Newark, N.J. (June 4, 2019) – NAI James E. Hanson announces it has been named the exclusive leasing agent for a 807,401 square-foot industrial complex in the Ballantine Industrial Center at 397-447 Ferry Street in Newark, N.J. The assignment will be handled by NAI James E. Hanson’s industrial team of Russell Verducci and Eric Demmers.
Acquired earlier this year in a joint venture between Turnbridge Equities and institutional investors advised by J.P. Morgan Asset Management, the Ballantine industrial Center is situated on the site of the former Ballantine Brewery in the Ironbound section of Newark. Upon its closing in 1972, the property was repositioned as a multi-tenanted industrial property which allowed it to continue its life as a valuable economic contributor well after the brewery departed Newark. However, after years of industrial usage, the property was lacking the features and upkeep that many modern industrial users value in today’s marketplace.
Upon their acquisition of the Ballantine Industrial Center, Turnbridge and their investment partners immediately began a capital improvement program of over $10 million dollars aimed at creating a modern and flexible industrial property that better aligned with the needs of today’s industrial users. These improvements include a roof replacement, window replacement, select demolition of abandoned structures, yard and loading area repaving, and extensive aesthetic upgrades, along with Class-A, professional management. Today, the property features over a million square feet of industrial and loft space with 397-447 Ferry Street making up the bulk of the square footage at 726,525 square feet.
425 Ferry boasts three stories of multi-story industrial, and office space in a variety of configurations. Featuring ample drive-ins, 13’ ceilings, and brand-new service elevators, the building can meet the needs of a wide range of industrial uses. The Ballantine Industrial Center also is situated in an ideal location less than three miles from Port Newark with easy access to the New Jersey Turnpike, Interstate 78, and Route 280.
“The Ports submarket is one of the state’s densest and most mature industrial submarkets. Due to this, it is rare to see prime industrial space come on the market,” said Verducci. “With strong institutional ownership and experienced property management services, the Ballantine Industrial Center is a fantastic opportunity for tenants searching for a quality industrial building in one of the region’s most in-demand markets.”
With proximity to major transportation arteries, New York City and international shipping, the Ports submarket continues to stand out as one of northern New Jersey’s strongest markets. The strength of the market is most evident in the 3.7 percent vacancy rate and the $8.36 per square foot asking rate found at the end of the first quarter of 2019. The $8.36 per square foot asking rate is up $0.11 per square foot from the previous quarter. Compared to the first quarter of 2018, the rate is up $0.92 per square foot and up $1.17 per square foot from the first quarter of 2017.
“Despite trade war fears and economic uncertainty, the Ports industrial submarket continues to see record-high demand coupled with an increasingly limited supply,” added Demmers. “With a high level of competition for limited space, landlords with prime spaces like Ballantine Industrial Center find themselves in a great situation. Just like our previous leasing assignments in this submarket, we look forward to leveraging our market knowledge and experience to help our client secure quality tenants at a fair price and continuing our track record of success at this historic property.”
For more insights on the Ports submarket and a deeper look at the northern New Jersey industrial market, please download NAI James E. Hanson’s Q1 2019 Northern and Central New Jersey Industrial Report, which highlights market trends and key data in the industrial asset class throughout the region.
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