Bridge Point 15E, a to-be-constructed, Class A industrial property totaling 211,388 square feet in Newark, has $64.3 million in financing set in place, according to a Monday announcement from JLL Capital Markets, which arranged the three-year construction loan.
JLL worked on behalf of the borrower, Bridge Industrial LLC, to secure the loan through an affiliate of Heitman LLC, a global real estate investment management firm.
Located at 17 Blanchard St. in Newark, this “best-in-class” distribution center is less than a half-mile from Exit 15E of the New Jersey Turnpike and under three miles from Newark Liberty International Airport and New Jersey Port facilities. Northern New Jersey is one of the most demanded distribution locations on the Eastern Seaboard, with a market vacancy of 2%. The Port submarket is even tighter, with a 1.86% vacancy rate.
Over the last five years, demand in New Jersey’s industrial market has grown significantly due to the rise of e-commerce and continuous record-breaking container shipping volume at nearby port facilities. According to JLL’s New Jersey Industrial Insight Q4 2022, New Jersey’s construction activity reached the highest level in the market’s history.
The JLL Debt Advisory team that represented the borrower was led by Senior Managing Directors Michael Klein and Jon Mikula and Vice President Michael Lachs.
“We are pleased to have helped Bridge Industrial secure construction financing for another spec industrial development project,” Klein said. “Construction financing for spec industrial developments is challenging given current market conditions, but there is still a market for well-located projects being built by experienced developers such as Bridge.”
“This submarket is one of the most in demand locations in the country,” added Mikula.
