KABR Real Estate Investment Partners, LLC announced today that it has purchased the 235,000-square-foot commercial office building at 85 Challenger Road in Ridgefield Park, NJ from AIG.
KABR is a newly formed fund, founded by noted investment partners, including Chairman Kenneth Pasternak, former CEO of Knight Trading, which is dedicated to purchasing commercial and residential properties within 150 miles of the New York area.
Terms of the Class A building purchase, brokered by Cushman & Wakefield’s Metropolitan Area Capital Markets Group, were not disclosed.
“We are delighted to announce the purchase of 85 Challenger, a terrific Class A office building that came onto the market at the right time for the right price,” said Pasternak. “This marks the first of what we anticipate will be many advantageous investments. As the real estate market evolves, we anticipate building out our portfolio with a great mix of multi-family residential and commercial properties.”
The 85 Challenger building, part of the 60-acre Overpeck Centre which sits at the junction of Route 46, I-80 and the NJ Turnpike, has a historic occupancy rate of more than 90 percent. The previous owner renovated the lobby with stone flooring, wood wall paneling and designer furniture.
“We’ve already received a number of tenant inquiries because they know we can provide a better space in a better location at a better value,” said Laurence Rappaport, KABR managing partner. “That’s exactly what shareholders and CEOs are looking for in this environment.”
The mixed-use office park serves as home to such notable firms as Bank of America, Samsung and AGFA. It is the only office park in Northern New Jersey to have its own exit off the Turnpike (Exit 68). Abundant area dining and retail, mass transit access and a new Hilton Garden Inn across the street, and a 22-acre county park within walking distance add to its appeal.
“AIG made the right decision to return this building to the developer market following its foreclosure,” said Cushman & Wakefield’s Andrew Merin, who orchestrated the sale with team members Gary Gabriel, David Bernhaut and Jose Cruz. “We received 17 bids on the offering, which generated a highly competitive process, particularly considering the current investment climate.”