●newmark grubb knight frank
Double whammy in
Newmark Grubb Knight Frank (NGKF) has arranged the simultaneous sale and purchase of two high-end, flex industrial buildings in Hauppauge, Long Island as part of a 1031 tax-free exchange.
Telecom company Reliance Communications LLC purchased the 69,863 s/f 555 Wireless Blvd. for $8 million, which NGKF executive managing director Jack O’Connor marketed on behalf of its owner, private investor John Shalam.
Reliance fully occupied the building and decided to acquire the property rather than move, as it had planned.
In order to take advantage of a 1031 tax-free exchange, Reliance put up for sale the 118,042 s/f 350 Wireless Blvd., which it owned but had not yet occupied.
Pharmaceutical manufacturer A&Z Pharmaceutical Inc. then purchased the building for $12.6 million to expand its operations, which are already based in Hauppauge.
“Both properties are trophy high-end flex buildings within Hauppauge Industrial Park,” said NGKF managing director Daniel Gazzola, who represented A&Z with NGKF executive vice president and managing director Chuck Tabone.
A&Z secured nearly $1.7 million in tax concessions from the Suffolk County Industrial Development Agency after agreeing to expand by 30 employees over the next two years.
Both 555 Wireless Blvd. and 350 Wireless Blvd. are located in Hauppauge Industrial Park, where many pharmaceutical companies have been moving into and expanding.
NGKF was the exclusive broker for both transactions. NGKF’s O’Connor, managing director Scott Berfas, associate director Susan Fallon and associate Robert Polito also represented Reliance in its disposition of 350 Wireless Boulevard.
Village site has plenty
Douglas Elliman and Massey Knakal are co-listing a development site in the West Village.
8 Charles Lane lies on a cobblestone block between Charles and Perry Streets, and Washington and West Streets.
Sabrina Saltiel of Douglas Elliman and James Nelson of Massey Knakal are exclusively marketing the property, and ownership is currently requesting offers.
At over 27,000 buildable square-feet, 8 Charles Lane presents an opportunity to construct an 88 ft. wide single family mansion with a potential roof deck. The site could also hold three 9,000 s/f townhomes or a boutique condominium.
“8 Charles Lane is one of only a handful of large scale residential development opportunities left in the desirable neighborhood of the West Village,” said Nelson. “We are very excited to introduce it to the market and see what will ultimately be created there.”
● cushman & wakefield
Biggest industrial sale of year in Jersey
Cushman & Wakefield arranged the sale and acquisition financing for 300 Fairfield Rd., a 418,000 s/f industrial building in Fairfield.
The sale price of $51.6 million makes it the largest single industrial asset sale in Northern New Jersey in 2014.
The firm’s Metropolitan Area Capital Markets Group (CMG) team of Andrew Merin, David Bernhaut, Gary Gabriel and Brian Whitmer in East Rutherford, along with Frank Caccavo, Jason Goldman, Marc Petrella and Andrew Siemsen in Edison represented seller Fairfield BAB Group, LLC, a locally-based group.
The buyer was Stoltz Real Estate Partners, a Bala Cynwyd, Pa.-based real estate investment manager. John Alascio, Mark Ehlinger and Suraj Ravi of Cushman & Wakefield’s Equity, Debt and Structured Finance Group (EDSF) arranged the acquisition financing, which was provided by Investors Bank.
Constructed in 2006, the single-story building is fully net leased to Middle Atlantic Products (MAP) through 2026.
“Investment appetite for long-term leased industrial assets is at an all-time high, and industrial properties that become available for sale continue to attract considerable interest from investors,” said Bernhaut.
Pantzer pays $120M for Crest community
HFF closed the $120 million sale of The Crest at Fort Lee, a 351-unit multi-housing community in Fort Lee, NJ.
HFF marketed the property on behalf of the seller, Capri Capital Partners, LLC.
Pantzer Properties purchased the asset for $120 million, or approximately $341,880 per unit, free and clear of any existing debt.
The Crest sits on13.09 acres at 900 Crest Lane in eastern Bergen County, minutes from the New Jersey Turnpike/George Washington Bridge as well as nearby shopping and dining.
The gated property, built in 1999, is 96 percent leased and has a mixture of one-, two- and three-bedrooms.
The HFF investment sales team representing the seller was led by senior managing director Jose Cruz, managing director Kevin O’Hearn, associate director Steve Simonelli and was supported by senior managing director Andrew Scandalios.
Hyland Levin LLP served as legal counsel for the buyer and Krawnow Saunders, Kaplan & Beninati LLP represented the seller.
“The buyer has an opportunity to add value to the property in a market that is seeing new development and higher rents,” stated Cruz.
● Savills studley
Brokers bring Euro investor
A private European investor has acquired The Bergen, a boutique Boerum Hill multifamily building, from the Naftali Group for $52.2 million.
The transaction was brokered by Woody Heller, Will Silverman, and Eric Negrin of Savills Studley.
Completed in 2014, the 8-story, 54,697 s/f property located at 316 Bergen Street has 84 units and luxury amenities.
The deal comes several months after the Savills Studley merger and is one for the first successfully completed through Savills’ international network.
Executive managing director and Head of U.S. Capital Markets for Savills Studley, Borja Sierra was instrumental in identifying the purchaser.
Sierra said, “This is an ideal investment for offshore purchasers; it offers safe returns and compelling growth prospects in a market that is well positioned for the future.”
“We were one of the first developers to see the potential of this neighborhood, and we were able to fill a void in the market no one else was addressing,” said Miki Naftali, chairman and CEO of The Naftali Group.
“The Bergen successfully raised the stakes for rental properties in the neighborhood, bringing greater expectations for high-end design and first class amenities and services to the area.”
