Partnership buys 118,000 SF Newark office building.

A joint venture between the IDT Corporation (NASDAQ: IDTI) and Kushner Companies, has acquired a 118,000-square-foot, six-story office building at 494 Broad Street in Newark, New Jersey. The partnership purchased the building from the Catholic Community Services.

The United States Postal Service currently occupies 35,000 square feet on the second and third floors of the building. Approximately 61,000 square feet is available for immediate occupancy.

Located at the northern end of Broad Street in the Washington Park District, 494 Broad Street is strategically situated in one of the busiest commercial centers in Newark.

The immediate neighborhood features a mix of upgraded commercial properties, retail and office buildings, as well as apartment communities. In addition, the Newark Bears' minor league baseball stadium is located just north of the property.

The building was renovated during the past two years, with a new roof installed and four new furnaces added. The property is fully equipped with sprinklers and has parking facilities that accommodate up to 200 cars. Floor plates total 16,000 square feet.

Acquisition Represents IDT Corporation's and Kushner Companies' Ongoing Commitment to Newark.

The acquisition of 494 Broad Street represents IDT's second real estate transaction and Kushner Companies' third venture in Newark in the past five years.

Kushner Companies initially purchased the 484,000-square-foot 520 Broad Street building in 1999 from Mutual Benefit Life, a transaction valued at approximately $10.5 million. Subsequently, IDT Corporation leased the entire structure on a long-term basis. The activity has been credited as one of the key catalysts in the renaissance of Newark.

In 2000, Kushner Companies entered into a joint venture partnership with Manhattan-based Blackacre Capital Management, LLC to become operating partner for The Military Park Building, a 230,000-square-foot office tower at 60 Park Place.

The diversified real estate company invested more than $5 million in capital improvements at the property in 2001, restoring the prominence of this historic Newark landmark.

Since its involvement in the building, Kushner Companies has leased more than 100,000 square feet to a variety of tenants, which has had a positive impact on the neighborhood.