JV Buys $83M NJ Distribution Center
- Nov 21, 2018
ASB Real Estate Investments has partnered with Cohen Asset Management to acquire the Middlesex Logistics Center, a 570,100-square-foot, Class-A bulk warehouse-distribution facility in Edison, N.J., for $83 million. ASB made its investment on behalf of its $7.3 billion Allegiance Real Estate Fund.
Completed in 2014, the Middlesex Logistics Center is located at 85 Mill Road and is fully leased to List Logistics, a national third-party logistics and distribution company.
“It is a Class A property in one of the nation’s strongest industrial markets, located strategically at a key intersection serving the New York City area,” Brodie Ruland, ASB’s senior vice president & Northeast region head, told Commercial Property Executive. “Prime industrial properties are the bedrock for providing solid income returns to our core investors.”
Prime real estate
Located within Northern New Jersey’s Exit 10/Interstate 287 industrial submarket, the property is considered prime real estate in the area due to limited modern inventory available, therefore, its appeal to tenants is magnified. “Its strategic location near the New Jersey Turnpike and I-287 intersection is exceptionally appealing,” Ruland said. “Only about 19 percent of Northern New Jersey product is considered modern inventory.”
Being north also puts the facility closer to the majority of the New York metro’s population as well as to the Ports of Elizabeth and Newark, which ASB believes will position the asset for strong performance over the long term.
According to Ruland, the facility has all the physical characteristics tenants are seeking today, including 36-foot clear heights, wide column spacing, more than 100 loading docks with drive-in doors and ample turning radius and ESFR sprinklers. It also has parking for 190 cars and 135 trailers.
In June, ASB purchased a 10.5-acre industrial property in Miami’s submarket of Hialeah, for $24.3 million. That facility was 100 percent leased on a long-term basis to Synergy Custom Fixtures, a custom counters and fixtures manufacturer.
Image courtesy of Yardi Matrix