A new luxury multi-family building in West New York recently sold for $5,210,000, with The Kislak Company announcing news of the deal.
The five-story, 13-unit building is located at 414 50th Street in West New York, Hudson County, New Jersey. Built in 2019, the sleek and modern property features a ground-level parking garage accessible by elevator with a space for each tenant. The property also has a five-year tax abatement, scheduled to expire later in 2023.
Each of the 13 homes offers approximately 1,000 square feet of living space. Unit amenities include hardwood flooring, quartz countertops, built-in AC wall units, and in-unit washers and dryers. Building amenities include an intercom and security system.
The building is located one block from the Light Rail’s Bergenline Avenue station, which connects to the Port Imperial ferry station.
Kislak vice president Davis Briones marketed the property on an exclusive basis on behalf of the seller, Palisades Plaza II, LLC. Briones also procured the purchaser, who is undisclosed. Kislak previously sold several properties to the seller, who is a developer working in North and Central New Jersey.
Mr. Briones commented, “This sale is an excellent example of the continued strong interest in new construction, cash-flowing properties from a diverse group of investors and capital sources, despite higher interest rates. Although cap rates for Class A multifamily properties have remained in the low five percent range, investors are investing in real estate for its intrinsic value and long-term capital appreciation.”
At the time of the sale, the building was 100% occupied. Even though the property is very new and a turn-key investment, the buyer has plans to add other amenities. Reflecting on the transaction as indicative of current market trends in the area, Briones further remarked: “New construction buildings in Hudson County are trading with capitalization rates ranging from 5.25 percent to 5.5. percent, most of them being financed with 60-65 percent loan-to-value with aggressive rate lock programs.”