Transaction highlights continued record-high pricing in Bergen County industrial market
North Bergen, N.J. (November 14, 2019) – NAI James E. Hanson announces it has negotiated the sale of a 130,000-square-foot industrial building at 7300 West Side Avenue in North Bergen, N.J. NAI James E. Hanson’s Scott Perkins, SIOR, Greg James, and Chris Todd represented the buyer, Roman Real Estate Holdings, Inc., in the transaction with Link Industrial Properties, Blackstone’s US industrial real estate operating platform. Bonnie Heller of Cushman and Wakefield represented the seller.
Situated less than ten miles from Midtown Manhattan, 7300 West Side Avenue features easy access to both the George Washington Bridge and Holland Tunnel as well as Interstates 78, 80, and 95 and Routes 3, 4, and 46. The 130,000-square-foot industrial building boasts 22’ ceilings, 19 tailgates, and ample car parking. The building’s supreme location coupled with ideal flexibility for a wide range of industrial uses made it a rare acquisition opportunity in the current market.
“We continue to see a surge in industrial acquisition activity in the New York City area as available industrial space has been all but spoken for over the past several quarters,” said Todd. “As a result, deals of this size have become increasingly rare and expensive in this type of market. For sellers, although this can be highly advantageous, it can also be overwhelming and quite complex. We were able to leverage our deep expertise in this market and our full suite of commercial real estate services to negotiate a deal on behalf of our client that ensured they received fair market value for this rare asset.”
The sale of 7300 West Side Avenue marks Perkins’ and Todd’s second recent deal on the street as they negotiated the sale and leaseback of 7777 West Side Avenue in 2017.
Following the successful sale of 7300 West Side Avenue, Perkins, James and Todd, will be joined by their colleagues Tom Vetter, SIOR and Jeff DeMagistris, SIOR as the new exclusive leasing brokers for the 130,000-square-foot building.
Standing at 93,746,494 square feet, the Meadowlands industrial submarket continues to stand out as one of northern and central New Jersey’s most competitive and highest priced markets. The strength of the market is exemplified by its 3.1 percent vacancy rate and record-high price per square foot of $10.42, the highest in the region. The pricing represents a $1.22 increase from Q3 2018 and a $2.91 increase from Q3 2016.
Kristen Jost, Research Analyst at NAI Hanson added, “With just over 600,000 square feet of industrial space under construction in the Meadowlands right now, it does not appear that the market’s space shortage shows any sign of abating in the near future. Coupled with ever-increasing demand, pricing will continue to rise and place sellers in a highly advantageous position moving forward for the foreseeable future.”
For more insights on the northern New Jersey industrial market, please download NAI James E. Hanson’s 3Q 2019 Northern and Central New Jersey Industrial Report, which highlights market trends and key data in the industrial asset class throughout the region.