Dov Hertz’s DH Property Holdings has acquired a 45-acre development site at 1900 South Avenue on Staten Island’s western coast for a reported $65 million.
Cushman & Wakefield served as the exclusive advisor to DH Property Holdings to set up a joint venture to developed the property as a warehouse/distribution hub.
An Equity, Debt & Structured Finance team of John Alascio, Sri Vankayala, Chuck Kohaut, TJ Sullivan and Emily Johansen arranged acquisition financing, which was provided by CIM Group.
“The DH Property Holdings team did an outstanding job bringing this unique site under contract to purchase off market, recognizing its irreplaceable location in one of the most sought-after industrial markets in the country,” said Alascio.
“DH Property Holdings immediately recognized the site’s tremendous potential and structured a joint venture partnership to redevelop the parcel, which will have wide-ranging appeal in the modern industrial market once fully realized.”
1900 South Avenue (pictured top) is a 44-acre development site that can accommodate more than 420,000 s/f of Class A warehouse/distribution product.
The site is zoned as of right for industrial use and is partially encumbered by three tenants, which may remain in place during and after a contemplated development. The site offers multimodal transportation options via six rail spurs that connect to the national CSX system and 650 feet of bulkhead on the Arthur Kill.
“CIM quickly identified the site’s favorable location and unique competitive advantages in the New York Metropolitan market and was further enticed by the local sponsorship with expertise in this sort of complex project,” added Sullivan. “CIM was thoughtful and aggressive with loan terms, which enabled DH Property Holdings to acquire the site and begin the predevelopment process.”
Hertz added, “We are very excited to add 1900 South Avenue to our portfolio of trophy industrial development sites in the New York Metropolitan Area. This site offers a rare combination of accessibility, scalability and multimodal transportation utility that makes for an ideal modern industrial site.”
Since founding DH Property Holdings in 2016, Hertz has built a portfolio of properties worth over $1 billion. It is currently developing over two million square feet of new industrial space, including the first multi-story last mile distribution center on the east coast.
The property sellers were Robert and Neil Vanderbilt.