The total price tag for the property amounts to $123.5 million, and Archstone-Smith officials say the buy was funded with tax-deferred exchange proceeds from the disposition of other apartment communities, which were not specifically identified. And while Crescent Heights, an operator of condominium communities, is taking the Palisades condo, Archstone-Smith apparently has no such plans for Hudson Park.
"The Greater New York City metro area is a significant part of our long-term strategy to own apartments in highly desirable neighborhoods with expensive single-family homes and limited land availability," says R. Scot Sellers, chairman/CEO. "We will continue to pursue incremental investment opportunities here."
The complex was sold by a local partnership, Just Apartments, only three months after it officially hit the for-sale market. As reported by Globest.com, the 16-story Hudson Park was listed by brokers in early May.
Completed in 2000, the property's 302 units include 18 duplex townhome apartments, and the building is currently 98% occupied and said to be offering no concessions to potential tenants. The property also has a 125,000-sf, 469-space parking garage that is being leased on a long-term basis by Central Parking, providing an additional cash flow for the new owners.
"Hoboken is extremely attractive to young professionals drawn by the abundant entertainment and shopping opportunities, as well as the tremendous employment opportunities just minutes away," says Sellers. This city, of course, is situation directly across the Hudson River from Midtown and Lower Manhattan.
With the buy, Archstone-Smith has a total market capitalization of $11 billion, representing 247 apartment communities with more than 87,700 units. Besides metro New York, the company's core markets are Greater Washington, DC, Southern California, the San Francisco Bay area, Chicago, Southeast Florida, Boston and Seattle. Other metro New York properties include the Park Hudson and the Sonoma, both in Manhattan.
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