By Joshua Burd
A joint venture is planning to build a new industrial building spanning more than 450,000 square feet in Piscataway, with the help of $22 million in financing secured by HFF.
The brokerage firm said Tuesday that it worked on behalf of the borrowers, F. Greek Development and LaSalle Investment Management, for the speculative project at 2 Turner Place. The financing team arranged the three-year construction loan with TIAA-CREF Trust Company FSB, known as TIAA Direct.
The loan will fund construction of the planned 451,800-square-foot, Class A warehouse and distribution building in Piscataway, which is emerging as an alternative submarket for developers, HFF said. The project will be occupy 63.9 acres of vacant land, less than a mile from Interstate 287 and some eight miles west of the Garden State Parkway and the New Jersey Turnpike.
Scheduled for completion in the second half of 2017, the one-story light industrial building will feature 36-foot clear heights, 149 loading doors, two drive-in doors and parking for 170 cars and 150 trailers.
The HFF debt placement team representing the borrower was led by Managing Director Michael Klein.
“In a tight industrial market with limited supply of large blocks of modern Class A warehouse/distribution space, the lender saw the value that F. Greek Development was creating and was able to provide an attractive rate and creative structure that best met the sponsorship’s needs,” Klein said. “F. Greek Development is one of New Jersey and Eastern Pennsylvania’s premier industrial developers.
“Their hard work and patience to acquire and secure the necessary approvals to get this site shovel-ready will soon pay off.”
HFF also said the site is 28 miles from Port Newark–Elizabeth Marine Terminal, 35 miles from New York City and about 47 miles from both LaGuardia Airport and John F. Kennedy International Airport.