LIVINGSTON, N.J., Oct. 19, 2009 – Gebroe-Hammer Associates, the region’s leading real estate investment brokerage firm, has closed four separate multi-family property transactions, valued at almost $10 million, in a one-week timeframe within the supply-constrained Northern New Jersey market. The small-to-mid-sized properties involved a total of seven buildings, 130 units and three retail shops in Essex, Union and Hudson counties.

“Properties within the 18 to 75-unit range are the backbone of the multi-family investment market right now, as demonstrated by this flurry of closing activity in such a short period of time,” said Ken Uranowitz, managing director. “Northern New Jersey is a hotbed of investment activity due to the high concentration of existing multi-family properties as well as a tenant base primarily comprised of young professionals whose lifestyle needs are driven by location and proximity to New York City and other key urban centers.”

The largest trade involved the $5.1 million disposition of three properties in Union City located at 2100-2102 and 2104-2110 Kennedy Blvd., as well as 928-930 21^st St. Uranowitz, along with Scott Callahan, vice president, represented the seller, a New Jersey-based investment group, and procured the buyer, a long-time Gebroe-Hammer client.

Built in 1913, the Kennedy Boulevard properties’ 47 units and three retail shops are located a half-block from 928-930 21^st St., a 21-unit well-maintained four-story walk-up. Just two miles from New York City via the Lincoln Tunnel, Union City is a core commuter center located one mile from the New Jersey Turnpike, four miles from the Garden State Parkway and at the junction of Routes 495, 3 and 1 and 9. Legal counsel was provided by Anthony Romano, Esq., and Larry Raiss, Esq., on behalf of the seller and buyer, respectively.

“Location and mass transit options are driving both occupancy rates and multi-family investment demand, which are interrelated, throughout New Jersey’s northern counties,” said Uranowitz. “Existing apartment buildings, which were built in the pre-war era, have become the ‘commercial real estate investment of choice’ among lenders, seasoned investors and those whose portfolios were once limited to offices, warehouses and/or shopping centers.”

In other Northern New Jersey multi-family investment strongholds, Uranowitz and Callahan also orchestrated the separate all-cash trades of 18 units at 63 and 67 Kennedy Blvd., in Bayonne (Hudson County) for $1 million as well as 22 one-bedroom units at 42 Park Ave., in Bloomfield (Essex County) for $1.55 million.

The two-building Kennedy Boulevard garden apartment complex, featuring a mix of studio and one-bedroom units, closed within 30 days of contract signing. Al Habjan, Esq., represented the seller, Bayonne Associates, LLC, and Pat Agresti, Esq., represented the undisclosed buyer.

At the three-story all-brick Park Avenue, Bloomfield, property, the buyer, 42 Park Avenue Associates, LLC, obtained a new first mortgage on the well-maintained building, which was 98 percent occupied at the time of sale. Larry Slous, Esq., and Joseph Behot, Esq., served as legal counsel for the seller and buyer.

Just to the south in the northeastern section of Union County, Gebroe-Hammer’s Joel Schwartz, executive vice president, and Stephen Tragash, sales associate, represented the seller, 511 North, LLC, and procured the buyer, a Gebroe-Hammer client, in the $1.54 million trade of 511 North Ave., a 22-unit three-story complex in Elizabeth. Legal counsel was provided by Tom Cohn, Esq., on behalf of the seller.

“As the fourth largest city in New Jersey, Elizabeth is yet another example of a transit hub market where investors are aggressively vying for multi-family properties once they come on line,” added Schwartz, who noted area occupancy rates are 97 percent.

Gebroe-Hammer Associates is the region’s dominant real estate investment brokerage firm specializing in the sale of multi-family, retail and commercial properties. In addition to its strong presence in New Jersey, Gebroe-Hammer is active throughout Pennsylvania, including Philadelphia, and New York. Clients include private owners, REITS, private equity firms and other institutional investors.

LINDEN, N.J., Oct. 16, 2009 – Cushman & Wakefield, Inc. has been named exclusive leasing agent for a newly constructed, 385,000-square-foot warehouse/distribution building at 55 Wildcat Way at Linden Airport in Linden. Noah Balanoff, Stephen Elman, and Stan Danzig of the firm’s East Rutherford, N.J., office are handling the assignment on behalf of The Morris Companies, which developed the property on spec.

