NEW YORK CITY — Benchmark Real Estate Group has acquired a six-story, mixed-use building in Manhattan for $21 million. Located at 35 Bedford St., the property consists of 33 apartments and three retail units. The building was constructed in 1900 and is part of the Greenwich Village Historic District Extension. Aaron Jungreis of Rosewood Realty Group represented both Benchmark and the seller, Renaissance Properties, in the transaction. Benchmark plans to fully renovate the property.
WEST HAVEN, CONN. — Pearce Commercial has negotiated the $1.9 million sale of an 18,728-square-foot apartment building in West Haven. Located at 405 Main St., the three-story property contains 16 units. The building was recently renovated with new kitchens and appliances as well as hardwood floors throughout. Jamie Cuzzocreo of the Pearce North Haven Commercial office represented the buyer, Cocolorus Properties, in the transaction. The seller was Vesta Greenview Apartments LLC.
TOMS RIVER, N.J. — Marcus & Millichap has brokered the $5.2 million sale of Toms River Shopping Center in Toms River. The 52,616-square-foot retail center is located along the Garden State Parkway. Michael Lombardi and Charles Loccisano of Marcus & Millichap’s New Jersey office represented the buyer and seller in the transaction, both private investors.
Matt Rocco, president of Grandbridge Real Estate Capital, realizes this year may not maintain the exact same lending velocity as last year. However, he sees plenty of opportunities in workforce and affordable housing, as well as in industrial real estate. This, combined with plenty of capital, may keep competition fierce for strong commercial assets in the foreseeable future. Many believe lending velocity may slow this year compared to 2018. What is your take on this? Rocco: We expect transactional velocity will be flat or down slightly as compared to 2018. This year and 2020 only have modest maturity activity. As a result, many new refinancing assignments will come from floating-rate loans that are converting into fixed-rate loan terms. Given the very flat yield curve, we anticipate many clients will move from these floating-rate loans to match their ownership objectives. They will likely seek fixed-rate loan terms at the same coupon rate as their floating-rate alternatives. We also expect lending volume from CMBS, agency and life insurance companies to be flat or slightly down in 2019 compared to the record year in 2018. Are there any specific product types that seem particularly attractive in 2019? Rocco: We expect to see robust …
Mark Gould, national production manager of M&T Realty Capital Corporation, believes the seniors housing continuum of care may hold vast opportunities for those with the know-how and discipline to weather any short-term storms. Where do lending opportunities – and challenges – lie in 2019? Gould: We have been active in the seniors housing sector for a very long time. We see this asset class continuing to grow in 2019 as the U.S. aging population will drive growth. Challenges will lie with inexperienced parties trying to capitalize on the favorable demographic trends who do not fully understand the complexity of operating in the healthcare space. Wage pressures and nurse staffing shortages will further heighten the operating challenges in this space. I also think dollar volumes will stay steady. Rising rates have placed some DSC [debt service coverage] limitations and have required more equity into deals. There didn’t seem to be as many large portfolio deals in fiscal year 2018, which we believe resulted in a heightened number of transactions. This is an indication of a healthy market. Does the seniors housing market have room to grow beyond its 2018 activity? Gould: We are seeing some very innovative solutions from our customers that …
Hilary Provinse, executive vice president and head of mortgage banking at Berkadia, highlights the trends, strategies and activity attendees should have on their radar ahead of MBA CREF 2019 in February. Coming off a strong and surprisingly consistent year in 2018, we’re feeling good about 2019. The year is off to an interesting start to say the least, and we’re keeping our eye on several factors. These include Treasury rates, the regulatory environment, tariffs and development costs that will impact our business. Even keeping these in mind, however, there are positive factors that point to the potential for continued economic strength and activity in the multifamily market. Fundamentals of the Economy Remain Very Strong Unemployment continues to fall, and jobless claims remain extraordinarily low. Despite the recent decrease in consumer confidence — volatile in its own right — it remains near the highest levels since 9/11. GDP growth also remains strong with consumption, investment and government outlays all supportive. Multifamily Demand-Supply Dynamics Remain Solid The percent of population living in multifamily units has experienced a slow, but consistent, increase since the 2008 financial crisis. Loan maturities are expected to increase in 2019 versus 2018 across several sources. Maturities are inevitable events that …
NEWARK, N.J. — JLL has arranged the $61 million sale of the former Ballantine Brewery in Newark. Located at 424 E. Ferry St., the 1.1 million-square-foot industrial property includes five buildings across 22 acres in the Ironbound section of Newark. The property was originally owned and operated by P. Ballantine & Sons. Currently, the property is approximately 85 percent leased to 30 tenants ranging in size from 2,500 to 159,287 square feet. Thomas Walsh, Joseph Garibaldi and Katelyn Borovsky of JLL represented the seller, RAR Development Associates, in the transaction. The buyer was a joint venture between Turnbridge Equities and institutional investors advised by J.P. Morgan Asset Management.
NEW CITY, N.Y. — Capitol Seniors Housing has started construction of Atria New City, an assisted living and memory care community in the affluent hamlet of New City in Clarkstown. Located approximately 30 miles north of Manhattan, the $30 million, three-story, 70,000-square-foot community features 80 residential suites. Atria Senior Living is the operator. Atria New City is scheduled to open in the first quarter of 2020. Meyer Senior Living Studio designed the community. Capitol Seniors Housing also is constructing Stonegate at Greenburgh, an assisted living and memory care community in nearby Greenburgh.
NEW YORK CITY — Lee & Associates has arranged the $11.5 million sale of a 25,473-square-foot development site in the Astoria neighborhood of Queens. Located at 26-24 and 26-26 4th St., the property consists of two lots, which are zoned residential. One of the lots features a 20,000-square-foot warehouse. The properties allow for a total of 67,982 buildable square feet. Alfonso Holloman of Lee & Associates represented the buyer, Bruman Realty, and the undisclosed seller, in the transaction.
BURLINGTON TOWNSHIP, N.J. — NAI Mertz has brokered the sale of a 46,000-square-foot warehouse in Burlington Township. The price was not disclosed. Located at 308 Connecticut Drive, the property features 21-foot clear heights and is situated alongside Interstate 295. Jonathan Klear of NAI Mertz represented the buyer, Burton Real Estate, in the transaction. The seller, Merchant & Evans Industries, will remain as a tenant in the building.
