LCOR, Ivy Equities and Intercontinental Real Estate Corp. Announce the Official Opening of Novo Nordisk’s U.S. Headquarters
Employees moving into the Plainsboro, NJ facility following an
extensive rehabilitation of the property
PLAINSBORO, NJ (May 29, 2013) – LCOR and Ivy Equities, in a joint partnership with Intercontinental Real Estate Corporation, have announced the official opening of Novo Nordisk’s U.S. Headquarters, in Plainsboro, NJ. Employees have begun moving into the U.S. headquarters for the Danish pharmaceutical company this month.
The Novo Nordisk Headquarters, located at 800 Scudders Mill Road, is a paramount example of adaptive re-use within New Jersey’s office redevelopment market, incorporating 95 percent of recycled material from the previous facility. Ivy Equities, LCOR and Intercontinental’s redevelopment efforts took a bold approach, creating one of the largest commercial real estate transactions in the state of New Jersey, a well thought-out and successful build-to-suit gut-renovation and a project that has brought tremendous economic growth to the state.
“It was a privilege having the opportunity to work with Ivy Equities and Intercontinental on Novo Nordisk’s headquarters,” said Kurt Eichler, Executive Vice President of LCOR. “This redevelopment project provided the opportunity for LCOR, Ivy and Intercontinental to help lead in the revitalization of New Jersey’s suburban office market and set a precedent for future redevelopment projects that will continue to promote overall economic growth in the state of New Jersey.”
“The adaptive reuse of this world class corporate campus has set a standard for how corporations can obtain modern office space in an economical and ecologically sensitive manner,” said Anthony DiTommaso, Jr., co-CEO of Ivy Equities.
In August 2011 Novo Nordisk and the joint venture lead by Ivy Equities and LCOR partnered with Intercontinental Real Estate Corporation, which provided the equity funding for the project, announced their plans to redevelop the existing office building, which was previously home to Merrill Lynch. Novo Nordisk signed a long-term lease for the entire building, with the initial phase of occupancy being approximately 563,000 sq. ft. and the option to take the balance of the space within the building at any time.
After an extensive search, the Northeast Council of Carpenters (NRCC) retained Intercontinental Real Estate Corporation to advise the union’s pension investments in a strategic program that would benefit the state of New Jersey in a substantial local construction project.
“We are honored to invest on behalf of the New Jersey building trades in a project like this that creates fair wage and benefit jobs, yes, but more importantly also drives excellent returns for their pension funds,” says Intercontinental CEO, Peter Palandjian.
In addition to NRCC’s lead investment of $75 million, the New Jersey Laborers Statewide Pension Fund, the IUOE Local 825 Pension Fund and the International Union of Bricklayers and Allied Craftworkers Local 5 Pension Fund were also participating investors, for a combined total of approximately $130 million.
A $215 million redevelopment project to completely renovate and upgrade the office building for Novo Nordisk, this deal represented one of the New Jersey’s largest commercial real estate transactions.
Ivy Equities and LCOR executed a top-to-bottom, gut rehabilitation of the 770,000 sq. ft. office building in the Princeton Forrestal Center. The teams’ redevelopment efforts stripped the vintage 1985 building to its skeletal frame, replacing the building’s façade, roof and interior. The renovated property also features state-of-the-art electrical and mechanical systems. LCOR and Ivy Equities successfully attained Silver LEED certification for the building from the U.S. Green Building Council.
This redevelopment project has brought positive economic outcome to the state of New Jersey, fostering an environment conducive to growth, business expansion and job creation. The building’s construction created approximately 500 union construction jobs for the state of New Jersey.
A perfect example illustrating that the New Jersey suburban office market holds vast potential for growth, The Novo Nordisk Headquarters is one of the few projects that has reinvigorated the New Jersey redevelopment market.
LCOR is a fully integrated real estate company with a mission to create better places to live, learn, work, travel and play. In 2012 LCOR recapitalized the company with the California State Teacher’s Retirement System and the resulting new platform, with a significant asset and capital base, is poised for strategic portfolio growth. LCOR specializes in core urban development and acquisition / redevelopment opportunities where assets can be repositioned or rehabilitated to add value. The company is a pioneer and leader in public/private development, including government spaces, aviation facilities and infrastructure. LCOR’s real estate operating and development business manages approximately 8,000 multifamily units, 7.5 million square feet of commercial space and a substantial development pipeline of mixed use real estate in core markets. Nationally, LCOR has developed more than 21,000 residential units and 18+ million square feet of commercial space. LCOR is principally focused in the eastern United States, with offices in New York City and the Washington D.C. and Philadelphia metro areas.
About Ivy Equities
Ivy Realty was founded in 1996 to acquire commercial real estate in the northern United States. Since its inception Ivy has built a reputation as one of the finest real estate operators in the tri-state market having acquired over $1 billion in commercial real estate assets. Today, Ivy Realty is a full service real estate company offering over asset management, property management, accounting, construction and leasing service.
About Intercontinental Real Estate Corporation
Intercontinental Real Estate Corporation is an SEC-Registered Investment Adviser that manages private equity real estate investments and provides real estate for domestic and international clients. Established in Boston over 50 years ago, Intercontinental has acquired, developed, managed and owned over US $6 billion of real estate assets across all property types. Presently, Intercontinental owns and manages a portfolio in excess of $2.4 billion for its clients and is actively seeking opportunities to invest in core, core plus as well as value oriented development projects.
About Novo Nordisk
Headquartered in Denmark, Novo Nordisk is a global healthcare company with more than 88 years of innovation and leadership in diabetes care. The company also has leading positions within hemophilia care, growth hormone therapy and hormone replacement therapy.