Acquisition is the firm’s first investment in the Cherry Hill submarket
CHERRY HILL, NJ and WEST HEMPSTEAD, NY-August 1, 2017 -GTJ REIT (GTJ), a public non-traded real estate investment trust based in West Hempstead, NY, announced today that it has acquired an industrial building in Cherry Hill, NJ. The facility is currently leased and occupied by Avalon Flooring (“Avalon”) for a fifteen-year term.
Terms of the transaction were not disclosed.
The property is a 109,700 square foot building that provides installation training and distribution for Avalon’s fourteen retail stores throughout New Jersey, Pennsylvania and Delaware. Avalon has invested in various improvements to the building including LED lighting, new racking, a new HVAC system, an upgraded fa ade and a new office build-out.
The building is located within the Cherry Hill Business Park, which consists of 31 buildings and 1.9 million square feet. The Camden County industrial market, consisting of approximately 27 million square feet, and the Southern New Jersey industrial market, consisting of approximately 85 million square feet, boast equally strong occupancy rates of 97% and 94% respectively.
In its growing portfolio, GTJ now owns 48 properties consisting of more than 5.6 million square feet.
Paul Cooper, CEO of GTJ, commented, “The acquisition of this property in Cherry Hill, NJ is part of our long-standing strategy to purchase well-located properties along the Northeast corridor, with superior risk-adjusted returns. We believe the property’s key location off of Interstate 295 and Exit 4 of the New Jersey Turnpike, combined with Avalon’s upgrades and improvements, make this an appealing property for our first investment in southern New Jersey.”
Louis Sheinker, President and COO of GTJ added, “We are pleased to add this property to our growing portfolio and look forward to further expanding our footprint in New Jersey. We will look for similar investment properties in the surrounding tri-state area that have attractive lease terms, appropriate rent levels and large, stable corporate tenants in the near future.”
About GTJ REIT
GTJ REIT is a fully integrated, self-administered and self-managed, public, non-listed REIT engaged in the acquisition, ownership, and management of commercial real estate in the Northeast and Mid-Atlantic areas. For more information, please see www.gtireit.com.
Ben Zimmerman, GTJ REIT
Melissa Sheer, Kent Place Communications