The property is currently 100% leased on a long-term basis. A partnership headed by Martin Rappaport started construction on a spec basis in 2001 and, as reported by GlobeSt.com, quickly signed fashion house Prada to a full-building lease for a 20-year term. Prada has since subleased a portion of the building to Panalpina, a logistics company.
"This is one of the best buildings in the Meadowlands marketplace," says John P. DiCola, a partner at KTR, founded in 2004 by former execs of Keystone Property Trust. "The remaining term on the lease with Prada and the long-term stability fits well with the rest of our New Jersey portfolio, which is more than four million sf."
"The building stands out in a market with virtually no modern class A product," says KTR vice president Brian Milberg. "Long-term, the building could easily be converted into a multi-tenant building."
The transaction also marks the second building that KTR has picked up from the Rappaport-headed group in recent weeks. As reported by GlobeSt.com in June, a KTR affiliate now owns the 130,000-sf multi-tenant warehouse/office facility at 600 Meadowlands Parkway here. Approximately 85% leased to multiple tenants at the time of sale, that building traded for more than $15 million, according to industry sources, or about $115 per sf.
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