Cushman & Wakefield has completed the sale of 258 Prospect Plains Rd. in Cranbury, an 886,826 s/f industrial facility fully occupied by Pearson Education and known as Pearson at 8A. The class A facility traded for $98 million.
The firm’s Metropolitan Area Capital Markets Group (CMG) team of Andrew Merin, Gary Gabriel, David Bernhaut and Grace Braverman represented the seller, Exeter Property Group. The buyer was an institutional investor advised by Seattle-based Bentall Kennedy (U.S.) LP.
“This was a well-executed transaction for the seller, who just 24 months earlier had purchased the facility for approximately $80 million and was able to unleash additional value by extending the Pearson lease for a 10-year term and pre-paying the existing above-market indebtedness,” said Gabriel. “It was a great purchase for Bentall Kennedy’s client, which has acquired one of the finest industrial buildings in Central New Jersey.”
The facility was originally constructed in 2001 as the northeast distribution center for Pearson, an education services company that provides education solutions, publications, and school support products and services, and the site remains a critical part of the company’s supply chain. Situated on 58 acres near Exit 8A of the New Jersey Turnpike, it is at the geographic center of the Boston-Washington, D.C. corridor. The site is also a designated foreign-trade zone (FTZ) and is just 34 miles from the Port of Newark/Elizabeth and Newark Liberty International Airport.
“From an environmental impact perspective, this is an industry-leading facility,” said Gabriel. “Among other things, it generates solar panel revenue from a recently installed $8 million solar array on the roof.”
Pearson at 8A, which provides 468 parking spaces, offers 38-foot, six-inch ceiling heights and 55 dock doors. The facility includes a 51,000-square-foot office component, and has both a fitness center and a cafeteria.