ROCHELLE PARK, NJ—A structured joint venture between TAK Group and Bergman Real Estate Group has acquired a 218,500-square-foot, multi-tenant office property at 365 West Passaic Street, Rochelle Park, NJ. Colliers International brokered the off-market sale of the class A office asset by Onyx Equities and Garrison Investment Group. The sale price was $16.8 million, or $79 per square foot, according to Real Capital Analytics.
“This is a well-located, quality office property with significant upside potential via lease-up of its available space,” says Jacklene Chesler of the Colliers investment team. “The price provides the new buyer with an attractive opportunity to leverage its value-add position.”
The five-story building offers a full-service café, vending, building Wi-Fi, bike storage and ample parking. The property is a half mile from the Garden State Plaza mall, and is near the Garden State Parkway, I-80, and routes 46, 17, and 4.
The Colliers' investment sales team led by Chesler, including Patrick Norris, Matthew Brown and Angelo Vitale, represented the seller and procured the buyer for 365 West Passaic Street. Chesler and Norris helped to arrange bridge debt to ensure the transaction's timely closing.
Onyx and Garrison initially purchased the asset in September 2017 as part of a Bergen County portfolio acquisition from Mack-Cali Realty Corporation. The property is 77-percent occupied by tenants from the retail, healthcare, financial services, engineering, transportation and other professional services sectors.
“We are extremely excited about our purchase due to the attractive location within the strong Bergen County submarket and proximity to major thoroughfares and New York City,” says Kenny Desai, president of TAK Group. “We plan to execute a substantial capital improvements strategy, including lobby, café and amenity renovations to enhance the quality of the asset and the tenant experience.”
Bergen County remains a prime target for the office investment community. The region is a long-time darling for corporate space users, offering an average household income of nearly $120,000; a deep white-collar labor pool; and abundant retail, entertainment and hospitality amenities.
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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].
