JLL Capital Markets secured $39 million in acquisition financing on behalf of a joint venture borrower for a fully leased, 221,448-square-foot warehouse and distribution property in the Meadowlands.

The Nationwide-provided, fixed-rate loan was announced April 4 by JLL, which arranged the funding for 333 North St. on behalf of Morristown-based The Hampshire Cos. and global real estate investment manager Invesco Real Estate.

Third-party provider Fashion Logistics, which specializes in warehouse management, distribution and supply chain management services for the lifestyle and fashion industries, occupies the 8.38-acre Teterboro property. According to JLL, the building has 22-foot clear heights, 15 dock-high doors, 11 drive-in doors, 95 parking spaces for cars and 15 trailer parking space.

The JLL Capital Markets team representing the borrower was led by Senior Managing Directors Michael Klein, John Rose and Jon Mikula, and Associate Ryan Carroll.

According to a statement from Klein, well-located industrial properties are still in demand by banks and life insurance companies, “despite the current inefficiencies in the capital markets.”

In JLL’s Fourth Quarter 2022 New Jersey Industrial Insights report, the Meadowlands region had a vacancy rate of 1.9%. Average asking rents were recorded at $20.46 per square foot for the region, above the statewide average asking rent of $15.54 per square foot. Looking ahead, the report anticipates continued rent growth, though at a more regulated pace that seen in recent years.

“Nationwide’s prior experience with the sponsors and understanding of the Meadowlands industrial market allowed them to seamlessly close this loan in an accelerated timeframe with an attractive rate and prepayment flexibility,” Klein said.

Added Mikula, “Lender pipelines are down as we start the year and therefore are very aggressively pursuing compelling investment opportunities.”

In October 2022, the Hampshire-Invesco JV secured construction financing through BMO Financial Group, with the help of JLL, to raze an existing building and develop a 111,660-square-foot Class A warehouse in the region.