LeFrak sells Jersey City office building to HGI for $372M

A Jersey City office building has sold for $372 million, a source familiar with the transaction confirmed to ROI-NJ.

Harbor Group International bought the 866,706-square-foot property at 545 Washington Blvd. known as Newport Office Centre IV from the LeFrak Organization, according to a report in the real estate publication Commercial Observer that was confirmed by the person with knowledge of the deal.

The first published report on the deal, in Real Estate Alert, said the deal would be the second-highest price ever for a New Jersey office property, and had fallen below the $400 million mark when LeFrak opted to retain the parking component.

The deal closed earlier this month, Commercial Observer said.

According to the report:

  • Morgan Stanley provided $251 million in acquisition financing, and Barclays also participated in the financing aspect of the deal.
  • Cushman & Wakefield’s Adam Spies, Doug Harmon, Kevin Donner, Gary Gabriel and David Bernhaut represented LeFrak, while the real estate firm’s Gideon Gil, Chris Moyer, John Alascio, Emily Johansen and Noble Carpenter III secured the financing.
  • The building is 96% leased, with roughly 80% leased to two businesses, JPMorgan Chase and Insurance Services Office.