Holliday Fenoglio Fowler, L.P. (HFF) has secured $14.9 million in financing for a 368,537-square-foot, rail-served warehouse distribution building and adjacent 16-acre development site located at 83 Stults Road in South Brunswick.
HFF worked on behalf of the borrower, a partnership between EverWest Real Estate Partners, LLC and Accordia Realty Ventures, to place the three-year, floating-rate loan through Malvern Federal Savings Bank (Malvern). Loan proceeds will be used to cover acquisition and closing costs associated with the purchase, pay for planned capital improvements to the property and used for soft costs associated with securing approvals for the development site. The property is subject to a short-term sale-leaseback with Hermann Services Inc.
83 Stults Road is located two turns off Exit 8A of the New Jersey Turnpike (Interstate 95) in the Exit 8A industrial submarket, recognized as one of the nation’s leading industrial markets. The property is in the epicenter of the Boston-Washington, D.C. corridor and is less than 40 miles from the Port of Newark/Elizabeth and Newark Liberty International Airport. Additionally, the property is 46 miles from New York City and 53 miles from Philadelphia. 83 Stults Road features a 24-foot clear ceiling height, 23 loading docks, one drive in dock and 14,745 square feet of office space. The borrower plans on subdividing the property and erecting a 200,000-square-foot warehouse on the adjacent land parcel.
The HFF debt placement team representing the borrower was led by managing director Michael Klein and senior managing director Eric Tupler.
“HFF is pleased to have secured financing on behalf of Everwest and Accordia for this acquisition,” Klein said. “8A is one of the strongest industrial submarkets in the state and we’re confident that they will do extremely well with this property. The property’s location and borrower’s experience with similar types of transactions allowed Malvern to provide a very competitive rate and a creative loan structure that will enable the borrower to easily execute its business plan during the loan term.”