Urstadt Biddle Properties Inc. acquired the Van Houten Farms Shopping Center in Passaic, NJ, for $7.1 million
Van Houten Farms is a 36,500 square foot shopping center, whose tenants include a 30,569 square foot Gala Fresh Supermarket, Valley National Bank, a local Italian restaurant and a stationery store. The purchase was funded with available cash and the assumption of a first mortgage secured by the property in the amount of $3.5 million, which bears interest at the rate of 4.64%.
The Van Houten Farms Shopping Center occupies roughly an entire block front on Van Houten Avenue, with two points of ingress/egress on each side of the center. Parking is abundant with 134 spaces, a ratio of 4.2:1,000 SF. There is an old, but well occupied, industrial area behind the property that adds foot traffic to the shopping center.
Willing Biddle, President and CEO of Urstadt Biddle Properties Inc. said, “We are pleased to add this stable, grocery-anchored shopping center to our portfolio. Our long-term plan is to enhance the appearance of the center by potentially adding a drive-thru for Valley National Bank and purchasing a small two-story building on the corner of the property to erect a retail pad. The grocer is nearing completion of an interior renovation and is considering a façade renovation in conjunction with the landlord’s renovation plan.” Zach Fox, Vice President of Acquisitions added, “This deal speaks to our ability to uncover value in every corner of our primary marketplace. Simply put, we have an experienced grocer that is appropriately sized, paying below market rent in one of the densest markets in northern New Jersey, compounded by the fact that it was an off-market transaction at a great price.”