The seller of the Metropolitan was Clinton Street ApartmentsLLC, a local partnership group. The transaction was arranged by ateam headed by Jose Cruz of Cushman & Wakefield's MetropolitanArea Financial Services Group, East Rutherford, which representedthe seller and procured the buyer. AEW Capital Management acquiredthe property on behalf of an institutional client, according toCruz.

"The Metropolitan is a great property in Hoboken, which hasemerged as one of the fastest growing communities in the tri-statearea," Cruz says. "Within this context, nearly two dozen bidsresulted in one of the lowest cap rates ever achieved within thismarket."

According to Cruz, the seller was looking to take advantage ofthe current market in which multifamily properties have become areal favorite among investors. The acquisition also representsAEW's initial foray into this market. "Both parties achieved theirgoals in the transaction. Clinton Street Apartments got a greatprice for the building, while AEW Capital Management got a qualityasset in a prime location that promises a significant short-termincrease in value."