114 Beach St. in Rockaway — Courtesy: Cushman & Wakefield
By Steve Lubetkin
New York-based real estate investment company Davco Group has acquired a six-building complex in Rockaway from The Silverman Group, in a sale orchestrated by Cushman & Wakefield.
Totaling 170,000 square feet, 114 Beach St. is 99 percent leased to 17 tenants, including light manufacturing, service and distribution companies, C&W said. The acquisition, terms of which were not disclosed, marks Davco’s second purchase of an industrial asset this year.
“This property benefits from stable cash flow and a diverse rent roll of long-term occupants,” said Cushman & Wakefield’s Andrew Schwartz, who represented the seller and procured the buyer with investment sales specialists Andrew Merin, David Bernhaut, Gary Gabriel, Brian Whitmer, Andrew MacDonald and Jordan Sobel, with assistance from industrial market specialist Stephen Sander. “Demand for industrial product in northern New Jersey is at historic highs, and this opportunity drew significant interest and multiple offers from the investment community, including private firms from New Jersey and New York.”
Located less than a mile from Interstate 80 and Route 46, 114 Beach St. provides access to more than 34 million customers within a three-hour drive, according to a news release. The densely populated, affluent region just 35 miles west of New York City has made it a target location for so-called last-mile distributors and service providers alike.
At the same time, the immediate area is known for its favorable labor market conditions for warehouse employment.
“Within this context, 114 Beach Street boasts historically strong occupancy — with an average occupancy of 97 percent over the past 10-plus years,” MacDonald added. “As both online retail sales and manufacturing are expected to trend higher, the New Jersey industrial market is poised to remain one of the healthiest markets in the nation.”