414 50th St. in West New York — Courtesy: The Kislak Co. Inc.
By Joshua Burd
A developer has sold a recently completed, 13-unit apartment building in West New York for more than $400,000 per unit, in a newly announced deal by The Kislak Co. Inc.
Built 2019, the luxury property at 414 50th St. traded to an undisclosed investor for $5.21 million. Kislak’s Davis Briones procured the buyer after representing the seller, Palisades Plaza II LLC, while Spencer Savings Bank provided financing for the transaction.
“This sale is an excellent example of the continued strong interest in new construction, cash-flowing properties from a diverse group of investors and capital sources, despite higher interest rates,” said Briones, a vice president with Woodbridge-based Kislak. “Although cap rates for Class A multifamily properties have remained in the low five percent range, investors are investing in real estate for its intrinsic value and long-term capital appreciation.”
Briones, who has sold several New Jersey properties to the developer, said the five-story, 19,522-square-foot building has 13 units and a ground-level parking garage with a space for each tenant. The development sits between Bergenline and Palisade avenues, one block from Hudson-Bergen Light Rail service and near two commuter rail lines with access to Penn Station.
The building was fully occupied at the time of sale, Kislak said, adding that the property has a five-year tax abatement expiring later this year. The firm also noted that the buyer has plans to add other amenities.
“New construction buildings in Hudson County are trading with capitalization rates ranging from 5.25 percent to 5.5. percent, most of them being financed with 60 to 65 percent loan-to-value with aggressive rate lock programs,” Briones added.
