Fairfalls Portfolio

FAIRFIELD, NJ – The Hampshire Companies has acquired the Fairfalls industrial portfolio, a 989,200-square-foot package of 26 industrial buildings here and two others in Little Falls, from Prologis. The purchase price was not disclosed; industry data indcate that the portfolio traded for $86.2 million.

Cushman & Wakefield‘s Metropolitan Area Capital Markets Group pulled off the deal, representing Prologis. The team of Andrew Merin, David Bernhaut, Gary Gabriel, Brian Whitmer and Kyle Schmidt accomplished the transaction.

“There was a high level of interest in the portfolio, given its location, size and rent roll diversification,” said Gabriel. “More than 150 investors executed and returned signed confidentiality agreements.”

Hampshire Cos.’ principal Rob Schmitt said the portfolio’s appeal was obvious: “Easy accessibility to the Port of Newark-Elizabeth, Manhattan and Eastern Pennsylvania, coupled with the densely populated and affluent housing available in the northern New Jersey suburbs and time-tested high occupancy, make this a highly sought location which we expect will result in growing rents and value for our investors.”

Schmitt added that his Morristown-based firm’s long-term New Jersey expertise and state-based asset management team will help optimize the financial return and value of the properties.

At acquisition, the industrial portfolio was 96% leased to 57 local and international industrial tenants with long-term leases.

Jones Lang LaSalle was the leasing agent during the transaction. Hampshire has retained the Jones Lang LaSalle leasing team of David Knee, Blake Chroman, Chad Hillyer and Jenna Imperatore as its exclusive leasing agents for the properties.

The portfolio occupies 64 acres in the suburban Essex County industrial sub-market and has easy access to major area highways, including Interstates 80, 280, 287 and Route 46.