Coveted apartment complex fetches $40M
An apartment community in tony West Orange, NJ, has been sold for $40.5 million.
Gebroe-Hammer Associates brokered the sale of the 178-unit Crest Ridge Apartments complex. The team of Greg Pine and Adam Zweibel exclusively represented the original developer, Rockledge Realty, LLC, and procured the buyer, Sela Realty Investments, in the transaction.
Located at 200 Mt. Pleasant Ave. at the base of an 80 ft. cliff, the 16-building, historically well-occupied complex posed an extremely rare acquisition opportunity within the Northern New Jersey metro.
“Situated in the Town Center section of West Orange, Crest Ridge Apartments is at the heart of one of the most expensive, in-demand local neighborhoods as well as the transit-filled greater West Essex County submarket,” said Pine.
“In a township where apartment rentals make up only about one-third of the housing stock, Crest Ridge Apartments is a gem favored by the area’s professional, well-educated tenant base within one of the nation’s most expensive housing markets.”
Built in 1964 and continually updated with modern amenities by the decades-long seller, Crest Ridge Apartments offers a dramatic residential setting with Manhattan skyline views.
Each one-, two- and three-bedroom apartment home has a private entrance, hardwood floors and one of six different layouts. In addition to on-site laundry facilities and parking, as well as 89 garages, community amenities range from a free-form swimming pool, clubhouse and sundeck to promenades, lawns and flower beds.
New Jersey Transit bus service offers a 35-minute commute to New York City.
Kamber adds $50M garage portfolio to assets
Kamber Management Company is in contract to acquire the Riverside Garage portfolio of parking facilities on the Upper West Side for $50 million.
The portfolio consists of three parking garage condominium locations at 80, 100-120 and 220-240 Riverside Boulevard.
Kamber purchased the portfolio through Meridian Capital Group. David Schechtman was the exclusive broker for the sellers, and Kamber Management Company was represented by Steven Levy.
Located at the base of five luxury residential towers, the parking garages serve a built-in demand from the buildings, which contain over 1,100 condos. The portfolio is fully leased to Icon Parking Systems.
“We are excited to add the garage portfolio to our Manhattan assets. The portfolio enables asset diversification for our company, which primarily has invested in Manhattan commercial office properties, ” said Steven Levy, principal at Kamber Management Company.
Riverside Garage is located just two blocks west of Lincoln Center. The 16.3 acre complex contains more than 5,000 high-end condominiums and rental apartments and is home to dozens of internationally renowned performing arts organizations.
With thousands of shows taking place every year at Lincoln Center, the neighborhood is one of the top destinations in New York City and generates constant demand for parking.
Ariel Property Advisors
Chinese close on Midtown East office building
Chinese office developer Soho China has closed on the $30 million purchase of a Midtown East office building.
11 East 51st Street, a historically landmarked six-story, turn-of-the-century property was sold by Mercantil Bank, the U.S.-arm of Venezuela’s biggest bank.
Ariel Property Group’s Victor Sozio, Shimon Shkury, Howard Raber and Jesse Greshin represented the seller. Carrie Chiang of The Corcoran Group represented the buyer.
The elevatored building, built in 1904-06 and spanning 13,349 s/f with an additional 19,783 s/f of air rights, is within the newly re-zoned Midtown East.
The re-zoning allows the new owner to sell nearly 20,00 s/f of unused air rights within the boundaries of East 39th Street to the south, East 57th Street to the north, Second and Third Avenue to the east, and Fifth Avenue to the west.
The Italian Renaissance-style residence, which is in turn-key condition, has an ornate exterior, including a projecting balcony on the second floor. The interior is also flush with historical details.
With C5-2.5 zoning is can be re-positioned for a range of uses, including office or corporate headquarters, a retail establishment, boutique hotel, or a high-end dining and entertainment establishment.
$31M Dunne deal
CBRE announced that Jeffrey Dunne, Gene Pride and Eric Apfel represented the seller, Beachwold Residential in the sale of Willow Grove, a 135-unit Class-A apartment community in Danbury, Connecticut to an affiliate of Friedkin Realty for $31.25 million.
Built in 1999, the property offers an amenity package with clubroom, fitness center and pool, private entrances opening to landscaped courtyards.
Dunne commented: “Beachwold Residential … has done an exceptional job renovating 75 percent of the apartments over the past three years with new kitchens, light fixtures, flooring and baths which have been very well received by the residents in the market.
“We expect Friedkin will do well with the asset as they can complete the renovation program and build on the strong operations currently in place.”
Gramercy sells New Jersey bank building
Holliday Fenoglio Fowler announced the sale of a two-building, mixed-use portfolio comprising a fully-leased retail building and an adjacent office building with redevelopment potential located in Summit, New Jersey.
The HFF team executed an off-market transaction between the seller, Gramercy Property Trust, and the buyer, Saxum Real Estate.
