, near the clubhouse. Bank owned, purchasedpurchased $346,000 in July 2005, $346,000 in July 2005, listedlisted at $209,000 as of at $209,000 as of February 2010February 2010..

Vacation/2Vacation/2ndnd home properties home properties

Bank owned: 2 bdrm cottage in a clustered west side Bank owned: 2 bdrm cottage in a clustered west side Bend neighborhood built in 2002. Bend neighborhood built in 2002. ListedListed at $169,900 as at $169,900 as of March 2010; owner who defaulted paid $309,000 in of March 2010; owner who defaulted paid $309,000 in May 2006.May 2006.

Townhome, Bluffs at the Old Mill District, built in 2005 Townhome, Bluffs at the Old Mill District, built in 2005 and purchased for $400,000 in 2007;and purchased for $400,000 in 2007; soldsold as a distressed as a distressed property in 2009 for $250,000.property in 2009 for $250,000.

Vacation/2Vacation/2ndnd home properties home properties

Vacation/2Vacation/2ndnd home properties home properties

North Rim of Awbrey Butte, bank owned, over 1 ac view North Rim of Awbrey Butte, bank owned, over 1 ac view lot in master-planned neighborhood with clubhouse; lot in master-planned neighborhood with clubhouse; purchased for $455,000 in September 2005; sold in purchased for $455,000 in September 2005; sold in foreclosure for $128,000 March 2010.foreclosure for $128,000 March 2010.

Vacation/2Vacation/2ndnd home properties home properties

Sunriver short sale, 3 bdrm, 2.5 bath on resort rental Sunriver short sale, 3 bdrm, 2.5 bath on resort rental program; active listing 03/26/10 at $299,000. Purchased program; active listing 03/26/10 at $299,000. Purchased July 2007 for $362,000.July 2007 for $362,000.

Vacation/2Vacation/2ndnd home properties home properties

Eagle Crest, Federal Home Loan Mortgage- owned 3 bdrm 2.5 Eagle Crest, Federal Home Loan Mortgage- owned 3 bdrm 2.5 baths, on 2baths, on 2ndnd green of golf course. Active March 2010, sold for green of golf course. Active March 2010, sold for $350,000 in may 2005.$350,000 in may 2005.

Vacation/2Vacation/2ndnd home properties home properties

Brasada Ranch resort, FHLMC-owned 2 bdrm, 2 bath cabin Brasada Ranch resort, FHLMC-owned 2 bdrm, 2 bath cabin built 2007. Listed $239,000 as of March 2010; last listed in built 2007. Listed $239,000 as of March 2010; last listed in range of $400,000 down to $265,000 before foreclosed.range of $400,000 down to $265,000 before foreclosed.

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FootnoteFootnote

Presented by R. Lee Hicks 541-549-0256Broker 206-953-041(vm)Licensed in Oregon and Washington

www.rleehicks.comleemvnews@aol.com

The information herein is deemed reliable but not guaranteed. Interested parties are advised to seek advice from government agencies and independent counsel regarding land use, zoning, water rights, utilities and other issues related to the acquisition of real estate.

Washington & Oregon PropertiesResidential-Commercial-Investment Real Estate

Box 3500 PMB 115 (mail) 2035 43rd Avenue East 801 Highway 20 Suite 204 Building 3, Suite 16 Seattle, Washington 98112Sisters, Oregon 97759

This presentation of Bend and the regional real estate market in early 2010 is intended as an overview of the area’s natural appeal, whether as a full-time working or retired resident or as the owner of vacation or investment property.

Since 2003 I have divided my time between the Bend area and Seattle, working as a real estate broker in both areas while taking time to pursue my interests in fly fishing, rafting, cross-country skiing and mountain biking.