Marcus & Millichap Closes $46 Million Retail and Office Portfolio Sale with Horizon Equities
January 19 2023 - 8:39PM
Business Wire
Marcus & Millichap (NYSE:MMI), a leading commercial real
estate brokerage firm specializing in investment sales, financing,
research and advisory services, announced the sale of the Ocean
County Middle Market Portfolio, a 10-property, 310,023-square-foot
retail and office portfolio in the Ocean County, New Jersey
townships of Toms River and Brick. The portfolio sold for $46
million.
“Leased to over 100 tenants, the portfolio is 70% occupied,
giving our buyer stable in-place cash flow and significant
value-add opportunity through lease up of vacant units, which will
immediately boost returns,” said Alan Cafiero, senior managing
director investments, Marcus & Millichap. “Part of the
portfolio is located in Holiday City, an area of Toms River
catering to a large population of senior citizens. The income from
this portfolio is diversified by a large number of tenants, which
mitigates risk.” Cafiero, Brent Hyldahl and Seth Goldberg of Marcus
& Millichap, along with Brad Nathanson, IPA senior managing
director investments, represented the seller, Edele Hovnanian, and
procured the buyer, Horizon Equities.
“Although Horizon Equities is a national firm, we started in New
Jersey and have 82 years of family history here,” said Joe Kotler,
founder and managing partner of Horizon. “The people of Central
Jersey matter to us and this acquisition reflects our concern. We
will continue to invest in local businesses here and work alongside
our tenants to upgrade the portfolio for mutual success.”
Minutes from Jersey Shore and near major employment centers in
Philadelphia and New York City, the properties are accessible from
New Jersey Route 37, U.S. Route 9, and the Garden State Parkway.
The portfolio benefits from strong local demographics in Toms
River, Brick, and Lakewood, densely populated municipalities in
Ocean County, where average annual household income is nearly
$100,000. The properties are in Toms River, except Yorktowne Plaza
in Brick. There are five multi-tenant retail properties, two
medical offices, two single-tenant net-leased properties, and a
property for redevelopment.
The multi-tenant retail assets are Bellcrest Plaza, a
105,000-square-foot center anchored by RWJBarnabas Health; Holiday
City Plaza I, a freestanding 37,902-square-foot enclosed shopping
mall; Holiday City Plaza II, a 37,712-square-foot strip center
anchored by Provident Bank; Holiday City Plaza III, a
43,440-square-foot strip center anchored by Ivy Rehab; and
Yorktowne Plaza, a 41,915-square-foot center 93% occupied by 22
tenants.
The medical office properties are Holiday City Medical Center,
an 18,000-square-foot office building 85% occupied by 14 tenants,
and a 6,470-square-foot, free-standing building occupied by the
United States Social Security Administration. The single-tenant,
net-leased assets are a 14,564-square-foot Rite-Aid with
approximately 6.5 years remaining on a 20-year lease term, and a
2,500-square-foot Wells Fargo with 7.5 years remaining on the lease
and two five-year renewal options. The property for redevelopment
is a 2,000-square-foot former PNC Bank with a double drive-through
and 17 parking spaces.
About Marcus & Millichap, Inc. (NYSE: MMI)
Marcus & Millichap, Inc. is a leading brokerage firm
specializing in commercial real estate investment sales, financing,
research and advisory services with offices throughout the United
States and Canada. As of December 31, 2021, the company had 1,994
investment sales and financing professionals in 82 offices who
provide investment brokerage and financing services to sellers and
buyers of commercial real estate. The company also offers market
research, consulting and advisory services to clients. Marcus &
Millichap closed 13,255 transactions in 2021, with a sales volume
of approximately $84.4 billion. For additional information, please
visit www.MarcusMillichap.com.
About Institutional Property Advisors (IPA)
Institutional Property Advisors (IPA) is a division of Marcus
& Millichap (NYSE: MMI), a leading commercial real estate
services firm in North America. IPA’s combination of real estate
investment and capital markets expertise, industry-leading
technology, and acclaimed research offer customized solutions for
the acquisition, disposition and financing of institutional
properties and portfolios. For more information, please visit
www.institutionalpropertyadvisors.com
About HORIZON EQUITIES
Horizon Equities, a NJ based real estate firm with offices in
NJ, FL and VA, was founded in 2011. Its principals have developed
or acquired over 7.5 million square feet of commercial real estate
and over 100 residential rental properties spanning the Northeast
and Southeast.
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version on businesswire.com: https://www.businesswire.com/news/home/20230119005950/en/
Gina Relva, VP of Public Relations
Gina.Relva@marcusmillichap.com
Marcus and Millichap (NYSE:MMI)
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