Here is a roundup of the latest leases, sales and other transactions in the Northeast middle markets.
This week by the numbers
After trending higher during the past six months and approaching 25 percent in early 2017, the Northern and Central New Jersey overall vacancy rate slipped to 24.6 percent at mid-year, according to Jones Lang LaSalle. A slight uptick in tenant requirements outpaced additional supply generated by consolidations and restructurings. Leasing velocity fueled nearly 510,000 square feet in positive net absorption in Northern and Central New Jersey during the second quarter, with nearly 85 percent of this activity focused in class A buildings. This demand put a dent in the 914,960 square feet of negative net absorption witnessed in the first quarter. Central New Jersey office buildings claimed more than 90 percent, or 428,530 square feet, of the class A space absorbed this quarter.
Deal Tracker Daily
NEW YORK, NY—RKF has arranged a 2,500-square-foot lease for Bonobos, the largest apparel brand ever built online in the United States, known for providing better-fitting men’s clothing paired with exceptional customer service. The location will open in July at 173 Court Street in Cobble Hill. RKF Senior Associate Justin Fantasia represented Bonobos in the transaction, while RKF Senior Director Ike Bibi represented the landlord, Industrie Capital Partners. The retail space consists of 1,700 square feet on the ground floor and 800 square feet in the lower level of a four-story brick townhouse situated on the east block between Bergen and Dean Streets in the vibrant Cobble Hill neighborhood of Brooklyn.
TEANECK, NJ—Alfred Sanzari Enterprises completed five lease renewals totaling approximately 20,000 square feet at the mixed-use Glenpointe complex in Teaneck, NJ. The transactions, all negotiated in-house by Jerry L. Barta, vice-president/director of leasing and marketing, include: Investment company Aviary Capital Enterprises, renewing its 5,100-square foot lease at Glenpointe Centre East (300 Frank W. Burr Blvd.); Nitto, a provider of technology-based products, renewing 4,900-square-feet at Glenpointe Centre East; People’s United Equipment Finance Corp. renewing its 4,700-square-foot lease at Glenpointe Centre East; Compass Maritime Services, a 2,600-square-foot commitment at Glenpointe Centre West (500 Frank W. Burr Blvd.); computer software company RSD America, a 2,500-square-foot lease at Glenpointe Centre East.
PARAMUS, NJ—The Goldstein Group placed Floor & Décor, a provider of high quality flooring and tile, in the 62,500 square-foot freestanding building formerly occupied by Sports Authority in Paramus, NJ. The new location is strategically located off Route 17 at the entrance to the Paramus Park Mall. This is Floor & Décor’s third New Jersey location.
EGG HARBOR TOWNSHIP, NJ—Colliers International in Southern New Jersey has been selected as exclusive leasing agent for the first building of the Stockton Aviation Research and Tech Park (SARTP), owned and operated by the Atlantic County Improvement Authority. The three-story, 66,000-square-foot building will contain high-speed connectivity to the FAA technical center laboratories, classrooms, conference rooms, and a rooftop lounge. An FAA laboratory and offices will occupy 7,000 square feet with rental space for additional laboratories and offices. Tenants will have 24/7 access protected by a state-of-the-art security system.
BRIDGEWATER, NJ—Commercial real estate services firm Cushman & Wakefield has been named leasing agent for 440 Route 22 East in Bridgewater. The 198,376-square-foot, Class A office building is under new ownership, with a substantial capital improvement program set to launch this fall. Cushman & Wakefield’s Shawn Straka and Bill Brown, based in Morristown, N.J., are heading the assignment on behalf of American Equity Partners, which purchased 440 Route 22 earlier this year. American Equity Partners will renovate the building’s lobby, full-service cafeteria and common areas; update its elevator cabs; and incorporate LED lighting throughout the building. The LED program will carry through to the parking lot, which also will be re-striped. The company also will install rooftop solar panels.
HACKETTSTOWN, NJ—NAI James E. Hanson has been named the exclusive leasing and sales agent for The Hackettstown Medical Building, a 40,850-square-foot medical office building located at 653 Willow Grove Street in Hackettstown, N.J. NAI Hanson’s Darren Lizzack, MSRE, and Randy Horning, MSRE are the exclusive brokers on this assignment.
LAWRENCEVILLE, NJ—Transwestern arranged for New Jersey Squash Club to lease space at a New Jersey industrial/flex property. The squash training facility will occupy 5,000 square feet at 11 Princess Road, one of four buildings that constitute Princeton South at Lawrenceville. Transwestern Managing Director Jeffrey Furey and Senior Associate Alex Motiuk facilitated the deal on behalf of both New Jersey Squash Club and the property’s owner, TMC Properties LLC.
HATFIELD, PA—Morgan Properties, one of the country’s largest real estate investment and management companies, announced today it has acquired Madison Montgomery, a 264-unit apartment and townhome community located at 2701 Elroy Road in Hatfield, PA. The community was rebranded by Morgan Properties to Montgomery Manor Apartments & Townhomes. The property underwent a $17.5 million transformation by the previous owner in 2008, giving the property a class-A appearance. Morgan plans to enhance the current amenity offerings as well as capitalize on the opportunity to add additional amenities.
WAYNE, PA—CBRE has arranged for the sales of four office buildings in Delaware and Bucks County, Pennsylvania. The four properties sold for a combined sale price of $6.875 million. Stephen Marzullo and Adam Silverman of CBRE’s Philadelphia Commercial Investment Properties Team exclusively negotiated on behalf of the seller, Penguin Real Estate Investors. The properties are: 53 West Baltimore Pike, a three-story 35,902 square foot class A office building in Media, PA, acquired by 53 Baltimore Pike LLC; 430-450 Lincoln Highway (Route 1) in Fairless Hills, PA, acquired by Olymbec; and 2050 and 2080 Cabot Boulevard West in Langhorne, PA, also acquired by Olymbec. The three-property portfolio acquired by Olymbec marks the first time the Canadian-based firm has tapped into the Greater Philadelphia office market.
WESTFIELD, NJ—The Hampshire Companies recently celebrated the ribbon cutting of 333 Central, a 70-unit luxury multi-family complex located at 333 Central Avenue in Westfield, NJ, along with joint venture partner Claremont Companies and project investment advisor Circle Squared Alternative Investments on July 11, 2017. The development, located just a tenth of a mile from Westfield’s NJ Transit line with direct access to New York City, is the town’s first transit-oriented, luxury residential community. The event brought together executives from The Hampshire Companies, Claremont Companies, Circle Squared Alternative Investments, project investors, and Westfield Township officials including Mayor Andy Skibitsky to mark the official opening of the landmark project.
NEW YORK, NY—The Community Preservation Corporation (CPC) named Michael Staton, former vice president of commercial real estate lending for TD Bank, as a vice president and mortgage officer. Staton will take a lead role in bringing CPC’s suite of Freddie Mac and Federal Housing Administration (FHA) lending products to multifamily building owners throughout the Northeast region with a focus on cultivating new relationships in New Jersey.
HACKENSACK, NJ—City officials recently received a second major donation raised from private businesses by the Hackensack Main Street Business Alliance which will go toward the finishing touches on the new Hackensack Performing Arts Center, which is planned to open this fall. The $110,000 donation now adds to an earlier amount raised by the Alliance, putting its total contribution to the landmark project at $330,000.