Ridgecut Road and Brennan Investment Group have landed acquisition financing and joint venture equity for an industrial outdoor storage property in Sayreville, N.J. The property traded for the property for $23.5 million. According to CommercialEdge data, the seller was American Truck & Trailer.
JLL’s Michael Klein, Matthew Pizzolato and Benjamin Morgenthal led the team that arranged both the joint venture equity and the $14 million acquisition loan, which was provided by Associated Bank, the same source indicates.
Pizzolato, managing director at JLL Capital Markets Debt Advisory, said in prepared remarks that the acquisition was an off-market transaction and a sale-leaseback deal that attracted significant interest from equity investors and lenders.
Located at 700 Jernee Mill Road, the 10-acre site has a 28,500-square-foot warehouse that was built with clear heights ranging from 24 to 28 feet, 14 drive-in doors, 6.5 acres of truck parking and industrial outdoor storage space. According to JLL, the site is highly coveted since it’s a low-coverage industrial property that offers tenants scale, while also being in a market with diminishing supply.
Being in the center of New Jersey’s Middlesex County submarket, tenants will have access to northern New Jersey’s transportation network, including the Port of Newark that’s within 35 minutes of the property. Tenants will also have direct access to Route 9 and 18, along with Interstates 95 and 287 that connect to the rest of the northeastern U.S. corridors.
Investing in Northeastern industrial assets
Ridgecut Road focuses on investing in industrial assets in select submarkets within the New Jersey and New York metro areas, with 700 Jernee Mill Road adding to the company’s portfolio of mostly warehouse, distribution, logistics, outdoor storage or low-coverage industrial properties.
Brennan Investment Group also focuses on industrial real estate investments. According to the company’s website, its portfolio as of March 2023 included 553 properties totaling 52 million square feet across 27 states. In May 2020, Brennan Investment Group acquired a three-building industrial portfolio in Pennsylvania’s Lehigh Valley. More recently, the company acquired 68 acres in Brownsburg, Ind., to develop two distribution properties, including a 580,884 square-foot cross-dock building and a 245,803-square-foot rear-load facility.