Page 10 - RENJ_Combo_12_21

8 DECEMBER 2021
THE BRIEFING
LEG SELLS FUTURE SITE OF 886,000 SQ. FT. UPS HUB IN BAYONNE
transaction price.
“This project is the ultimate real estate unicorn, combining an irreplaceable
one-of-one
Terminal, the New Jersey Turnpike and other major corridors.
“The Port submarket is among New Jersey’s most dynamic, with a Class A occupancy rate that is effectively 100 percent, and rents that have more than doubled over the past six years,” Schmidt said.
Days later, Cushman & Wakefield said it represented Lincoln Equities Group and PCCP in securing $107.4 million in financing for the next piece of the campus, a planned 332,640-square- foot distribution center at 42 Military Ocean Terminal. Brookfield provided the acquisition and construction loan for the project, which is slated to feature 40-foot clear heights and 66 dock doors.
“This financing represented a compelling opportunity for lenders, given the irreplaceable location and strength of the industrial market in the Port region,” C&W’s John Alascio said. “We are thrilled for our clients on this home-run execution.”
Alascio sourced the loan alongside Chuck Kohaut, TJ Sullivan, Zachary Kraft, Gary Gabriel and Kyle Schmidt. Completion is slated for October 2022, C&W said, citing the property’s connectivity via Interstate 78 and routes 440 and 1 and 9, along with its maritime access.
amenities.
“We are excited to get to work with Scale once again as they have proven themselves to be a true leader in the market with a clear vision for how to tackle seemingly complex projects,” said Effy Namdar, chief investment officer at Namdar Group.
The news comes a year and a half after Namdar touted the completion of MRK, a 15-story multifamily project at 97 Newkirk St. The Great Neck, New York-based developer has sought to expand its footprint in Journal Square, as have a host
of other developers seeking to tap into the neighborhood’s historic infrastructure and the Journal Square PATH station.
“This deal is our second venture with Scale, who has become one
of our most trusted lenders, and
we look forward to building on this relationship in the future as we undertake innovative developments that continue to strengthen Jersey City and the greater New York market,” said Andrew Namdar, the firm’s chief financial officer.
Lincoln Equities Group has sold
a massive development tract in Bayonne that will soon be home to a nearly 900,000-square-foot regional hub and distribution center for UPS.
According to brokers with Cushman & Wakefield, an undisclosed buyer purchased the 886,256-square-foot facility now under construction at 42 Military Ocean Terminal. Completion is scheduled for 2022, with plans calling for 252 cross-docked loading
positions, 120- to 170-foot truck courts, parking for 734 trailers and 831 cars and a 1,700-foot wharf.
C&W’s Gary Gabriel, Kyle Schmidt, David Bernhaut, Andrew Merin and Ryan Larkin, in coordination with Adam Spies and Marcella Fasulo, represented the seller. LEG will continue to be the developer of the property.
The firms did not disclose the
location
with new construction, a pristine long- term tenant and an abundance of parking,” Gabriel said.
Gary Gabriel
Lincoln Equities Group is developing an 886,256-square-foot distribution center at 42 Military Ocean Terminal in Bayonne, as depicted in this rendering.
BUILDER LANDS $96 MILLION LOAN, EYES 811 UNITS IN JOURNAL SQUARE
It is particularly gratifying to have worked with long-term client Lincoln Equities on the project since 2018.”
C&W announced the deal in mid- November, noting that the building is fully preleased to an investment grade tenant through 2042. The firm did
not mention UPS by name, but LEG’s lease with the shipping giant is well- documented and recently won NAIOP New Jersey’s Judges’ Transformation Award.
The 80.37-acre parcel is part of
the Lincoln Logistics Bayonne development site, which spans nearly 152 acres and is revitalizing part
of the city’s former Military Ocean Terminal property. The parcel offers maritime access to the Hudson River and the Newark Bay via the Kill Van Kull, as well as the Global Container
“To be able to work again with
the Namdar Group, who is an institutional developer with a proven track record in the marketplace,
is a great opportunity for Scale,” said Martin Nussbaum, co-founder and principal of the affiliated Slate
A developer has landed nearly $100 million in financing to both break ground on 235 apartments and acquire a nearby site that is
approved for another 576 units, with both parcels located in Jersey City’s historic and re-emerging Journal Square neighborhood.
In a news release, Scale Lending said it completed the $96 million combined construction and land loan to Namdar Group, which recently completed a 15-story rental property on Newkirk Street. Proceeds will support the ground-up construction of the 235-unit project
at 26 Van Reipen Ave., which is adjacent to
the Journal Square transportation hub, as well as Namdar’s purchase of the 400,000-square-foot, fully entitled tract at 626 Newark Ave.
Greystar brokered the transaction.
Property Group. “We believe
in working
with top-tier sponsors on a repeated basis as they grow their portfolios. In such a competitive
Namdar Group is planning 235 luxury apartments at 26 Van Reipen Ave. in Jersey City, as depicted in this rendering.
and exciting market, Scale used its relationships with the borrower and broker to creatively think outside of the box to execute a complex deal structure. This transaction is yet another example of Scale’s continued expansion throughout the New York Metropolitan area.”
AJD Construction will be the general contractor for the Van Reipen Avenue project, which is near an active business district at Journal Square, Lincoln Park and other
Martin Nussbaum
Courtesy: SCALE Lending Courtesy: Cushman & Wakefield