Silverman Group Pays $183M for Multi-State Portfolio
- Feb 22, 2019
The Silverman Group has acquired an industrial portfolio of 27 properties in six states—most in the Northeast—for $183 million from Rubenstein Properties. The seller, a Little Falls, N.J.-based privately held owner and manager of industrial assets, also sold an additional property at 1055 Crossroads Blvd. in Muhlenberg Township, Penn., for $14 million to a long-time tenant.
The national portfolio, which totaled more than 5 million square feet across New Jersey, Connecticut, Massachusetts, Iowa, Indiana and Alabama, was 95.8 percent occupied by a diverse and deeply-rooted tenant roster. It includes functional and flexible warehouses as well as distribution and light industrial facilities significantly below replacement cost.
Several CBRE teams represented Rubenstein Properties in the multifaceted transaction. Brian Fiumara, Michael Hines, Brad Ruppel and Lauren Dawicki of CBRE Capital Markets’ Institutional Properties team were joined by Bill Waxman, a New Jersey-based executive vice president & leader of CBRE’s Port and Integrated Logistics Practice, and his team, alongside local CBRE professionals— Kyle Roberts, Connecticut; Morey Knutsen, Iowa; Tom Cooler, Indiana; John Reed, Massachusetts and William Wolf, Pennsylvania.
“The properties are all strategically located within infill locations in order to take advantage of consistently improving industrial leasing fundamentals and increasing demand with extremely limited supply,” Fiumara, a CBRE executive vice president, said in a prepared statement. “Rubenstein Properties’ portfolio provided the buyer with an exceptional opportunity to grow rents by capitalizing on a renewed tenant focus on population-centric, interstate-accessible last-mile fulfillment assets.”
A team of attorneys and support staff from law firm Mandelbaum Salsburg’s Real Estate practice including Barry Mandelbaum and Owen Hughes represented Rubenstein Partners. Gordon Duus of the firm’s Environmental Law practice group also provided assistance.
“The transaction involved complex contract negotiations, title and survey issues, property condition diligence, tenant issues, bulk sale and environmental compliance activities and negotiation and procurement of environmental insurance,” Mandelbaum, a founding member & chairman of the board, added.
Properties in the portfolio include:
- 10 Park Place, Butler, N.J.
- 20-21 Wagaraw Road, Fair Lawn, N.J.
- 39 Ave. C, Bayonne, N.J.
- 101 E. Main St., Little Falls, N.J.
- 114 Beach St., Rockaway, N.J.
- 1578 Sussex Turnpike, Randolph, N.J. (units two through five)
- 20, 50 and 80 Utopia Road, Manchester, Conn.
- 118 Sanrico Drive, Manchester, Conn.
- 135 Sheldon Road, Manchester, Conn.
- 428 Hayden Station Road, Windsor, Conn.
- 1901 Crossroads Blvd., Muhlenberg Township, Penn.
More Silverman deals
Last month, The Silverman Group sold a five-building industrial portfolio in West Palm Beach, Fla., to Genet Property Group for $12 million. The seller also arranged $6 million in financing for the buyer. Most of the properties were in the Fairfax Industrial Park, which was 90.4 percent leased at the time of sale.
In June, The Silverman Group hired CBRE to handle leasing of a new, 562,000-square-foot spec industrial development at the Foreign Trade Zone industrial park in Summerville, S.C. The property is located at 1334 Drop Off Drive near Interstate 26. A month earlier, the firm acquired Flamingo Commerce Center, a two-building industrial flex property with 69,094 square feet in the Sandlake Industrial Park in Riviera Beach, Fla., from Denholtz Associates for $6.9 million.
Images via Google Maps