The sale was coordinated for BASF by Cushman & Wakefield's Robert Donnelly Sr., David Bernhaut and Robert Donnelly Jr. C&W has also been given the exclusive to lease the now-vacant complex. BPG Properties' vice president Christopher J. Locatell was the in-house broker for the buyer. "The offering drew significant interest from both the corporate and investment communities," according to Donnelly Sr.

The sale price was not disclosed. And while it may have drawn a fair amount of interest, industry sources with knowledge of the transaction tell GlobeSt.com that the asset and its 97-acre site traded for just $50 million, or just about $53 a foot. As reported by GlobeSt.com, the complex was first listed in late 2003 with an asking price of $195 million.

"The price was in the neighborhood of $50 million, given the funds that will have to be spent to reposition the building, tenant work, carry, etc.," according to an industry source. Officials of BASF could not be reached for comment. The property consists of five interconnected class A buildings and nearly 2,500 parking spaces. Built between 1994 and 1998, it also carries additional development rights.

"The acquisition furthers our strategy of creating value by acquiring and repositioning well-located surplus real estate assets," says Locatell, who will also oversee the repositioning. "The property's quality and size in the Northern New Jersey market makes this an excellent acquisition."

Capital improvements will include an overhaul of the complex's common areas, main lobby and landscaping. The property will be managed by BPG Management Co. LP. And as far as filling it, "it will be marketed to tenants seeking blocks of 150,000 sf or greater," Locatell says. "We believe this property will be one of the best leasing opportunities in Northern New Jersey."

The space became surplus in late 2003 when BASF Corp., the North American affiliate of Germany's BASF AG, needed to downsize and relocate. In early 2004 the company signed a lease for 149,000 sf at the Gale Co.'s 100 Campus Dr. in Florham Park, and later that year took another 96,000 sf at 333 Mount Hope Rd. in Rockaway Township before completely vacating the 3000 Continental Dr. North location.

Instant Insights /

BPG Buys 950,000-SF Former BASF HQ

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