The team is marketing the structure to tenants with full-building requirements. “This property is ideal for any warehouse user seeking port and New Jersey Turnpike proximity,” Elman said. “The building sits less 3.5 miles from Exit 13 and also provides the potential for rail access.”

55 Wildcat Way was designed with 36’ clear ceilings, 50 cross-docked tailgates, two drive-ins and state-of-the-art systems. “This speculative building offers true Class A accommodations,” Balanoff added. “Its tenant also will benefit from the strength and responsiveness of The Morris Companies, a northern New Jersey-based developer widely recognized for its quality product.”

According to Elman, early interest in 55 Wildcat Way reflects stepped-up leasing demand in the port region, particularly for mid-size warehouse/distribution requirements.

“During the third quarter, we saw a steady increase in demand for requirements of less than 500,000 square feet, as companies again are beginning to make forward-looking real estate decisions based on efficiency both in space and location,” he said. “Within this context, 55 Wildcat Way is well positioned competitively.”

October 15, 2009 – It seems like news headlines report daily about bankruptcies in the retail industry. What, exactly, is the fallout? This and other “tough” questions – including those asking about which landlords and tenants are most susceptible, and the impact on shopping centers – are important to address.

Regarding susceptibility, level of leverage is a key factor in the ability of both retail tenants and landlords to weather the current economic conditions. Tenants that had recently gone through a leveraged buyout likely have high debt levels that seemed justified by rosy projections of future sales growth but left little margin for error. Companies like Linens N’ Things and Drug Fair paid the price when the economy turned so suddenly and dramatically.

The situation is similar on the landlord side, with General Growth Properties as the highest profile example. The company took on a great deal of debt when it acquired Rouse. Some of this financing matured as lenders were turning off the funding spigot.

So how do bankruptcies impact shopping centers? Properties that enjoy great locations, demographics and strong leasing histories will continue to thrive regardless of economic ups and downs. Yet at other centers, the loss of an anchor or two will have a major impact on the balance of the tenants. Additionally, tenants with co-tenancy clauses tied to an anchor may have the right to lower rents until the space is refilled. The result is a significant impact on cash flow. Still, it is important to remember that not every retailer bankruptcy translates into the loss of a tenant. Many companies are simply reorganizing to shed debt and will remain in business.

Bankruptcies on the landlord side impact shopping centers with varying degrees. In some centers, tenants and shoppers likely will not notice much difference operationally. Yet in many cases, the time leading up to a bankruptcy is most likely accompanied by a shortage of cash flow. Maintenance and needed upgrades may suffer.

In other cases, the landlord may be out of the picture after turning the property back over to the lender in a foreclosure situation or to a bankruptcy trustee. This actually can have a positive effect on the center in terms of stabilization. The entity taking over responsibility most certainly does not want to see the property fall apart and will likely invest, as needed, to protect the value of the asset.

Looking at the big picture, this “weeding out” in our industry is creating some notable opportunities. Lower property values translate to attractive acquisitions for owners with significant capital. Additionally, lower rents are opening doors for tenants to take advantage of opportunities that enable them to expand, open new locations or relocate existing stores to better centers.

The current environment has created an economic adjustment that is ongoing, and we likely will see additional bankruptcies and more resulting vacancies through the remainder of this year. However, we are seeing a growing number of positive signs – in the economy in general and in retail in particular. We are signing more new leases, as well as renewals, expansions and exercised options. We just have to remember that real estate has always been cyclical and that the down portion of that cycle always ends.

PARSIPPANY, N.J., Oct. 12, 2009 – CherryRoad Technologies Inc., a leading integrator of enterprise software, has leased 18,000 square feet of space at Powder Mill Plaza III in Parsippany, announced Cushman & Wakefield, Inc. The firm recently relocated from another local site to the property at 301 Gibraltar Drive.

Cushman & Wakefield’s Jon Williams represented CherryRoad Technologies in negotiating the multi-year lease. Cushman & Wakefield’s Josh Cohen serves as exclusive leasing agent for Powder Mill Plaza III, which is owned by Powder Mill Management. Both Williams and Cohen are based at the commercial real estate services firm’s Morristown office.

