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SPRINGFIELD, NJ-Multifamily investments for small-to-mid-sized existing properties continue to rise throughout Northern New Jersey as evidenced by the recent $1.7-million trade of 45-51 Morris Ave. here. Gebroe-Hammer’s Joel Schwartz, executive vice president, and Avi Oren, vice president, represented the seller, Walker Estates Inc., and procured the buyer, a long-time Gebroe-Hammer client.

According to Oren, the transaction represents a prevailing trend for properties in the region that have been family-owned for decades. “Since being built in 1954, this complex is only being sold for the first time because the seller is retiring and relocating out-of-state,” he tells GlobeSt.com. “The 30-day closing and all-cash sale, with no contractual contingencies other than clear title, is highly unusual.”

Gebroe-Hammer reports that several factors are driving multi-family housing investments. “Well-financed investors favor existing multi-family properties that, if required or desired, can undergo upgrades to yield more competitive market-rental rates or be sustained with effective property management practices to retain high occupancy rates and quality on-site amenities,” Schwartz says.

Featuring a mix of one- and two-bedroom apartments, 45-51 Morris Ave., is a two-and-half story property with on-site laundry and parking facilities. Planned upgrades include new windows, an enhanced electrical system, new heating and air conditioning and exterior landscaping.

The area’s average rental rates are $1,000 for a one-bedroom and $1,150 for two-bedroom units, according to Gebroe-Hammer, while average occupancy rates are 90%. Legal counsel was provided by Clara Harelik, Esq., of Springfield, and Ray Londa, Esq., of Elizabeth, on behalf of the seller and buyer, respectively.

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