VINELAND, N.J. — Locally based brokerage firm The Kislak Co. Inc. has negotiated the $18.3 million sale of Spring Gardens, a 130-unit apartment complex located in the Northern New Jersey community of Vineland. The property was built on 13.4 acres in 1974 and houses 64 one-bedroom units and 66 two-bedroom residences across 16 buildings. Joni Sweetwood of Kislak represented the buyer and seller, both of which requested anonymity, in the transaction.
DENVILLE, N.J. — Cushman & Wakefield has arranged the $7.2 million sale of a 42,000-square-foot industrial building located in the Northern New Jersey community of Denville. The property sits on 3.4 acres, features a clear height of 18 feet and is currently leased to three tenants. Andrew Schwartz, Jordan Sobel and Andre Balthazard of Cushman & Wakefield represented the seller and procured the buyer, both of which requested anonymity, in the transaction.
LEWISBERRY, PA. — Industrial design-build firm Stellar has signed a 10,412-square-foot lease renewal within Fairview Industrial Park in Lewisberry, a southern suburb of Harrisburg. Dan Alderman of NAI CIR represented Stellar in the lease negotiations. Victor Kelly represented the owner, Larken Associates, on an internal basis. Fairview Industrial Park comprises three buildings totaling 137,404 square feet.
FORT LEE, N.J. — CBRE has brokered the $116.5 million sale of Hudson Lights, a 276-unit apartment community located in the Northern New Jersey community of Fort Lee that was completed in 2016. According to Apartments.com, the property offers one-, two- and three-bedroom units ranging in size from 666 to 2,072 square feet. The amenity package comprises a pool with cabanas, fitness center with a yoga studio, resident lounge with a billiards table and catering kitchen and a children’s playroom. Jeff Dunne, Stuart MacKenzie, Eric Apfel, Zach McHale, Fahri Ozturk, Richard Gatto and Travis Langer of CBRE represented the undisclosed seller in the transaction. The team also procured the buyer, a joint venture between Skylight Real Estate Partners and Los Angeles-based PCCP LLC.
CARTERET, N.J. — NAI James E. Hanson has negotiated a 406,437-square-foot industrial lease renewal in the Northern New Jersey community of Carteret. Coffee distributor Continental Terminals will continue to occupy the entirety of the building at 200 Middlesex Ave. Scott Perkins, Chris Todd, Andrew Somple, Greg James and Justin Allessio of NAI Hanson represented the landlord, an undisclosed institutional investment firm, in the lease negotiations. Tom Carragher, Steve Korfiatis, Craig Engelhardt and Chris Carragher of Newmark represented the tenant.
WESTON, MASS. — Newmark has arranged financing for Riverside Labs, a 340,000-square-foot life sciences project in Weston, a western suburb of Boston. Riverside Labs will comprise three buildings, the first of which is slated for a summer 2023 delivery. David Douvadjian Sr., Timothy O’Donnell, Brian Butler, David Douvadjian Jr. and Conor Reenstierna of Newmark arranged the debt through Royal Bank of Canada on behalf of the borrower, a partnership between Greatland Realty Partners and Rockwood Capital. The loan, the amount of which was not disclosed, is part of Royal Bank of Canada’s $150 million total commitment to the development.
WEEHAWKEN, N.J. — Planet Fitness has signed a 19,317-square-foot retail sublease at Tower Plaza in the Northern New Jersey community of Weehawken. The tenant is backfilling part of a space leased to German discount grocer Lidl. Mike Testa and Bill Farkas of locally based brokerage firm Jeffery Realty represented Lidl in the sublease negotiations. Ray Villafana of Franchise Realty represented Planet Fitness.
MOONACHIE, N.J. — Metro Philadelphia-based investment firm Seagis Property Group has purchased two industrial buildings totaling 19,296 square feet in the Northern New Jersey community of Moonachie. The two standalone buildings span 9,660 and 9,636 square feet and were both vacant at the time of sale. Seagis, which plans to implement a value-add program, purchased the properties from a private ownership group that occupied the buildings for its business, Corporate Jet Support. Chris Koeck of Newmark represented both parties in the transaction.
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Shortage of Tax Credits, Higher Interest Rates Plague Affordable Housing
Forty-year-high inflation rates that are outpacing wage growth and eating away at personal income are exacerbating already outsized resident demand for affordable housing financed by the federal Low-Income Housing Tax Credit (LIHTC) program. But it seems that obstacles to supplying new units to meet that demand are only multiplying. Those range from a shortage of housing tax credits needed to fund new supply to resistance to multifamily development at the local level. Meanwhile, higher mortgage rates are making home buying more difficult and expensive. In turn, that is creating more apartment renters, thereby putting upward pressure on rental rates. In September, for example, the average monthly rent price nationwide hit $1,759, an increase of 7.8 percent from the prior year, according to Realtor.com’s monthly rental report. That’s also nearly 25 percent higher than September 2019, the organization reports. What’s more, from 2015 through 2020 — long before mortgage rates spiked — the U.S. lost 4.7 million apartment units with rents less than $1,000 per month, according to U.S. Apartment Demand Through 2035, a report by the National Multifamily Housing Council and National Apartment Association. “Demand for affordable units is only going to become more acute between now and the end of …
PHILADELPHIA — Locally based developer Exeter Property Group is nearing completion of an adaptive reuse project that converted a former church at 1701 Race St. in Philadelphia’s Logan Square neighborhood into a 271-unit multifamily tower. Designed by Solomon Cordwell Buenz, the 23-story building is known as One Cathedral Square and houses studio, one-, two- and three-bedroom units, as well as ground-floor retail space. Amenities include a fitness center, rooftop kitchen and lounge, coworking spaces and Amazon package lockers. Leasing began this summer, and rents start at roughly $1,700 per month for a studio apartment.