Built in 1926, the historic bank building at 367 Springfield Avenue is fully leased to Bank of America.
The adjacent two-story office building at 40 Beechwood Road is connected via a skybridge and features 31 private, on-site parking spots.
Saxum Real Estate is marketing 40 Beechwood Road for lease and will be completing a capital improvement program, repositioning the building into a Class A suburban asset.
The HFF investment sales team representing the seller comprised director Marc Duval and senior managing director Jose Cruz.
“There is still opportunity to capitalize on suburban markets that are poised to experience densification as millennials move out of Manhattan and the Hoboken/Jersey City Waterfront over the next five to seven years,” Duval said.
Marcus & Millichap
Brooklyn multifamily trade
Marcus & Millichap (announced the sale of The Jefferson-MacDonough Collection, a 53-unit multi-family portfolio in Brooklyn, for $15 million.
Shaun Riney and Daniel Greenblatt of Marcus & Millichap’s Brooklyn office along with Peter Von Der Ahe and Joseph Koicim in the Manhattan office represented the seller, a private investor. The buyer, a developer, was also secured by the team.
“The sale of the Jefferson-Macdonough collection continues to show the demand for multifamily in the Stuyvesant Heights district within Bedford-Stuyvesant,” said Riney.
“Although there are challenges in the politics of rent stabilization, effectively communicating the upside will still result in top of market pricing and our team executing at 19 times the fully occupied gross income is testament to that resiliency and strong demand for long-term holds.
“The seller was ready to exchange into less management-intensive retail properties which offer a greater return.” adds Riney.
The Jefferson-MacDonough Collection is comprised of five multifamily apartment buildings located at 39 and 44 MacDonough Street between Marcy Avenue and Tompkins Avenue.
The Bedford-Stuyvesant portfolio consists of 53 rent stabilized units under long term ownership within a three-block radius of each other.
Time Equities inc.
TEI splurges on midwestern retail
Time Equities Inc. announced the acquisition of Clinton Valley Shopping Center, an open-air retail destination in Sterling Heights, MI for $23.5 million.
As the firm’s second retail acquisition in Michigan in the past 12 months, Clinton Valley marks TEI’s most expensive retail purchase in the state to date.
Spanning 205,435 s/f in total, the single-story shopping center is currently 91 percent occupied, with a tenant roster that includes Hobby Lobby, Office Depot, DSW, OptimeEyes, Avenue, GameStop, and BD’s Mongolian Barbeque.
“Clinton Valley is a great addition to TEI’s current open-air portfolio, and is a natural fit within our ever-expanding subgroup of Midwest assets,” said Ami Ziff, director of national retail for Time Equities.
“The shopping center is a Sterling Heights staple and tenants’ sales volume reflects how coveted the location is. With the $60 million Hall Road reconstruction project nearing completion, we look forward to reaping the benefits this major infrastructure investment will have on the access and traffic flow into Clinton Valley.”
Clinton Valley Shopping Center is situated in Macomb County, the third-largest county in the state of Michigan,.
With 15 retail properties currently included in Time Equities’ Midwestern portfolio, Clinton Valley marks the firm’s fourth asset in the state of Michigan. Last October, TEI announced the purchase of Fairlane Meadows, a 157,225 s/f shopping center in Dearborn, MI for $20.65 million.
Ami Ziff, Jonathan Kim and Adam Levitt represented Time Equities in the acquisition. The seller, Ramco-Gershenson Properties Trust (RPT), was represented by Ben Wineman of Mid-America Real Estate Group.
Korman / Brookfield
Brookfield JV goes Hollywood
A joint venture between Korman Communities and a Brookfield-managed U.S. fund has acquired 8500 Sunset Boulevard in West Hollywood from LA-based, CIM Group.
Located along the iconic Sunset Strip on the corner of La Cienega and Sunset Boulevards, the property is a 225,864 s/f mixed-use development consisting of two eight-story towers with both residential and retail offerings.
To be operated by Korman, the West Tower will consist of 110 AKA serviced residences available by the month. The adjacent East Tower will consist of 80 luxury apartments, which will be available for annual leasing.
Both towers will each have their own amenities, including a lounge, fitness center, and business center. The West Tower will also feature a terrace and pool, while the East Tower will has a café, cinema, vinyl and virtual reality studio.
The property’s current retail tenant is well-known California-based style house Fred Segal, as well as a new restaurant from a celebrated local restauranteur. An open-air plaza connects the buildings to The Strip.
This is the second property for AKA in Los Angeles, where the brand operates AKA Beverly Hills, a luxury serviced residence with a celebrity clientele and in-suite dining provided by the adjacent Spago.
Korman and Brookfield were represented by Goodwin Procter LLP in the deal, and the seller was represented by Marc Renard of Cushman & Wakefield.