Alexander Anderson Real Estate Group has launched Alexander Anderson Capital Group, a real estate syndication arm, to sponsor, acquire and redevelop projects in downtown areas that are undergoing a revitalization in conjunction with small or individual real estate investors. As part of the launch, Alexander Anderson Capital Group has announced it has closed on two syndicated real estate transactions for projects in Hackensack, NJ, and Newark, NJ.
Real estate syndication allows investors with a common purpose or vision to pool capital to invest in real property. As the sponsor or syndicator, Alexander Anderson Capital Group finds, acquires (including obtaining the needed financing) and manages the real estate itself.
According to Eric Anderson, CEO of Alexander Anderson, “Through Alexander Anderson Capital Group, we can bring the same out-of-the-box vision for redevelopment, extensive real estate investment expertise and management experience to the small investor, who might always have been interested in real estate but lacked the sufficient capital, knowledge or experience. Alexander Anderson Capital Group now affords them access to deal flow and an opportunity to invest with professional development and management experience supporting their investment.
“At the same time, our new Capital Group can help clients that might not otherwise have been able to sell their struggling or vacant property because it was not purposed in the right way or for sale,” he added.
Closes Two Sales in Cities Undergoing Renewal
In the first deal, Alexander Anderson Capital Group closed on a $300,000 transaction for a 6,500 s.f. vacant office building located at 277 Halsey Street in Downtown Newark’s business improvement district. Alexander Anderson will convert the vacant structure into new loft-style office space.
“We already have signed an escape room tenant and expect to see a lot of interest in this unique property from potential tenants such as technology firms, startups and artists,” noted Anderson.
In addition, Alexander Anderson Capital Group closed on a $395,000 transaction for a three-story commercial office building located at 5 Atlantic Street in Hackensack, NJ. The 3,600 s.f. property, which is located next to Hackensack’s new Performing Arts Center, has been vacant for the last two years. Alexander Anderson plans to redevelop the property to feature a bistro on the ground floor and two two-bedroom apartment units on floors two and three. Each 1,200-s.f.unit will be located on its own floor and feature its own entrance. Alexander Anderson Real Estate Group will also serve as the property manager for 5 Atlantic Street.
“This project is the latest example of how we like to look for creative ways to repurpose idle or empty space to create value not only for the former owner, but our investors and the surrounding neighborhood in Hackensack,” noted Anderson.
“Alexander Anderson has been keenly focused on redevelopment in areas undergoing an urban renewal. Specially, we have long been active in Hackensack’s renaissance and recently expanded our Hudson County office presence with an eye toward redevelopment in Journal Square and the surrounding area. It’s very exciting to be able to work alongside a group of investors for the benefit of owners interested in selling their unused property and for the betterment of their communities. It really is a win-win-win situation.”Related Articles: