FAIRVIEW, NJ–A garden apartment building at 91 Hamilton Ave. here has been sold for $1.9 million, says Gebroe-Hammer Associates, which represented the seller and identified the buyer. Both parties in the transaction remain private. The sale does indicate that the market is strengthening for class B multifamily, says Greg Pine, senior vice president and a Bergen County market specialist for Livingston, NJ-based Gebroe Hammer. Cap rates and per-unit pricing is strengthening.

“The strong influence of Bergen County’s residential suburban character, coupled with the growing demand for a multifamily lifestyle in the current economy, offers considerable value for investors,” Pine says. “Sellers realize there is pent-up demand for apartment buildings in this area, which are driving values upwards and compressing cap rates. Meanwhile, investors realize no other alternative investment can offer a comparable combination of stable returns, with future rental upside and the tax advantages associated with multifamily ownership.”

The building, located near I-80, I-95, and Route 46, features 19 single-bedroom units. That breaks the sale down to $100,000 per unit on average. Asking prices for smaller Bergen County garden apartments now on the market range from approximately $110,000 per unit to around $120,000 per unit, according to LoopNet.