Lincoln Equities Group is developing an 886,256-square-foot distribution center at 42 Military Ocean Terminal in Bayonne, as depicted in this rendering. — Courtesy: Cushman & Wakefield
By Joshua Burd
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 transaction price.
“This project is the ultimate real estate unicorn, combining an irreplaceable one-of-one location with new construction, a pristine long-term tenant and an abundance of parking,” Gabriel said.
It is particularly gratifying to have worked with long-term client Lincoln Equities on the project since 2018.”
C&W announced the deal Wednesday, 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 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.