Brookfield picks up Clifton industrial complex
New Jersey warehouse-office buildings were developed in late 1980s
Some day, the inferno of industrial buying will burn out. Not today, though.
Brookfield Asset Management just threw another log on the fire, acquiring a two-building industrial complex in Clifton, New Jersey, for $25.5 million.
The alternative-asset giant has been actively investing in industrial properties in the New York metropolitan region. The firm recently closed on a deal to acquire the 57,000-square-foot Marino Plaza I at 65-75 Kingsland Avenue and the 68,000-square-foot Marino Plaza II at 125-127 Kingsland Avenue, sources familiar with the transaction told The Real Deal.
The purchase furthers Brookfield’s drive to expand its logistics portfolio in New Jersey, which comprises 5.2 million square feet across 24 assets, according to a Brookfield spokesperson.
The seller was the Marino family, who is behind Century 21 Construction, JMP Holdings, and the NJM Partnership, according to the sources and public records.
The family had developed the warehouse-office complex — which features ground-floor warehouse space with mezzanine-level offices — in the late 1980s and had remained the owner until the Brookfield sale.
The two-building complex is more than 90 percent leased and generates about $1.45 million in annual rent, according to marketing materials. Verizon is among the largest tenants.
Kassin Sabbagh Realty’s Isaac Setton, Bunny Escava and Richard Ades brokered the deal, along with NAI Hanson’s Andrew Somple. The brokers declined to comment. The Marino family did not return messages requesting comment.
Fueled by the rise of e-commerce, the industrial real estate market has been booming nationwide, a trend accelerated by the pandemic. In New Jersey, the Passaic County submarket — including Clifton — is among the hottest areas because of its proximity to New York City.
Brookfield’s recent industrial buys include one in August when the firm reportedly spent $45 million for a 15-acre former Superfund site at 125 New South Road in Hicksville on Long Island. Brookfield plans to develop two LEED-certified, Class-A distribution facilities totaling more than 300,000 square feet there.
In November, affiliate Brookfield Properties paid $45 million for a 99-year ground lease at 55 Bay Street — the site of an Amazon Fresh warehouse — in Brooklyn’s Red Hook.