This transaction, from start to finish, took less than four months. “The ownership at Powder Mill Plaza did everything in their ability to accommodate my client’s tight timeframe,” noted Williams, who has worked for several years with CherryRoad Technologies. “This high level of responsiveness was a key draw in the site selection process.”

CherryRoad provides comprehensive systems integration and consulting services that maximize enterprise performance for the public and commercial sectors. With offices across the U.S., CherryRoad is recognized for successfully combining its technology, organizational, functional and vertical market expertise into practical solutions that deliver results. The firm received the 2008 Oracle Titan Award for partner excellence in solution development and business achievement.

“CherryRoad sincerely appreciates Cushman & Wakefield’s outstanding responsiveness to our needs and the professional manner in which the company conducts business. They provided us with numerous, viable options, all of which met our unique requirements, before we selected our new Morris Plains location,” stated Jeremy Gulban, the company’s president and COO. “With its close proximity to all major highways and airports, it is one of the most desirable locations in Northern NJ. This new office offers ample space to accommodate our current as well as future needs.”

Cushman & Wakefield has served as exclusive office leasing agent for Powder Mill Plaza, a mixed-use office and retail complex, since 2005. The property includes 200,000 square feet of corporate accommodations just off Route 10. In addition to the rich amenities afforded by the adjacent, 185,000-square-foot retail component, tenants at the property benefit from ample parking and proximity to major thoroughfares including interstates 80, 287 and 78, as well as routes 24, 202 and 53.

“We strive to be the most affordable and amenity-rich office complex in Morris County,” Cohen noted. “This combination continues to attract quality tenants like CherryRoad Technologies, and we are seeing significant interest in recent months from other companies seeking value opportunities in the region.” Currently, Cushman & Wakefield is marketing spaces from 4,000 square feet at Powder Mill Plaza III.

EAST RUTHERFORD, N.J., Oct. 13, 2009 – We are pleased to inform you that Cushman & Wakefield’s office and industrial 3rd Quarter 2009 statistics for Northern and Central New Jersey have just been released. Reports can be accessed at http://www.caryl.com/clientdetails.cfm?clientid=4.

We hope that you will find this information useful. As always, Cushman & Wakefield can provide customized research numbers for specific markets and product types. The firm’s brokers and management are also available to provide expert commentary on industry trends.

Thank you for keeping Cushman & Wakefield in mind as a source for your office and industrial market coverage.

PALMYRA, N.J., Oct. 8, 2009 – Gebroe-Hammer Associates has announced the $3 million trade of River Villas, a fully leased 44-unit garden-apartment complex in Palmyra, N.J. Executive vice presidents Joseph Brecher and Joel Schwartz represented the seller, Harbour View, and procured the buyer, a long-time Gebroe-Hammer client.

“This sale reaffirms that buyers are seeking to expand their portfolios within stable multi-family investment markets, like Southern New Jersey, where rent growth persists in close proximity to employment hubs,” said Brecher. “Anytime a property of this caliber comes to market, there is a high level of interest among investors because available properties are in short supply industry wide.”

Located at 5019 Harbour Dr., on the Delaware River in Burlington County, N.J., River Villas is just 20 minutes from downtown Philadelphia and 40 minutes from Trenton. The four-building complex boasts 44 spacious two-bedroom apartments with unique floor plans in the heart of Palmyra’s historic, tree-lined neighborhood. Each unit has a private entrance, patio/balcony, washer/dryer, central air conditioning and an eat-in kitchen with pantry. Situated minutes from the Cross Tacony-Palmyra Bridge, community features include a clubhouse, swimming pool and tennis courts. Mass transit options range from SEPTA, NJ Transit and Amtrak rail lines to car and bus routes via the New Jersey Turnpike, Route 295 and Route 73.

“This property is exceptional, as indicated by its 100 percent occupancy at the time of sale, and favored among commuters and small families because of its extensive amenities,” said Schwartz, who noted the buyer has planned minor interior upgrades. According to Gebroe-Hammer, area occupancy levels are 95 percent, and average rental rates are $950.

