Cushman & Wakefield Completes $16.05 Million Sale of Hudson Gold Coast Apartments
PALISADES PARK, N.J., Feb. 3, 2014 - Commercial real estate services firm Cushman & Wakefield has orchestrated the sale of Madison House, a 48-unit luxury apartment property at 411 E. Brinkerhoff Ave. in Palisades Park. The $16.05 million sale price factors out to nearly $334,375 per unit.
Cushman & Wakefield's Metropolitan Area Capital Markets Group (CMG) team of Andrew Merin, David Bernhaut, Gary Gabriel, Brian Whitmer, and Ryan Dowd represented the seller, Madison House Holdings, a Blumberg & Freilich Equities affiliate, and identified the buyer, a Manhattan-based privately held real estate firm. The CMG team in conjunction with John Alascio of Cushman & Wakefield's Equity, Debt and Structured Finance Group arranged the financing for the buyer.
"This opportunity attracted a great deal of interest from both multi-family investors as well as condominium converters. It is encouraging to see that segment of the market start to make a comeback," said Whitmer.
Completed in 2011, the community has upscale condominium-quality features such as granite countertops, stainless steel appliances, hardwood floors, and in-unit washers and dryers. The property was 96% occupied at closing, offers a mix of one- and two- bedroom units averaging 1,049 square feet, a two-level parking deck, and 2,400 square feet of street level retail.
Located in Bergen County, just five minutes from New York City via the George Washington Bridge and two miles from a water ferry terminal, Madison House is situated in the Hudson Gold Coast submarket. "The Gold Coast has proven to be one of the fastest appreciating and most liquid apartment investment markets in the New York tri-state region," said Whitmer.
"Because this is a recently constructed luxury community in a borough whose residential stock averages 60 years old, this offering was particularly attractive for potential investors due to being able to offer a differentiated and attractive product," said Whitmer. "Another factor is that the local area lacks an abundance of rental housing options, with two-thirds of the inventory being owner-occupied."
"This building is also unique in size and scale because of the difficulty in assembling land parcels in mature, infill markets such as Palisades Park, coupled with the ability to obtain development approval for a 100 percent market-rate, non-age-restricted rental community," said Whitmer.
Based in East Rutherford, N.J., Cushman & Wakefield's Metropolitan Area Capital Markets Group specializes exclusively in investment sales of office, industrial, multifamily and retail properties throughout New Jersey, New York, Fairfield County, Connecticut and Pennsylvania. The team has completed more than $17 billion worth of transactions since 2000, closing on $1.5 billion in 2013.