KABR-Capstone grab opportunity to acquire building.
KABR Real Estate Investment Partners LLC, the real estate value-added fund and Capstone Realty Group, Inc., a Bergen County distressed debt and opportunistic buyer of real estate, announced the joint acquisition of the 130,000 s/f office building at 611 Route 46 West in Hasbrouck Heights from a Life Company.
The undisclosed all cash deal marks the second Bergen County office acquisition for KABR and the second loan acquisition for Capstone in the past six weeks.
KABR recently acquired 85 Challenger Road, Ridgefield Park from AIG and Capstone acquired a non-performing commercial real estate loan pool from a Northern New Jersey commercial bank in June, 2009.
The purchase of 611 Route 46 West marks the first collaboration of KABR and Capstone. KABR's strong balance sheet and operational expertise sheet coupled with Capstone's experience in structuring and closing note purchases combined their resources to quickly close the deal within one week of contract signing.
The well-situated and recently renovated 611 Route 46 West, next to the Hilton Hasbrouck Heights, is less than 30 minutes from midtown Manhattan, Jersey City, Newark and Westchester County, as well as the George Washington Bridge, New Jersey Turnpike, and Route 17. It is also minutes from Hackensack Hospital and the Bergen County Court House, making it a prime location for the medical and legal communities.
"The central location of 611 makes it a great asset, which can now be offered at tremendous value to tenants given our basis in the property" said Rob Friedberg, Managing Partner at Capstone Realty Group. "As the market softens, we believe we will continue to see interesting opportunities to purchase assets at significant prices below their replacement cost as well as prices significantly below recent valuations."
For KABR, 611 fit well in the portfolio's model of restructuring properties to create great values that can be passed on to tenants. "Just like our high-profile 85 Challenger Road, this fine commercial office building came at the right time for the right price," said Kenneth Pasternak, Chairman of KABR Real Estate Investment Partners LLC.
"As the real estate market evolves, we are looking forward to expanding our portfolio with an even greater mix of multi-family residential and commercial properties."
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|Title Annotation:||KABR Real Estate Investment Partners LLC; Capstone Realty Group, Inc.|
|Comment:||KABR-Capstone grab opportunity to acquire building.(KABR Real Estate Investment Partners LLC)(Capstone Realty Group, Inc.)|
|Publication:||Real Estate Weekly|
|Date:||Aug 5, 2009|
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