(Read more on the multifamily market.)
LIVINGSTON, NJ-A portfolio of two apartment complexes totaling 192 units in two different cities has been sold for $22.25 million. The properties sold for a combined average of nearly $116,000 per unit.
The transaction was arranged by brokers from Gebroe-Hammer Associates, based here. The firm's Stephen Tragash represented the seller, identified only as “a Morristown attorney,” and Dustin Steiner brought the buyer, a local investment group, to the deal. Attorney Richard S. Kelin of Feinstein, Raiss, Kelin and Booker of West Orange represented the buyer on the legal end.
“This deal involved a number of complexities because of the properties' separate locations, as well as the changing financial market during the past few months,” Tragash says. “At the same time, the resulting sales included some record-breaking numbers.”
Those record-breaking numbers came in the form of the nearly $148,000 per unit for which the Van Ness Apartments on Van Ness Court in Maplewood traded. The sale price for the four-building, 88-unit complex was $13 million, according to Tragash, “a record amount per-unit for the Maplewood market.”
The Van Ness complex consists of 40 one-bedroom lofts and 48 two-bedroom duplexes that were 96% occupied at the time of sale. The property is located near Maplewood's commuter rail station.
The second part of the portfolio sale involves Templeton Arms at 631-649 N. Broad St. in Elizabeth. The 104-unit complex traded for just less than $9.3 million or nearly $90,000 per unit. Located near Routes 1 and 9 and an NJ Transit rail station, it was 95% occupied at the time of sale. “This is one of the city's nicest neighborhoods,” Steiner says.
“The transaction confirms the continued heated demand for multifamily properties, and it demonstrates that investors are looking for stability and asset appreciation versus other more challenging and volatile alternative investments,” says Ken Uranowitz, Gebroe-Hammer managing director. “The buyer was eager to capitalize on both properties' strong potential.”
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