The newly formed syndication arm of an area real estate firm has made its first two deals, closing on vacant office buildings in Newark and Hackensack that it now plans to reposition.
The firm, Alexander Anderson Real Estate Group, announced that it has launched an entity known as Alexander Anderson Capital Group. The Hackensack-based organization’s goal is to sponsor, acquire and redevelop projects in downtown areas that are undergoing a revitalization in conjunction with small or individual real estate investors.
Its first two transaction include a $300,000 acquisition of a 6,500-square-foot office building in downtown Newark. Alexander Anderson now plans to convert the vacant structure at 277 Halsey St. into new loft-style office space.
Eric Anderson, the firm’s CEO, said it has already inked one lease and “(expects) to see a lot of interest in this unique property from potential tenants such as technology firms, startups and artists.”
In its home city of Hackensack, Alexander Anderson has closed on the $395,000 purchase of a three-story commercial office building at 5 Atlantic St. The 3,600-square-foot property, which is located next to Hackensack’s new performing arts center, has been vacant for the last two years, and Alexander Anderson plans to redevelop the property into a street-level bistro with two two-bedroom apartment units on the upper floors.
Anderson, whose firm will serve as the property manager for 5 Atlantic St., said the project “is the latest example of how we like to look for creative ways to repurpose idle or empty space to create value not only for the former owner, but our investors and the surrounding neighborhood in Hackensack.”
Over the long term, the platform will target small investors “who might always have been interested in real estate but lacked the sufficient capital, knowledge or experience” to get involved in the industry, he said. The capital group is also geared toward helping clients “that might not otherwise have been able to sell their struggling or vacant property because it was not purposed in the right way or for sale.”
“It’s very exciting to be able to work alongside a group of investors for the benefit of owners interested in selling their unused property and for the betterment of their communities,” Anderson said. “It really is a win-win-win situation.”
He alluded to another area where the firm is seeking opportunities, noting that it recently opened a Hudson County office “with an eye toward redevelopment in Journal Square and the surrounding area.”
By Joshua Burd January 6, 2017