By Joshua Burd
A private investor has sold a 53-unit garden apartment complex in Summit for $14.5 million, in a newly announced transaction by Gebroe-Hammer Associates.
The trade of Beech Spring Village Apartments, located along Beech Spring Drive, marks the completion of a Section 1031 like-kind exchange that began with the sale of a 253-unit property in North Brunswick. In the earlier trade, a longtime owner sold the 21-building Northwood Estates complex at 500 Adams Lane for $63.5 million.
Gebroe-Hammer’s David Jarvis brokered both deals on behalf of two longtime clients, which bought and sold one another’s properties as part of the exchange.
“Situated only 15 miles from Manhattan, Summit consistently attracts former New York City dwellers due to its outstanding award-winning public-school district, commuting ease via a vast network of highway, bus and rail connection options and lifestyle amenities for all ages,” said Jarvis, an executive vice president with Gebroe-Hammer. “In addition to shopping and dining at the Mall at Short Hills, there are several local upscale shopping districts and a full complement of recreational and cultural venues, all of which contribute toward a well-rounded lifestyle for established professionals, executives with families and high-income empty nesters.”
Located in Summit’s Springfield Avenue section, Beech Spring Village includes a mix of newly renovated studio and one- and two-bedroom layouts, some of which offer junior and duplex floorplan options, according to a news release. The buildings have vaulted ceiling heights and classic crown molding, while residents benefit from on-site parking and easy access to amenities in the surrounding neighborhood.
Also nearby is NJ Transit’s Summit station with service to New York Penn Station, Newark Broad Street Station, Secaucus Junction and Hoboken Terminal, along with bus routes and several major highways.
“Because Summit consistently ranks as one of New Jersey’s highest-per-capita-income municipalities and a high-income place to live in the U.S., demand is extremely tight here for high-quality apartment-rental product among investors and tenants alike,” said Jarvis, who noted Gebroe-Hammer arranged the acquisition of Beech Spring Village on behalf of the current seller in mid-2019.
“Nestled in the Short Hills region of Union County, Summit and its surrounding municipalities have a high-density population and a dominant multifamily vintage of pre-1970s product, which accounts for more than half its inventory,” he said. “These conditions, coupled with a lack of on-the-books construction of new product, render it an extremely high-barrier-to-entry investment market — which makes this exchange all the more unique.”