CenterPoint Properties has closed on a low-coverage industrial facility in a highly coveted pocket of the premier Exit 8A submarket: 6 Wheeling Road in Dayton, New Jersey. The 198,000 Class A building covers just 28 percent of the nearly 14-acre property.
“This investment continues our momentum over the last 12 months in 8A of acquiring institutional-quality, low-coverage assets right off the Turnpike,” said Bryan Won, CenterPoint’s investment officer. “6 Wheeling is a well-located Class A asset with superior parking that will stand the test of time in a white-hot 8A submarket,” Won continued.
The warehouse features a 31-foot clear-height and has a separate 2-acre parking lot, adding to its long-term value to CenterPoint. The facility is only four turns from the New Jersey Turnpike for efficient trips to Port Newark-Elizabeth and New York City.
“We’re thrilled to add this property to our infill Northern New Jersey portfolio,” said David Nenner, senior vice president of asset management. “Land suitable for industrial development at Exit 8A is nearly exhausted, making premium assets like the Wheeling Road property even more desirable to companies that need to be near the Port and the densely populated Central and Northern New Jersey consumer bases,” Nenner finished.
Unrelenting demand for space and storage in Northern New Jersey has tamped vacancy rates in the Exit 8A submarket down to one percent.
According to industry analysts, rents for Class A product in the Northern New Jersey market are approaching 30 percent year-over-year gains. Bunny Escava and Isaac Setton at Kassin Sabbagh Realty brokered the transaction.
This is CenterPoint’s third acquisition in the Exit 8A submarket this year. In June, the company landed the low-coverage Class A facility at 63-65 Stults Road, and in the same month, it bought yet another sizeable property at 10 Corn Road.