James Hanson II, left, president of The Hampshire Companies, and John Durso, vice president and portfolio manager
HACKENSACK, NJ—The Hampshire Companies has acquired 250 Essex Street in Hackensack, NJ, as its first Opportunity Zone investment, focusing on the development of projects in low-income urban and rural communities that have earned the Opportunity Zone designation under the new federal program. Hampshire is partnering with Paramus-based Danitom Development to redevelop the .69-acre parcel.
“Our legacy of cycle-tested investments and hands-on development approach puts us in a unique position to leverage the investment benefits offered by Opportunity Zones while working to improve our cities, towns and our local economy,” says James E. Hanson II, president and CEO of The Hampshire Companies. “Our focus within these zones will be the development of multifamily, industrial and self-storage assets along the I-95 corridor throughout the northeast.”
Previously the site of the now-shuttered Arena Diner, 250 Essex Street offers a highly-desirable location positioned directly across the street from Hackensack University Medical Center, one of the state's largest hospitals, and less than a quarter mile from NJ Transit's Essex Street Station with service to New York City via the Pascack Valley Line.
“Hackensack was quickly identified as an excellent market for us to make our first Opportunity Zone investment given its ideal location, strong local demographics, and its proximity and accessibility to mass transit,” says John Durso, vice president and portfolio manager of The Hampshire Companies. “While this project marks our first Opportunity Zone investment, we have a long history in Hackensack and are looking forward to working with the city to revitalize the site.”
Created by the Tax Cuts and Jobs Act of 2017, the Opportunity Zone program is designed to spur economic development through providing preferential tax treatment for real estate investments in areas deemed as Qualified Opportunity Zones in all 50 states. In New Jersey, the federal government has approved zones across 75 municipalities and 169 census tracts.
With more than $2.4 billion in assets under management, Hampshire's roots extend to over 95 years of proven operational performance across all asset classes. Hampshire will utilize its time-tested business and investment acumen to strategically identify sites within identified Opportunity Zones in the northeast for future development.
Greg James, director of capital markets for NAI James E. Hanson, represented The Hampshire Companies in the transaction.
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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].