Legal counsel for the seller and buyer was provided by Minta Kay, Esq. of New York, N.Y., and Allen Poppowitz, Esq., of Roseland, N.J., respectively.

“Performing properties like River Villas are attractive in this market because buyers are highly receptive to assuming existing mortgages, as was the case here. In today’s conservative lending environment, this provides savings with regard to new loan procurement costs and fees – not to mention additional value – if the assumed interest rate is below the current rate levels,” said Ken Uranowitz, managing director.

Uranowitz also noted there is a direct link between tenant and investor demand. “Multi-family investment is driven by a variety of factors, including a weak single-family home market that is feeding high overall occupancy rates resulting from a lack of alternative living options for in-place renters,” he said. “Other real estate classes, such as retail and office, are the most sensitive to recessionary forces. Multi-family properties are the least affected because of the need to put one’s head on a pillow at night, regardless of economic conditions. Apartment buildings remain the most resilient and reliable commercial real estate investment in today’s economy.”

Gebroe-Hammer Associates specializes in the sale of multi-family, retail and commercial properties. In addition to its strong presence in New Jersey, Gebroe-Hammer is active throughout Pennsylvania, including Philadelphia, and New York. Clients include private owners, REITS, private equity firms and other institutional investors.

STRATEGIC ALLIANCE HELPS MUNICIPALITIES MOVE STALLED REDEVELOPMENT PROJECTS FORWARD
Business Team Aids In Reviving Redevelopment During Tough Times
 
VOORHEES, N.J., Oct. 8, 2009 – From condo developments to business parks, stalled projects have left a gap in projected revenue for many cities. Moving redevelopments forward amid this recession is the goal of the multi-faceted Strategic Alliance, a group of eight professionally diverse firms, working with municipalities to jumpstart projects in today’s real estate market.
 
To reach key decision makers, Strategic Alliance members will be participating in one of Atlantic City’s largest conventions, the 94th annual conference of the NJ League of Municipalities (NJSLOM) to be held on November 17 – 19 in Atlantic City. The Alliance members will be providing an exhibit booth during the three-day event offering solutions in today’s recovering economy. The conference attracts New Jersey politicians, mayors and city administrators.
 
Whether it’s securing financing or advising on ways to build green, the Strategic Alliance acts as a single source for municipalities looking to reactivate development and redevelopment by getting them back on track. Each member firm brings a different scope of services to the table. Combined, they total a workforce of more than 500 professionals in the Tri-State and Mid-Atlantic states area.
 
‚ÄúMany projects are having difficulties because redevelopment master-plans were created for different market conditions. Unfortunately, those redevelopment plans don’t work in the current environment,‚Äù says Strategic Alliance Founder Bill Feinberg, whose firm Feinberg & Associates assists with architectural design services. The firm has been recognized as a top designer in the real estate industry, specializing in mixed-use communities and town center designs.
 
For many municipalities it’s time for a reality check, explains Doug Smolev, president of Elmsford, N.Y.-based The Marcon Group. His sales and marketing firm works with the Alliance, educating municipalities on repositioning problem projects to realize the “new reality of today’s market. We want to show towns how to reposition projects based on what’s changed in the marketplace and what works.”
 
Many members of The Strategic Alliance have been intimately involved in successful redevelopment projects including the following in New Jersey and New York:
Livingston Town Center, Livingston, N.J.
Washington Town Center, Robbinsville, N.J.
Yonkers Downtown Waterfront Redevelopment, Yonkers, N.Y.
Cambridge Crossings, Clifton, N.J.
Cambridge Heights at Nutley, Nutley, N.J.
White Plains Railroad Station Area Redevelopment, Westchester County, N.Y.
Ideally, the Strategic Alliance’s services are suited for municipalities with populations of more than 75,000 people, which have an infrastructure in place that can benefit from the Alliance’s financing resources, grant money assistance, and legal resources. “We can examine the financial components of a project and investigate various funding resources,” states Charles H. Kauffman, Jr., president of C.H. Kauffman & Associates, a Red Bank, N.J., commercial mortgage banking firm.
 
