HFF closes $368 million sale of 6-property, Class A office portfolio in Northern New Jersey

Sale of One of Six Class A Office Properties Brokered by HFF in Northern New Jersey

 

Jose Cruz

FLORHAM PARK, NJ –– Holliday Fenoglio Fowler, L.P. (HFF) announced it has closed the $368 million sale of a portfolio of six, Class A office properties totaling 1.1 million square feet in Northern New Jersey.  This sale represents one of the largest office portfolios to ever trade in the state.

HFF marketed the property exclusively on behalf of the seller, RXR Realty, and procured the buyer, Mack-Cali Realty Corporation.

The 91-percent-leased portfolio comprises 51, 101 and 103 JFK Parkway in Short Hills and 1, 3 and 7 Giralda Farms in Madison.  Notable tenants include KPMG, Wells Fargo, Merrill Lynch, UBS, Dun & Bradstreet, Investors Bank, Citibank, Franklin Mutual Advisors, Pfizer and Prudential. 

All of the properties are located in the high growth Route 24 Corridor, which is close to the affluent residential communities of Millburn, Summit, Livingston, Chatham and Florham Park. 

Additionally, the properties benefit from a strong retail amenity base including The Mall at Short Hills, the downtown areas of Morristown, Madison and Summit and the retail offerings along Route 10. 

Kevin O'Hearn

The HFF investment sales team representing the seller was led by senior managing director Jose Cruz, managing director Kevin O’Hearn, directors Michael Oliver and Stephen Simonelli, associate director Marc Duval, executive managing director Michael Tepedino and supported by senior managing director Andrew Scandalios.

“These are the best suburban office assets in the New Jersey market and they had not traded in well over a decade,” stated Cruz.  “In particular, 51 JFK Parkway, is widely regarded as such, with significant upside in the rents.” 

“Short Hills, Madison, and Whippany lead the suburban New Jersey markets in investor demand,” added Cruz.  “The buyer performed extremely well and they will benefit from significant growth in that submarket.”

“This acquisition signifies Mack-Cali’s substantially expanded presence in the affluent Short Hills submarket—positioning us as the owner of nearly all of the Class A office space, as well as some of the most premier assets in the Madison submarket.

“This transaction exemplifies our strategy of owning only the best assets in strong markets that offer tenants state-of-the-art office spaces with a suite of first-class amenities,” said Michael J. DeMarco, Mack-Cali President.

For a complete copy of the company’s news release, please contact:

Kristen M. Murphy

Director, Public Relations

HFF | One Post Office Square, Suite 3500 | Boston, MA 02109

Main: 617-338-0990 | Direct: 617-848-1572 | Cell: 617-543-4873 | www.hfflp.com

krmurphy@hfflp.com

www.mack-cali.com.

www.rxrrealty.com.

.