25 Green Pond Road in Rockaway — Courtesy: CBRE
By Joshua Burd
An investor has purchased a Rockaway industrial building that has served as office space in recent years but will now go back to its original use, brokers with CBRE announced.
The buyer, whose name was not disclosed, paid $19.6 million for the 121,038-square-foot property at 25 Green Pond Road, according to a news release. CBRE represented the seller, noting that that the interior had been converted to house 106,000 square feet of corporate office space for Party City Holdings Inc., but will once again become a warehouse and logistics facility in light of the unrelenting demand from industrial users.
The buyer has also tapped CBRE as its leasing agent going forward.
“We were able to maximize the value of the asset and achieve a near record-breaking price for our client, while delivering a unique property with a potential value add component for the new ownership,” CBRE’s Charles Berger said. “This sale is yet another example of the strength of the industrial market during the pandemic.”
The CBRE Investment Properties team of Berger, Mark Silverman and Elli Klapper, in conjunction with Thomas Mallaney of the firm’s transaction and advisory services group, brokered the sale of the 13.7-acre property off Interstate 80, while debt and finance brokers Jason Gaccione and Shawn Rosenthal secured financing for the buyer. Kevin Dudley and Mallaney will oversee leasing on behalf of the new ownership.
The deal comes around three months after Party City signed a roughly 209,000-square-foot headquarters lease in Woodcliff Lake. The party goods giant is consolidating operations that are spread across Rockaway and Elmsford, New York, thanks in part to a nearly $10 million tax credit awarded by the state Economic Development Authority.
The deal announced Thursday by CBRE will bring additional space to a stretch of I-80 that has increasingly caught the eye of indsturial owners and users, with development sites and inventory at a premium in the state’s better-known submarkets.
Signature Acquisitions details lease with Party City at 209,000 sq. ft. Woodcliff Lake building