“We understand how residential communities and town centers work,” added Feinberg. “The Strategic Alliance can help municipalities re-start their stalled redevelopment plans and stimulate economic development so that they can create ideal neighborhoods where people can live, work, and play.”

NEW YORK, N.Y., Oct. 7, 2009 – Precilla Torres has been named a managing director of Manhattan-based Hudson Realty Capital LLC, one of the nation’s premier middle-market real estate fund managers. In her new role, the Westchester County, N.Y., resident will oversee Hudson’s financial advisory and capital markets activities.
 
“Given the current economic environment and shortage of liquidity, Hudson is exploring the enhancement of yield through the use of capital markets-based products, and Precilla is key to that effort,” said Sanford Herrick, managing director and co-founder of Hudson.
 
Torres possesses more than 19 years of industry experience and has held executive-level positions at Citigroup, Lehman Brothers Holdings Inc. (Lehman) and Credit Suisse. Her areas of specialization include commercial real estate securitization, large loan execution and structuring, subordinate debt structuring and distribution, and other structured products, including commercial real estate collateralized debt obligations (CDOs) and synthetics.
 
“Hudson is a well-established real estate fund manager and is recognized for its conservative underwriting and credit deployment standards,” said Torres. “I am eager to optimize Hudson’s existing credit expertise through syndications, securitization and other capital markets-based products.”
 
Since its inception seven years ago, Hudson has emerged as the nation’s premier middle-market real estate fund manager. Activities include originating, participating in, servicing, restructuring and/or acquiring high-yield, special situation debt and mezzanine loans. In addition, Hudson invests directly in real estate and the acquisition of under-performing real estate assets and other real estate-related instruments.
 
Hudson is involved in a broad range of real estate-related debt and equity investments throughout the United States. The company, which has closed more than $3.5 billion in transactions since the formation of its initial two funds in 2002, invests throughout the capital stack to generate high, risk-adjusted returns for its investors.
 
Hudson prides itself on being a Minority-Owned Business Enterprise (MBE) certified by the Empire State Development Agency (ESDA). “Hudson’s commitment to recruiting only the most talented real estate lending and investment professionals, while achieving ethnic and gender diversity at all levels, further distinguishes this firm in terms of its business model and philosophy,” added Torres.  
 
While at Citigroup, Torres was the managing director with oversight of the large-loan execution and structuring group, including its securitization program. At Lehman, she served as a lead banker on the commercial mortgage-backed security (CMBS) team, responsible for its most complex transactions and the pioneer issues of the LB-UBS fixed-rate fusion CMBS program, which became the firm’s staple securitization brand from 2000 through 2008. During her tenure, she was responsible for several landmark structural innovations in the CMBS sector that were adopted as market standards. Earlier in her career, Torres was involved with Resolution Trust Corporation (RTC) asset dispositions, liquidations and securitizations, as well as privately held non-performing portfolio purchases, workouts and dispositions.
 
A graduate of Northwestern’s Kellogg School of Management with a master’s degree in business administration, Torres earned her bachelor of science Summa Cum Laude from Ateneo de Manila University in the Philippines.

PATERSON/PLAINFIELD, NJ, Oct. 7, 2009 – Despite current economic trends, this is a very good time to buy a home, particularly in New Jersey’s cities. Affordability of newly constructed homes, coupled with low mortgage rates and a variety of state and federal programs, are providing solid incentives for potential homeowners.
 
Among these are the federal tax credit for first-time homebuyers, as well as Federal Housing Administration (FHA) mortgage assistance and New Jersey’s “Live Where You Work” incentive, encompassing low-interest mortgages and an expedited loan process. However, one of these programs is about to expire later this fall.
 
“The time to take advantage of the federal tax credit is running out,” noted Debbie Bertino, vice president of sales and marketing for P&F Management Company LLC, the developer of newly constructed, affordably priced townhome and condominium communities such as The Vistas at Great Falls in Paterson and The Monarch at Plainfield. “To qualify, a sale must close before December 1, 2009.”
 
