Dealmaker: JLL Arranges $39M for New Jersey Warehouse Acquisition

(333 North Street, Teterboro, N.J.)

JLL Capital Markets, Chicago, arranged $39 million in acquisition financing for 333 North Street, a warehouse and distribution facility totaling 221,448 square feet in Teterboro, N.J.

JLL represented the borrower, a joint venture between The Hampshire Cos., Morristown, N.J., and Invesco Real Estate, Dallas. It placed the fixed-rate loan with Nationwide, Columbus, Ohio.

The property occupies 8.3 acres in the Meadowlands, one of the country’s largest industrial markets with a sub 2% vacancy rate. It is fully leased to Fashion Logistics, a third-party provider specializing in warehouse management, distribution and supply chain management services for the lifestyle and fashion industries. 333 North Street benefits from its proximity to New York City via the George Washington Bridge and access to major northern New Jersey thoroughfares including Interstate 80, the New Jersey Turnpike, Route 46 and Route 9. Newark Liberty International Airport and The Port of New York and New Jersey are also nearby.

JLL Senior Managing Directors Michael Klein, John Rose and Jon Mikula led the capital markets team representing the borrower with JLL Associate Ryan Carroll.

“Despite the current inefficiencies in the capital markets, well-located industrial properties are highly sought after by both banks and life insurance companies,” Klein said. “Nationwide’s prior experience with the sponsors and understanding of the Meadowlands industrial market allowed them to seamlessly close this loan in an accelerated timeframe with an attractive rate and prepayment flexibility.”

Mikula noted lender pipelines have fallen “and therefore [they] are very aggressively pursuing compelling investment opportunities.”