PARSIPPANY, NJ (June 8, 2016) - Tulfra Real Estate and the Hampshire Cos. have sold 2 Cranberry Road, a 181,000-square-foot industrial building in Parsippany, NJ, for $17.5 million.
“This sale represents an example of our value-add strategy of repositioning well-located assets,” says Sonny Jumani, Tulfra’s president. “Following our acquisition of this asset, we embarked on a $2.1 million renovation, the result of which was a 100% lease-up.”
Tulfra Real Estate and the Hampshire Cos. were represented in the transaction by the CBRE brokerage team of Jeffrey Dunne, Kevin Welsh, Brian Schultz and Steve Sander. Igor Derbaremdiker, director of dispositions, represented the Hampshire Cos. in-house.
“The sale of 2 Cranberry Road highlights Tulfra and Hampshire’s completion of a successful repositioning,” says CBRE’s Welsh. “2 Cranberry’s new positioning as a premier multi-tenanted industrial asset will bode well for its long-term value.”
The building is fully leased to a range of tenants utilizing space for warehouse, light industrial, research & development, and production. The renovation in 2013-2014 included replacement of the parking lot, addition of loading docks, upgrades to the façade, utility and other plumbing improvements, enabling the divisibility to 10,000 to 20,000-square-foot units.
The lease effort was completed earlier this year with the signing of Aphena Pharma Solutions; Applechem, a cosmetic ingredient supplier; and the Germany-based IWK Packaging Systems.
2 Cranberry Road is located within Fox Hill Industrial Park providing a critical mass of light industrial and research & development uses. Situated just 1.5 miles from the I-80/I-287 interchange and highly proximate to Routes 46 and 202, the property has superior accessibility from anywhere in the New York Metropolitan Area. The Property’s location within Morris County, the 10th wealthiest county in the US, affords exposure to a highly educated labor pool required for R&D, technology, and other uses demanded in the market.
“Premium pricing for this asset played a pivotal role in Hampshire’s decision to monetize the investment at this time,” says Hampshire’s Derbaremdiker. “Considering the complexity of the deal structure, and months of negotiations with a particular private buyer group, we have successfully transacted and delivered tremendous results, achieving superior investment return on committed capital for our investors.”
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the worldís largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 52,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 370 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.
