Here is a roundup of the latest leases, sales and other transactions in the Northeast middle markets.
This week by the numbers
Luxury rental activity in Jersey City is picking up. According to the Marketing Directors, the overall average active rent price in the third quarter was $3,208, with the per-square-foot average at $45.67. In the third quarter of 2017, Jersey City saw 595 active listings within 36 luxury rental properties. Five of which, opened in 2017, adding 1,720 units to Jersey City’s housing stock. Approximately 51 percent of Jersey City’s market continues to be one-bedroom apartments. Studios, which make up 16 percent of the Jersey City rental market, saw the largest increase in average active price per square foot, up seven percent quarter over quarter.
Deal Tracker Daily
EDISON, NJ—Zimmel Associates signed three leases recently in Edison and Clark, NJ. In the first transaction, EOS Energy Storage signed a 10-year lease for 3920 Park Ave., a 63,500-square-foot free-standing brick building located in Edison, NJ. EOS Energy Storage provides energy storage solutions for utilities and commercial and industrial facilities. The owner of the building is United States Land Resources of Morristown, NJ. David Zimmel, CEO, Zimmel Associates, represented both the tenant and landlord in the transaction. In addition, Zimmel signed two leases at 60 Walnut Avenue, Clark, NJ (pictured), a 46,000-square-foot office building that the firm handles exclusively for owner TAK Realty and Investment. Outer Stuff Ltd, a leading designer, manufacturer and marketer of children’s sports apparel expanded from 10,000 square feet to 16,000 feet in a ten-year lease; and law firm Fink Rosner Ershow-Levenberg leased 4,500 square feet on a long-term basis.
PITTSBURGH, PA—Holliday Fenoglio Fowler handled the $42 million refinancing of the Grant Building, a 461,007-square-foot office tower in Pittsburgh, PA. The HFF team worked on behalf of the borrower, McKnight Grant Building Associates, an affiliate of Pittsburgh-based McKnight Realty Partners, to secure the 10-year, fixed-rate first mortgage loan through Starwood Mortgage Capital and the 10-year mezzanine loan through Morrison Street Capital. The Grant Building is located at 310 Grant Street in Pittsburgh’s central business district. At 90 percent occupied, key tenants include Huntington Bank, The Hillman Company and Sisterson & Company. The HFF debt placement team representing the borrower included executive managing director Gerard Sansosti and senior managing director Nick Matt.
HOPEWELL TOWNSHIP, NJ—Bristol-Myers Squibb has engaged Jones Lang LaSalle to manage the sale of the company’s 1.14 million-square-foot research and development campus at 311 Pennington Rocky Hill Road in Hopewell Township, NJ. The 433-acre campus features 33 buildings, including chemistry, biology and biotechnology research and development facilities; a biological clinical supply manufacturing facility; warehouse space; an automated sample repository; and corporate offices. A working farm is located on approximately 190 acres of the site. The campus includes 500,000 square feet of R&D space, a portion of which contains two recently renovated state-of-the-art modules. The first is a 60,000-square-foot biology research lab with environmental rooms and tissue culture areas. The second contains a 58,000-square-foot, clinical-scale, biologic Good Manufacturing Practices building that produces medicines to support clinical trials. The campus has a 106,000-square-foot data center and 330,000 square feet of office space, and is supported by a central utility and waste water treatment facilities that can facilitate future development of several hundred thousand square feet on the site.
BALA CYNWYD, PA—Keystone Property Group says its GSB Building in Bala Cynwyd, PA, has received Energy Star certification following the completion of $12 million in renovations at the 245,000-square-foot office and retail property. The comprehensive property upgrades include a major facelift to the building’s main entrance and an expanded lobby with modern aesthetics, including a new revolving door, canopy, flooring, LED lighting and furnishings. The building’s multi-tenant floors also received entirely new interior corridors, including carpeting, wall covering, ceiling tiles and fully renovated restrooms. The building’s HVAC system also received significant improvements, including two new chillers and pumps, and a new cooling tower.
HILLSIDE, NJ—Eric Lewin, senior executive vice president of Team Resources, leased 27,000 square feet at 460 Hillside Avenue, also known as Seven West Shelton Terrace in Hillside, NJ, to All Merchandise Display Corp. Team Resources represented the tenant, All Merchandise Display Corp. in this long term transaction.
WOODLAND PARK, NJ—Azarian Realty and The Azarian Group have leased the former Goldsmith space of approximately 18,502 square feet in Lenox Plaza, 1750 Route 46 West, Woodland Park, NJ, to K&G Men’s Company. K&G will be relocating its Willowbrook Store to Lenox Plaza in November. Lenox Plaza Shopping Center is anchored by Party City, Pizza Hut and Mattress Firm, plus five satellite stores.
NEW YORK, NY—Tsai Capital Corporation, a global equity manager, says Matthew J. Michel has joined the company’s advisory committee. Michel brings 15 years’ experience in the financial services industry. He held roles of increasing responsibility at MassMutual and Merrill Lynch/BAML. He is currently vice president of Stevens & Lee/Griffin, a platform of professional services businesses consisting of an AmLaw 200 law firm, a leading middle market investment bank, a government affairs consulting practice, a global private equity fundraising business, as well as several other consulting business units.
NEW YORK, NY—RKF has secured a 3,165-square-foot space for Peloton’s second New York City location at 1156 Madison Avenue on the Upper East Side. This will be the exciting fitness brand’s first standalone showroom in the city. Peloton’s other showroom at 140 West 23rd Street also serves as the brand’s flagship cycling studio, where classes are livestreamed for riders at home. RKF Executive Vice President Jeremy Ezra and Associate Taryn Talmadge represented Peloton in the transaction. The landlord, The Brodsky Organization, was represented by Judson Realty’s Nicholas Judson and Stuart Ellman. Peloton’s new showroom includes 1,830 square feet of ground level space, as well as a 1,335-square-foot basement. It is scheduled to open in December 2017.
BOSTON, MA—Grand Coast Capital Group, a Boston-based real estate investment and private lending firm serving real estate investors, builders and developers across the country, says Joseph Blackett and Dan Kinchla have joined the team in asset management and underwriting. In their new roles, Blackett and Kinchla are responsible for reviewing and assessing residential renovation and commercial real estate loans being considered by Grand Coast Capital, as well as the management and servicing of these loans.