Strengthening office performance in the northern New Jersey marketplace signals good things to come as 2019 unfolds. The market yielded approximately 292,000 square feet of net occupancy gains in 2018. This was fueled by three straight quarters of more than 1 million square feet in new leasing activity, with annual demand finishing 15.4 percent ahead of 2017. This progress runs parallel to improving employment numbers. At year-end, the Garden State unemployment rate registered at 4 percent, its lowest point since mid-2001. This marks a 70-basis-point decline year-over-year, with private-sector employment increasing by almost 62,000 jobs. Within this context, the diversity of New Jersey’s tenant mix is making itself apparent. No one sector is predominantly making waves. We are seeing healthy Class A leasing activity among life sciences, technology, financial, professional services and a range of other space users that comprise the state’s balanced occupier base. Last year was proof that both urban and suburban submarkets continue to thrive. Where one company prefers the Hudson Waterfront with immediate access to mass transit and ability to draw talent from New York City, another may seek a suburban campus that draws upon a labor force of commuters driving from the state’s western counties …
PARAMUS, N.J. — The Goldstein Group, a brokerage firm based in New Jersey, has negotiated the sale of a 17,661-square-foot retail asset in Paramus, located directly across the Hudson River from The Bronx. Outdoor furniture store Harrow’s most recently occupied the property. Before Harrow’s, Maurice Villency Furniture leased the space for more than 30 years. Lew Finkelstein and C.J. Huter of The Goldstein Group represented the seller, 685 LLC, in the transaction. The buyer was a subsidiary of J&M Furniture.
NUTLEY, N.J. — NorthMarq Capital has arranged a $16 million Freddie Mac loan for the refinancing of Village Manor, a 227-unit multifamily community in the western Manhattan suburb of Nutley, N.J. The garden-style property features one- and two-bedroom units and is located near a variety of retail and restaurant establishments, as well as public transportation lines. Robert Ranieri of NorthMarq arranged the loan, which was structured with a 10-year term and 30-year amortization schedule, on behalf of an undisclosed borrower.
CARLSDADT, N.J. — Michael Halebian & Co., a provider and distributor of specialty flooring products, has signed a 35,000-square-foot industrial lease at 700 Gotham Parkway in Carlsdadt, a city located directly across from Manhattan in New Jersey. The property’s location offers proximity to major thoroughfares like the New Jersey Turnpike and Garden State Parkway, as well as Teterboro Airport. The owner of the 80,000-square-foot facility, Key Properties, purchased 700 Gotham Parkway as an abandoned former paint manufacturing facility in 1997 and repositioned the building from single- to multi-tenant use.
LAWRENCEVILLE, N.J. — Marcus & Millichap has arranged the sale of Princeton Plaza, a 29,600-square-foot retail center in Lawrenceville, located roughly midway between New York City and Philadelphia. The asset, which was fully occupied at the time of sale, fetched a sales price of $2.9 million. Shannon Bona led the Marcus & Millichap team in marketing the property on behalf of the seller, a private investor, with help from Mark Taylor and Derrick Dougherty of Marcus & Millichap. Brian Hosey of Marcus & Millichap acted as the broker of record. Additional terms of the sale were not disclosed.
SOMERVILLE, N.J. — Sterling Properties has completed the leasing efforts of Soma, a 69-unit, four-story apartment complex in Somerville, about 45 miles southwest of New York City. The property, which offers studio, one- and two-bedroom floor plans ranging from 594 to 1,290 square feet, is currently at full occupancy. SOMA opened earlier this year and offers amenities such as a fitness center, tech lounge, bike share program and package acceptance. Located at 110 S. Bridge St., SOMA sits less than a mile from downtown Somerville and two blocks from the New Jersey Transit Somerville train station stop.
NEW JERSEY — Greystone has provided a $24 million Fannie Mae loan to refinance a 138-unit assisted living facility in New Jersey. D.J. Elefant of Greystone’s New York office originated the transaction on behalf of Sage Healthcare Partners. Neal Raburn of Greystone’s Atlanta office provided support in structuring, underwriting and closing the transaction. The name and location of the property were not disclosed. The loan carries a 10-year term and 30-year amortization schedule with an interest-only payment period of two years. Greystone originally provided a bridge loan to the borrower to acquire the facility in 2017 and make investments to increase its overall value. The permanent loan enables the borrower to refinance out of the bridge loan and continue with its ongoing facility improvements.
WATCHUNG, N.J. — Cinemark Holdings Inc. (NYSE: CNK) has opened a 10-screen theater at 1670 Route 22 East in Watchung, N.J., located about 30 miles west of New York City. The theater will feature wall-to-wall screens, oversized recliners, reserved seating services and a party room for private events. The venue will be the third in the state for Cinemark, which currently operates 546 theaters across 41 states and various Latin American countries.
SOMERS POINT, N.J. — Berkadia has provided an $18.5 million loan to refinance Bayview Court, a 202-unit apartment community in Somers Point. Located at 555 Shore Road, the property was built in the 1960s. Jim Badolato of Berkadia’s Philadelphia office arranged the financing for the borrower, The Streamwood Co. Terms of the Freddie Mac loan included an 11-year fixed rate term under the lease-up program, which enables borrowers to lock in a rate and fund a loan before the collateral is fully stabilized. The Freddie Mac Optigo loan offers an 11-year fixed rate term under the lease-up program, which enables borrowers to lock in a rate and fund a loan before the collateral is fully stabilized. The property was 75 percent occupied at closing with steady leasing velocity.
FLORHAM PARK, N.J. — Commercial-stage cell therapeutics company Celularity has signed a full-building, 147,215-square-foot office lease in Florham Park. The property is part of a two-building office campus at 170-180 Park Ave. that totals 368,780 square feet. The lease marks the largest new office lease in New Jersey for the first quarter of 2019. James Postell, Matt McDonough and Dan Ligorner of Transwestern Commercial Services represented the building owner in the transaction. Charlie Hatfield and Ryan Healy of Colliers International represented Celularity in the transaction.