NEW YORK CITY — American Realty Capital Properties Inc. has completed its acquisition of a net lease portfolio from affiliates of funds managed by Fortress Investment Group LLC. The acquisition includes 120 properties, mostly retail, totaling 6.1 million square feet and a contract purchase price of $601.2 million. “With the acquisition of this portfolio from Fortress, we have closed on another one of our previously announced large property purchases,” says Nicholas Schorsch, executive chairman and CEO of ARCP. “We have further added to our best-in-class portfolio with the purchase of these high-quality net lease assets, diversified by geography, industry and tenant.”
HADDONFIELD, N.J. — The Walters Group, a residential and commercial real estate developer, has completed construction on its new 8,000-square-foot, Class A office building in Haddonfield. The new facility is located at 21 E. Euclid Ave., about 10 miles east of Philadelphia. Walters Group has relocated its Marlton offices to the new two-story building, taking the entire second floor. The law firm of Del Duca Lewis has also relocated its offices from Cherry Hill to the new location occupying space on the first floor. The Walters Group is the developer of the building and will jointly own and manage the building with Del Duca Lewis. Additional tenant space is available, ranging from 1,200 square feet to 4,000 square feet.
BRYN MAWR, PA. — Binswanger has arranged the sale of two parcels situated on a 1.4 acre site in Bryn Mawr, located about 10 miles northwest of Philadelphia. The buyer, JLPH Associates LP, plans to build a new multifamily project on the site. Two separate owners sold the properties, located at 847 and 859 Old Lancaster Ave. Devon Apartments is a two-building complex that includes 24 two-bedroom apartment units and spans 32,580 square feet on 1.1 acres. The multifamily property was 54 percent occupied at the time of the sale. The property located at 847 Old Lancaster Ave., which is currently used as a medical office building, includes a two-story, building on 0.4 acres. Scott Gabrielsen, president, along with Scott Williams and Nick Sannelli of Binswanger Commercial, arranged the transaction.
NEW YORK CITY — Marcus & Millichap has arranged the $11 million sale of 15 Crown St., a six-story, 58-unit multifamily building in the Crown Heights/Prospect Heights area of Brooklyn. The sales price equates to a 4 percent cap rate and $189,655 per unit, according to Marcus & Millichap. Peter Von Der Ahe, Matthew Fotis and Adam Abuaf in Marcus & Millichap’s Manhattan office represented both the seller and the buyer in the transaction. “This sale marks the trend of new investors finding investment opportunities in emerging Brooklyn submarkets,” says Fotis. “New York renters seeking alternatives to the area’s prime neighborhoods has fueled demand for more affordable units, especially those with luxury finishes.”
With nearly 24,500 units planned, under construction or recently completed, Northern New Jersey’s impressive multifamily development pipeline continues as one of the region’s hottest discussion topics. Specifically, inquiring minds want to know how this growth in inventory will impact market fundamentals moving forward. The bulk of the development pipeline and activity (59 percent) is taking place along the Hudson River Gold Coast, from Jersey City to Edgewater. Just north of Edgewater, Fort Lee is seeing a surge of new construction. Three projects are underway or at the cusp of breaking ground there; over the next two years, they will add 1,000 units within a three-block radius of the entrance of the George Washington Bridge. This will have a transformative effect on the neighborhood. This raises some questions. At what pace will the new product be absorbed? What will happen to short- and longer-term rent growth? Northern New Jersey always has maintained high, unmet demand for newly constructed communities (especially along the Gold Coast), evidenced by high occupancy levels and rent growth for Class A product that outperforms the regional and national market averages. Currently, asking rent for Class A communities is at an all-time high of $2,043 per month. The …
BRISTOL, CONN. — HFF has closed the $42 million sale of 383 Middle Street, a 410,174-square-foot, Class A office building in Bristol. HFF marketed the property on behalf of the seller, Winstanley Enterprises LLC. Inland Real Estate Acquisitions Inc. purchased the property, which is fully leased to a sports entertainment company. Renovated in 2004, the property features a new cafeteria, new building systems and a data center. Jose Cruz, Andrew Scandalios, Kevin O’Hearn, Jeffrey Julien and Steve Simonelli led the HFF investment sales team representing the seller. The property is situated on 36.9 acres in the Southeast Bristol Business Park, about 14 miles southwest of downtown Hartford.
NEW YORK CITY — Stan Johnson Co. has completed the $22 million sale of a retail condominium located at 1991 Broadway Ave. in Manhattan. The 7,500-square-foot property features 60 feet of frontage between 67th and 68th streets. Jason Maier and his team at Stan Johnson Co.’s New York office sold the property on behalf of Manhattan-based Small Fish Corp. to Ashkenazy Acquisition Corp. The space, which includes a public atrium, is located adjacent to the new Apple flagship store and close to the Lincoln Center, Julliard and the AOL Time Warner Center.
NEW YORK CITY — Marcus & Millichap has arranged the $12 million sale of 7 East 19th Street, a five-story, loft-style apartment building in the Flatiron district of Manhattan. The sales price equates to $960,000 per unit. Peter Von Der Ahe, Scott Edelstein and Seth Glasser, all in Marcus & Millichap’s Manhattan office, represented the seller, a New York-based private investor. Edelstein, Von Der Ahe and Glasser, along with Sean Beuche and Christopher Sjurset, also of Marcus & Millichap, represented the buyer, another New York-based private investor. The 10,144-square-foot property is located on East 19th Street between Broadway and 5th Avenue.
BOSTON — Shorenstein Properties LLC has acquired Center Plaza, a transit-oriented, mixed-use property totaling 717,128 square feet in Boston. Terms of the transaction were not disclosed. Developed by Beacon Capital in phases in the late 1960s and early 1970s, the property includes three nine-story buildings featuring 620,000 square of office space, 77,000 square feet of retail, 19,000 square feet of storage space and a 575-car garage. Shorenstein completed the acquisition of Center Plaza on behalf of its 10th fund, Shorenstein Realty Investors Ten LP, which it formed in 2010 with $1.2 billion of committed capital.
BRAINTREE AND WOBURN, MASS. — Senior Housing Properties Trust has closed on the sale of two rehabilitation hospitals in Woburn and Braintree for $90 million. The company plans to gain more than $30 million from the sale. A joint venture comprised of Birmingham, Ala.-based The Sanders Trust LLC and Chicago-based Harrison Street Real Estate Capital LLC purchased the hospitals. The two hospitals sold are New England Rehabilitation Hospital in Woburn and Braintree Rehabilitation Hospital in Braintree. Senior Housing Properties Trust purchased the hospitals in 2002. Medicare pays a large majority of the revenues at the sold hospitals, according to Senior Housing Properties Trust. Reliant Hospital Partners LLC will operate the hospitals.