Multifamily Sale Sets Record for Jersey City Neighborhood
A historic 94-unit, mixed-use property in the city’s Journal Square neighborhood has sold for a sales price equating to $252,500 per-unit.
JERSEY CITY, NJ – Excelsior Equities has sold the mixed-use multifamily property, 125 Magnolia in Jersey City, NJ to Spring Management for $25 million.
The sale represents a new benchmark for the Jersey City neighborhood of Journal Square, within the elevatored/pre-war apartment building category.
Built in 1929, 125 Magnolia at Journal Square features 94 residential units and five ground-floor retail units. The property’s apartment units range from studio, one-bedroom and two-bedroom floorplans.
The midrise property is located at 125 Magnolia Ave. and is situated between West St. and Summit Ave., near the Journal Square PATH Plaza.
The transaction closed at a 4.5% cap rate and sales price that equates to $252,500 per-unit.
Gebroe-Hammer Associate’s EVP, Niko Nicolaou represented the seller and procured the buyer for the transaction. Progress Capital’s Brad Domenico served as the property’s mortgage broker.
“This building features old-world charm – complete with brick feature walls in select units – and renovated units with modern features such as stainless-steel appliances, subway-tiled baths and plank-style hardwood flooring,” states Nicolaou.
The Journal City business district and residential area has benefitted from numerous redevelopment initiatives in recent years. The area offers access to major highways, including I-78, I-95, US Route 9 and State Routes 7 and 139, as well as nearby ferry services and the Holland Tunnel.
“In just the past few years, widespread neighborhood renewal has been sparked by a wave of development surrounding the most prominent neighborhood anchor – the Journal Square PATH Center,” states Nicolaou. “This property posed an extremely rare value-add Journal Square acquisition opportunity in one of the most walkable and connected neighborhoods in the nation.”