ROBBINSVILLE, NJ-Are buildings lovelier the second time around? Matrix Development Group has purchased 4 Applegate Dr. here, bringing the 265,014-square-foot class A warehouse site within the Northeast Business Park back into its portfolio some 13 years after building it. The price was not disclosed, but LoopNet lists the asking price as $11.925 million.
Matrix constructed the building in 1998 as a build-to suit, then sold it shortly thereafter. The facility went through numerous ownership changes that ultimately resulted in it being acquired by Allstate Investment. When Matrix saw that it was available, it leapt at the opportunity for some true value-add, says Gary Hans, Matrix Development Group’s vice president of acquisitions. CB Richard Ellis’ team of Mindy Lissner and Stacey Weinberg represented the seller.
“In 1998, it’s a modern industrial building, but its fatal flaw is its square shape,” Hans tells GlobeSt.com. In addition, it only has loading doors along its east elevation, which limits the flexibility for multiple tenant configurations. But as the original builder, Matrix knew that the problems could be rectified. “We had planned for it to be cross-docked in the future,” Hans says. “I don’t think anyone else knew about the ability to do so.”
A $1.8 million renovation will allow it to accommodate multiple tenants. The repositioning will also add a truck court and loading doors to the west elevation. Construction will begin this week, with completion in October. A solar initiative also is planned.
The result is that the building has already been leased to BudCo East Coast, a fulfillment company, which signed for 153,200 square feet and Longchamp, USA, a manufacturer of luxury handbags and luggage, which leased 55,345 square feet. Jason Goldman with Cushman & Wakefield of New Jersey, Inc. represented BudCo, and Joel Lubin with Jones Lang LaSalle represented Longchamp. Matrix was represented in-house in all of the transactions. One more space, of 56,544 square feet remains.
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