1 and 2 Jericho Plaza in Jericho, New York — Courtesy: The Birch Group
By Joshua Burd
The Birch Group has made another major addition to its suburban office holdings in the region, acquiring a prominent two-building campus on Long Island for $212 million.
The firm, which has quickly amassed a portfolio of high-end buildings in New Jersey, has added 1 and 2 Jericho Plaza in Jericho, New York, after purchasing the 665,592-square-foot portfolio from DRA Advisors and Onyx Equities. It announced the deal Wednesday, touting Jericho as a rising affluent market with diverse and dense labor pools, while noting that the campus is nearly 95 percent leased to a roster of blue-chip tenants.
The Birch Group has now acquired more than $1.1 billion worth of commercial office properties since 2020.
“This acquisition presents an opportunity to add additional trophy quality institutional assets to our evolving office roster, furthering The Birch Group’s strategy to give tenants the optimal experience in environments that meet and exceed expectations as we enter the new year as the largest private office landlord in New Jersey,” said Mark Meisner, president and founder of the Nanuet, New York-based firm. “As we look ahead to the coming months, we believe companies will place a renewed interest in providing top-notch office experiences and spaces where people want to be. Our focus remains on enacting tailored improvements strategies on a case-by-case basis to create long-lasting returns for our tenants and investors alike.”
Cole Schotz PC advised The Birch Group in connection with the acquisition, with a team led by Richard Abramson and including members Chris Caslin, Rab Nalavala, Roger Iorio, Jennifer Chung, Joe Armenti, along with Associate Nicole Dlugosz and paralegals Kim McEllen, Kecia Beatty and Roseanne Cohen.
Tenants at 1 and 2 Jericho Plaza include AIG, Deloitte, Morgan Stanley, EY, Valley Bank, Sterling National Bank and UBS, according to a news release. Birch expects the campus to reach full occupancy in the near future, citing its location at the nexus of the Jericho Turnpike and Long Island Expressway and its proximity to Long Island Railroad service.
Amenities at the campus include renovated three-story atrium lobbies, conference hubs and centers, upgraded common spaces, full-service cafes and fitness centers, the news release said. It’s also within walking distance of the Meadow Brook Golf Club, minutes from a host of retail and restaurants options and within 25 miles of three airports.
The deal comes a year after The Birch Group’s $255 million acquisition of a prominent four-building portfolio in Short Hills from Mack-Cali Realty Corp., one of several recent deals in which it has added high-end office buildings in New Jersey.
“As the largest office owners in New Jersey and a prolific leader in the tristate area, The Birch Group is following the demographic shift to the suburbs resulting from the pandemic as leasing activity increases in targeted submarkets,” said Christopher DeLorenzo, an executive vice president with the firm. “With 2022 return to office plans coming to fruition, this trend represents an extraordinary opportunity to meet the demand for high-quality office assets in prime markets.”