Besides the federal tax credit of $8,000 for new home sales, both new communities have obtained FHA approval for mortgage financing assistance. Administered by FHA-approved lenders, the program offers a fixed-rate, 30-year mortgage for condominiums. Instead of the traditional 20 to 30 percent down, prospective buyers may pay as little as 3.5 percent of the cost of the home at closing.
 
“This designation makes ownership at communities like The Vistas at Great Falls and The Monarch a reality for buyers who can afford the monthly mortgage payment but might not have enough saved for a down payment,” Bertino said. “With affordability better than ever, especially for new construction, and with mortgage rates at historic lows, homebuyers have the opportunity to start building equity now.”
 
In addition, homebuyers at The Vistas at Great Falls may benefit from New Jersey’s “Live Where You Work” initiative. Residents of Paterson or those relocating to the city who also work there may be eligible for the program’s benefits. “Live Where You Work” is offered through the New Jersey Department of Community Affairs and administered by the Housing and Mortgage Finance Agency. The City of Paterson also is offering a grant of $30,000 for the purchase of a residence valued at $250,000.
 
P&F Management is currently marketing Phase II of The Vistas, a condominium and townhome community on Jasper Street comprised of 120 spacious, elegantly designed homes. Each offers a one- or two-story floor plan, with up to 1,269 square feet of living space, and high-end finishes, gourmet kitchens and balcony views of the city of Paterson as well as the Manhattan skyline. Pricing starts at $250,000.
 
Condominiums at The Monarch at Plainfield, located at 400 East Front St., meanwhile, range from 1,120 to 1,289 square feet, with pricing starting in the low $200,000s. Situated in Plainfield’s revitalized downtown area, each of the 63 upscale two-bedroom, two-bathroom units feature high-end finishes, gourmet kitchens and views of the surrounding streetscape and private courtyard garden terrace, all near shopping, dining and transportation.
 
“Both of these communities are near transportation hubs, which greatly appeals to commuters and New York renters seeking more living space for less than they are paying for monthly rent,” Bertino said. “The urban locations for both The Vistas at Great Falls, with its historic setting and tree-lined streetscape, and The Monarch, with its proximity to two major rail stations and downtown amenities, provide additional incentives for prospective buyers. Given the current federal, state and city incentives, there has never been a better time to buy a home.”
 
P&F Management, through affiliates Maplewood Homebuilders and Dornoch Holdings, is a leading owner and builder committed to urban redevelopment throughout New Jersey. The company is a multi-faceted real estate investment company specializing in the acquisition, repositioning and redevelopment of underutilized real estate assets and portfolios.
 

NEWARK, N.J., Oct. 6, 2009 – Saiber LLC has leased 4,386 square feet for a branch office at One Gateway Center in Newark, announced Cushman & Wakefield, Inc. The 60-year-old, full-service law firm is relocating its headquarters from the building to Florham Park, N.J., this fall; the new commitment at One Gateway Center maintains Saiber’s presence in New Jersey’s largest city, where it has been based throughout its history.
 
Cushman & Wakefield’s Richard Baumstein and Edward Duenas, both located at the firm’s East Rutherford, N.J., office, represented Saiber in negotiating the long-term lease at One Gateway Center. Brian Banaszynski served as in-house representative for Advance Realty, owner of the 26-story office tower, which is located in the heart of Newark’s business district and attached to Penn Station.
 
“Our roots are in Newark, and while our headquarters operation is moving from One Gateway Center, this branch office will enable us to continue serving our local client base from this prestigious address,” explained David D’Aloia, a member of the firm’s executive committee. “We are pleased to be retaining a foothold in the city that has been and will remain integral in Saiber’s future.”
Baumstein and Duenas also represented Saiber in its new headquarters commitment at 18 Columbia Tpke. in Florham Park. The firm will take occupancy in 57,571 square feet there in mid-November. Cushman & Wakefield’s relationship with Saiber spans more than a decade.
 
Saiber serves the business community with a full range of legal solutions to complex business litigation and transactions. Its clients include multi-national corporations, family businesses, professional practitioners and individuals. Saiber helps them meet their business objectives while carefully managing risk, approaching disputes with tenacity, dedication and sensitivity.

Media Contact:            Evelyn Weiss Francisco: evelyn@caryl.com, (201) 796-7788