EAST ORANGE, NJ – Gaia Real Estate Co. and Harel Insurance Investments & Financial Services have sold a 20-story apartment tower in East Orange for $39.3 million – only two years after purchasing it for $30 million in a joint venture.
GlobeSt.com learned exclusively that the building at 320 South Harrison St. has been purchased by SDK Realty Corp., which was represented by HFF’s Jose Cruz.
Gaia’s managing partners Amir Yerushalmi and Danny Fishman said in a brief statement: “We are pleased to generate great returns to our investors by identifying this unique added-value opportunity and managing the capital improvement project and disposition.”
New York-based Gaia acquired the building in 2010 with $9 million in equity and a loan from Harel, one of the largest Israeli insurance companies. Gaia completed major improvements to the building that included conversion of commercial space to residential units, elevator and lobby improvements, and adding parking spaces. Kitchens and baths were renovated and upgraded in many units.
The operating profit at the building, most recently known as Gaia Park View, was up by 20% at the time of sale to SDK, said Yerushalmi and Fishman.
The Park View – built in 1963 and originally known as “Crescent Park, the Jewel of East Orange” – was designed by Morris Lapidus, the architect of the famed Fontainebleau Hotel in Miami Beach. It has a curved glass fa