11-28-14

R EAL E STATE J OURNAL the most comprehensive source for commercial real estate news

ISSUE HIGHLIGHTS Volume 26 Issue 22 Nov. 28 - Dec. 11, 2014

Representing seller, Prism Capital Partners in sale to Clarion Partners CBRE Group announces the $100m+ sale of Parkway Lofts in Bloomfield, NJ

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from tenants has been very strong. “Equally strong was the interest from investors, like Clarion, who recognize the long-term value of transpor- tation-oriented locations, as Parkway Lofts is adjacent to a NJ Transit station. From a broader perspective, northern New Jersey is experiencing a renaissance that is exciting. There are more than 8,600 apartments under construc- tion that come right behind more than 4,000 units that have been completed in the past 18 months. Jersey City, Hoboken, Edgewater, Ft. Lee, Morristown, Harrison and Bayonne all have multiple significant projects under construction by developers like Avalon , Mill Creek , BNE , Mack-Cali/Roseland , Kushner and Ironstate , to name a few. These companies are making these communi- ties relevant again and part of the national conversation on what renters expect in a modern apartment.” n

LOOMFIELD, NJ — CBRE Group Inc. announced that Jef-

Professional Services 3-4A

freyDunne , Gene Pride and Patrick Carino , of CBRE Group Inc.’s Institutional Properties team, represented a joint venture comprised of Prism Capital Partners and an institutional investor in the sale of Parkway Lofts to Clarion Partners for more than $100 million. Parkway Lofts is an 8-story industrial building that was originally built in 1897 and was redeveloped into 361 “loft style” apartment units. The class A finishes include gour- met kitchens with stainless steel appliances and quartz countertops, walk-in closets, 17-foot ceiling height in some units, oversized windows and in-unit washer/dryers. The property also features an oversized 2-story fitness cen- ter, rooftop deck with fire pit and ample garage parking. The location in Bloomfield is within walking distance to NJ Transit’s Watsessing Sta-

NY ICSC Deal Making

Parkway Lofts

tion, which provides access to Manhattan in 30 minutes. The Garden State Parkway is less than a half mile from the property. Dunne said, “The sale of Parkway Lofts is another ex- ample of the strong demand for apartments in northern New Jersey. The demand is coming not only from inves- tors, but from tenants who are eager to lease space in unique, Farms neighborhood. The property was master leased by St. Joseph’s University at the time of sale and had been under a master lease since the late 1990’s. “Given the master lease structure we were able to attract both national student housing players as well as regional private capital buy- ers looking to raise rents if the lease expires,” said Ken Wel- lar , managing partner of RRA. The buyer is very active in New York and Northern New Jersey, however this is the first deal that they have purchased in the Philadelphia MSA. “Through our unique marketing process we are able to not only identify new poten- tial buyers to our marketplace, but ensure that they can close for our clients,” said Mark Duszak also of RRA. On trail- ing 12 month numbers the property traded at just north of

high-quality communities like Parkway, as evidenced in east Essex County’s class A apartment occupancy of nearly 98%. Prism Capital Partners and their institu- tional partner identified an underservedmarket in Bloom- field that would be attractive to commuters and delivered a property with the finishes and amenities that renters expect today. The initial reaction

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UPCOMING CONFERENCE 2014 Dec. 11 NJ Real Estate

PHILADELPHIA, PA — Rittenhouse Realty Advi- sors announced the sale of the Metropolitan at Overbrook, a 128 unit, 222 bed apartment community located in Philadel- phia’s prestigious Overbrook Rittenhouse Realty Advisors sells 128-unit, 222 bed apartment complex for $10.7 million

To Register www.marejournal.com Capital Markets Summit Crown Plaza Newark Airport 8 a.m - 12 p.m

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Shopping Centers................... Section B Owners, Developers &Managers. ...5-23A Green Buildings......................... 17-21A

Metropolitan at Overbrook

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a 6% cap rate. “This was a win for all parties involved. The sell- er was able to maximize value given low interest rates and the buyer gets a great property at a stable and growing university,” said Corey Lonberger, amanag- ing partner at RRA.

St. Joseph’s is a private school with just over 8,000 students enrolled. Built in the 1920’s and renovated in the early 2000’s, the Metropolitan at Overbrook is a fixture in one of Philadelphia’s premier neighborhoods. n

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