NEWARK, NJ—The Aspen Companies has acquired a 50-unit HUD supported apartment building in downtown Newark, NJ for $3 million and says it will make 'aggressive' capital improvements to the property.
The three-story rental building created in a converted factory is located at 75 Lock Street next to the New Jersey Institute of Technology and just blocks from the New Jersey Performing Arts Center. The red brick mid-rise building – which is 100% occupied -- consists of a mix of one-, two- and three bedroom apartment homes.
“Newark is rallying and we believe the rebirth will only get stronger in the years to come,” says Azi Mandel, a principal of The Aspen Companies. “Panasonic has opened the first new commercial building in the downtown district in more than 20 years. The long awaited Teacher's Village, which features retail, housing and charter schools, was unveiled last fall on Broad and Market Street minutes from the 75 Lock building.”
Teaneck-based Aspen Companies is planning aggressive capital improvements to the property, including upgrading common areas, hallways and exterior, improving building systems and renovating apartments.
“We've long been active in the City ensuring that affordable housing keeps pace with the gentrifying neighborhood,” says Mandel. We purchased this unique HUD building and plan to modernize the homes and property to fit into the changing landscape. By completing key improvements and aggressively managing the property, it will become an over performing asset that benefits the entire community-at-large.”
“We focus on distressed properties in urban middle-class neighborhoods where there's a strong demand for quality housing that's also affordable,” says Adam Mermelstein, another Aspen Companies principal. “These apartment communities are exactly the type of value-added acquisition we seek. While they have been underperforming, the locations make them prime candidates to be repositioned into positive cash flow holdings. We will renovate and reintroduce them as modern apartment communities complete with all the necessary social programs and amenities that are still within the budgets of working families. By providing clean, quality housing, we expect these properties to achieve high occupancy levels.”
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Steve Lubetkin
Steve Lubetkin is the New Jersey and Philadelphia editor for GlobeSt.com. He is currently filling in covering Chicago and Midwest markets until a new permanent editor is named. He previously filled in covering Atlanta. Steve’s journalism background includes print and broadcast reporting for NJ news organizations. His audio and video work for GlobeSt.com has been honored by the Garden State Journalists Association, and he has also been recognized for video by the New Jersey Chapter of the Society of Professional Journalists. He has produced audio podcasts on CRE topics for the NAR Commercial Division and the CCIM Institute. Steve has also served (from August 2017 to March 2018) as national broadcast news correspondent for CEOReport.com, a news website focused on practical advice for senior executives in small- and medium-sized companies. Steve also reports on-camera and covers conferences for NJSpotlight.com, a public policy news coverage website focused on New Jersey government and industry; and for clients of StateBroadcastNews.com, a division of The Lubetkin Media Companies LLC. Steve has been the computer columnist for the Jewish Community Voice of Southern New Jersey, since 1996. Steve is co-author, with Toronto-based podcasting pioneer Donna Papacosta, of the book, The Business of Podcasting: How to Take Your Podcasting Passion from the Personal to the Professional. You can email Steve at [email protected].
