A three-building multifamily portfolio in Newark – comprised of 44 residential units and one retail space – sold for $5.3 million, The Kislak Co. Inc. announced May 5.
The firm marketed the portfolio on an exclusive basis with Vice President Michael Salomon leading the assignment on behalf of Blackfoot Realty 8 LLC, the seller. Senior Vice President Don Baxter and Vice President Michael Kossak represented the buyer, Feiner Properties LLC.
“The demand for ‘value-add’ apartment buildings in Essex County is extremely strong,” Kossak said in a statement. “This particular purchaser was eager to acquire properties such as these that are not always easy to find.”
The multi-story, brick apartment buildings are located at 1 and 2 Noll Place and 532 Sanford Ave. in Newark, close to each other. Their roofs, boilers and water heaters were all replaced less than 10 years ago, according to Kislak, while some units within the package include renovated kitchens and bathrooms.
1 and 2 Noll Place have 21 and 15 residential units, respectively, offering upside in rents, Kislak said. On Sanford Avenue, the two-story building has eight units and one retail space; it was fully renovated in 2017 and 2018.
According to Baxter, “Sellers are taking advantage of a perfect storm with these recent sales – a climate tempered by a lack of inventory coupled with relatively low interest rates. Investors who waited during the pandemic have cash to place in safe investments such as these. Conversely, those who purchased during the pandemic have assets that have already appreciated.
“No investment has stood the test of time like real estate, specifically, multifamily properties; and the last few years have been a perfect case study to prove this.”