TOTOWA, NJ—Heritage Capital Group has acquired Totowa Commerce Center, located immediately off the interchange of Interstate 80 and Routes 46 and 23 in Passaic County, NJ, from Mack-Cali Realty for $65.5 million.
Cushman & Wakefield served as exclusive advisor to Mack-Cali and Heritage Capital and also arranged $51.75 million in acquisition financing for Heritage. Natixis Real Estate Capital provided the 10-year, fixed rate financing.
Totowa Commerce Center is a 13-building flex/industrial park totaling 508,028 square feet. Currently 90 percent leased, the property is home to nearly 48 tenants from various industries. It also features a 5.8-acre land parcel that allows for future development. The complex, which offers 12 flex buildings and one office building, lies in a densely populated infill location just 20 miles west of New York City. The park, built in various stages throughout the late 1980s and 1990s, offers “last mile” access at affordable rents to tenants in need of functional office and warehouse space.
The Cushman & Wakefield Metropolitan Area Capital Markets Group team of Andrew Merin, David Bernhaut, Gary Gabriel, Brian Whitmer, Frank DiTommaso and Kyle Schmidt represented the seller and procured the buyer.
“The offering of this distinctive infill property drew significant interest,” Gabriel says. “Heritage Capital Group, exercising a 1031 Exchange, moved quickly and performed seamlessly for an outcome satisfactory to both parties.”
A Cushman & Wakefield Equity, Debt and Structured Finance team of John Alascio, Sridhar Vankayala and Andre Hass represented Heritage Capital Group in the transaction. Cushman & Wakefield successfully negotiated attractive loan proceeds, an interest only period and competitive pricing, all of which fulfilled the buyer’s needs.
“The property is a highly functional, well occupied, versatile flex/industrial park with excellent access, which checked all the boxes for lenders,” says Alascio, executive director of Cushman & Wakefield Equity, Debt & Structured Finance.