● thor equities
Townhouse a ‘blank canvas’
Thor Equities announced it has acquired a townhouse at 36 East 61st Street.
Joseph Sitt, CEO of Thor Equities, called the architecturally significant property a “proverbial blank canvas” for prospective tenants to create a space that fits their needs, whether it’s used as a showroom, an office, or even a retail shop.
“The Upper East Side remains the pinnacle of New York City luxury,” said Sitt. “This beautiful, ideally located townhouse is perfect for anyone wishing to catch the eye of Manhattan’s elite.”
The seven-story building totals 15,900 s/f of space situated in the heart of the luxury retail and premier residential corridor.
Thor declined to provide the contract price but the Commercial Observer previously reported comparables in the area are between $25 million and $35 million.
● marcus & millichap
Retail center sold
Marcus & Millichap announced the sale of Whiting Town Center, a 113,000 s/f grocery-anchored town center in Whiting, N.J.
The $11.5 million sales price equates to $101 psf. Whiting Town Center includes pad sites, in-line retail space and medical office tenants. The center is anchored by Sav-a-Lot, Wells Fargo and Dollar General.
Michael Lombardi, vice president investments, represented the seller, a New York City-based owner. The acquisition completes a 1031 exchange for the buyer, a Staten Island-based owner.
“More than 30 percent of the center is leased to credit-rated tenants and many of the other tenants have been established in this location for more than 10 years, including some medical office tenants with well-established practices,” said Lombardi.
● cushman & wakefield
Pepsi facility sold
Following an industrial offering termed “aggressively contested,” Cushman & Wakefield has completed the sale of Russo Development’s 135,115 s/f 680 Belleville Turnpike in Kearny.
The property is 100 percent net leased to Pepsi, which utilizes the site as its Northern New Jersey distribution center.
Cushman & Wakefield’s Metropolitan Area Capital Markets Group (CMG) team of Andrew Merin, David Bernhaut, Gary Gabriel, Brian Whitmer and Kyle Schmidt collaborated with Russo Development’s senior vice president – Acquisitions, Omer Mir Ahmed, to represent the seller.
The CMG team also procured the buyer, TIAA-CREF, represented by Henry Dong, senior director.
“This is a best-in-class asset in a great location in the Meadowlands submarket,” said Bernhaut. “We had nearly 30 tours of the property since it became available earlier this year. It offers the core characteristics of an optimal location, credit tenancy and superior functionality.”
Located on 11 acres just off Exit 15W of the New Jersey Turnpike near other major highways, the property is minutes from the Port of Newark/Elizabeth and Newark Liberty Airport. The site includes a 117-space trailer storage lot that generates extra revenue.
Russo Development constructed 680 Belleville Turnpike on a build-to-suit basis for Pepsi in 2007.
Met Food market sold
RKF has arranged the $18.5 million sale of a 20,000 s/f retail property located at 197-205 Smith Street in Cobble Hill, Brooklyn.
RKF managing director Brian Segall and associate Ernie Getz represented both the seller, John Dee Corp., and the buyer, a partnership of Jackson Group, Aurora Capital and ACHS Management, in the transaction.
Located at the northeast corner of Baltic Street, the property consists of 10,000 s/f on the ground floor and 10,000 s/f in the basement.
The building was previously occupied by a Met Foods Supermarket. Included in the sale of are additional air rights of 10,000 buildable square feet that allow for future expansion.
● DLC MANAGEMENT
DLC power move
DLC Management Corporation has acquired 11 retail assets in New York, North Carolina, Arkansas and Tennessee totaling 2.58 million square feet of which 1.73 million square feet is owned property.
The acquisition is the largest in the history of DLC.
The 11 acquired properties’ locations match with DLC’s operations and represent large, high-quality assets with strong anchor tenants and an opportunity to create value throughout the portfolio, creating quality, stabilized properties.
“I’m thrilled to announce that Team DLC closed the largest acquisition in its history,ˮ said Adam Ifshin, CEO of DLC Management Corp.
“With significant value added potential in select key assets in the portfolio, we look forward to bringing additional best in class value-oriented tenants to this exciting portfolio.”
● woodmont industrial partners
WIP sells logistics facility
Woodmont Industrial Partners (WIP) has sold I-78 Logistics Center, a premier distribution center located at 111 Cokesbury Road in Clinton, NJ, for a price of $28,066,500.
The sale of the 729,000 s/f facility, which WIP acquired in February 2012, comes on the heels of a $4 million capital improvement program that included the addition of 36 new loading dock positions, T-5 lighting and new HVAC and sprinkler systems.
“The buyer was drawn to I-78 Logistics Center in large part due to the recent upgrades to the space, coupled with the property’s strategic location along Interstate 78,” said Eric Witmondt, principal of Woodmont Industrial Partners.
“As we continue to expand our reach, this disposition is a prime example of our strategy of capitalizing on new opportunities in New Jersey, Central Pennsylvania and the Lehigh Valley regions.”
WIP sells logistics facility
HFF closed the $23.8 million sale of Parkwood Place Apartments, a 294-unit mid-rise apartment community in Forest Hil, Newark, New Jersey.
HFF marketed the property on behalf of the seller, a joint venture between Alex Brown Realty and Treetop Development. The buyer purchased the asset for $23.8 million or approximately $80,952 per unit.
Parkwood Place Apartments is comprised of seven six-story buildings containing 71 studio, 147 one-bedroom and 76 two-bedroom units. The HFF investment sales team representing the seller was led by s Jose Cruz and Andrew Scandalios, Kevin O’Hearn and associate director Michael Oliver.
“With this transaction, the buyer has made an excellent investment in an asset with considerable upside in a growing market,” said Cruz.