MCB Real Estate, a Baltimore-based institutional commercial real estate investment management firm with nationwide holdings, announced Tuesday that it has purchased a vacant 368,000-square-foot industrial property in Howell Township for $69.9 million.
The building is located at 400 Fairfield Road.
A full building lease was signed at the closing with an undisclosed third-party logistics company with operations in California and New Jersey.
MCB Principal and Chief Investment Officer Mike Trail was pleased that the transaction took just three months to complete, saying it was a testament to the MCB team’s efficient execution capabilities — and the demand in the market.
“Demand for quality industrial product remains strong despite headwinds in capital markets,” he said. “We are still seeing opportunities to create value, even in stable mature markets like northern New Jersey. Acquiring vacant buildings with a tenant in tow is a tried-and-true MCB value creation strategy.”
The building’s tenant also found the location to be extremely attractive, Trail said.
It’s 20 minutes from Interstate 95, but the 16-mile distance means this warehouse’s $190 per square foot is significantly lower than similar properties immediately near the interstate, which are valued at over $200 PSF, Trail said.
The U.S is home to the world’s largest 3PL market and, as of 2023, the nation’s 3PL industry generated nearly $300 billion. Experts predict the industry will continue to grow, adding another $120 billion in revenue by 2028.
