Camber and Advance Acquire Industrial Portfolio in Allendale

Alexander Cocoziello of Advance Realty says his firm and partner Camber plan to hold the properties as a long-term investment.

Aerial view of 1-3, 5-7 Pearl Court and 59 Route 17 South, Allendale, NJ

ALLENDALE, NJ—A joint venture between Camber Real Estate Partners and Advance Realty announced today that it has acquired a seven-building, 370,000-square-foot light industrial portfolio in Allendale, NJ. Industry observers familiar with the transaction suggest the transaction price was a little more than $50 million.

The properties, 1-3, 5-7 Pearl Court and 59 Route 17 South, Allendale, NJ, are in a campus setting located directly off NJ Route 17 with easy access to the Garden State Parkway and Interstate 287, allowing tenants convenient access to the entire New York Metropolitan Area. The properties are in an infill location in supply-constrained Northern Bergen County, which boasts strong demographics.

The assets are more than 90% leased to a mix of tenants that includes credit-rated national corporations such as Stryker and Volkswagen. Camber and Advance plan to enhance property operations and make select capital improvements that will create a better tenant experience.

“The confluence of the quality and functionality of these improvements, the tremendous highway access to serve local and regional users and the high barrier-to-entry infill location are a few of the attributes that drew us to this investment,” says Dave C. Surti, principal of Camber Real Estate Partners.

The seven buildings that comprise the portfolio were built to an institutional standard between the years 1977 and 1980, with all units featuring individual entrances and dedicated loading. Ceiling heights range from 20 to 24 feet. A variety of potential configurations and divisibility make the assets suitable for an array of manufacturing, distribution, office and research laboratory uses.

“We are excited to grow our partnership with Camber on another excellent investment opportunity,” says Alexander Cocoziello, principal and managing director of Advance Realty. “It is rare that a portfolio such as this one becomes available in sought-after Northern Bergen County, and we plan to hold it as a long-term investment.”

Since its inception, Camber Real Estate Partners has assembled a portfolio consisting of nearly 1.2 million square feet across 12 buildings, in addition to completing several acquisition advisory assignments.

“This portfolio fits well with our investment strategy. These assets are irreplaceable and sit in one of the most desirable regional locations in the United States. We expect the supply and demand characteristics to yield durable cash flow over the life of our investment,” says Christopher M. Bellapianta, managing principal of Camber Real Estate Partners.

The project was marketed for sale by the New Jersey investment sales team of Cushman & Wakefield, led by vice chairman Gary Gabriel, with managing director Kyle Schmidt and assistant director Andrew MacDonald.

John Alascio, executive managing director of Cushman & Wakefield’s equity, debt and structured finance group, arranged mortgage financing with a team that included senior director Sri Vankayala and capital markets associate Noble Carpenter III.

Citizens Bank of Pennsylvania provided acquisition financing of $34.5 million. Ed Terry, senior vice president and regional commercial real estate executive at Citizens, originated the loan with a team that included vice president and commercial real estate portfolio manager Paul Carlson.