I’ve never been to Portland, but as I understand it so much of the land around it can’t be developed so in the finite space they have costs will inevitably rise (the very market forces you mention). Kinda like the island of Manhattan, I guess.
It's no Manhattan. I've been to Portland, and to Manhattan. Manhattan is a lot of fun, all parts of it. Portland has a small yuppie downtown, very small. Surrounded by yucky neighborhoods where you feel you need protection if you get out of your car. Not where I would want to live.