Leading real estate firm closes historic deal for new logistics center in NJTuesday, July 11, 2017
Lincoln Equities Group LLC (LEG) and its partner, Real Capital Solutions, announced that the firm has sold a 228-acre industrial property at 171 River Road in Piscataway to the Rockefeller Group for $57 million. Formerly a brownfield site, the fully remediated property off Interstate 287 is fully entitled to build 2.4 million square feet of space for industrial distribution and light manufacturing development. The Rockefeller Group will break ground on two new buildings later this summer with an overall project cost between $225 and $250 million.
Since purchasing 171 River Road in 2014, Lincoln Equities Group and Real Capital Solutions worked closely with the Township of Piscataway to redevelop this property, which had been vacant since the 1960’s. LEG developed a site plan and secured development rights to construct up to eight buildings ranging from 250,000 square feet to 700,000 square feet, as well as new roads, infrastructure, and landscaping.
“This property closes at an important time for the state’s I-287 corridor, which is now seeing significant interest from industrial developers due to its proximity to Newark’s airport, port and rail stations,” says Joel Bergstein, president, Lincoln Equities Group. “We purchased the site at 171 River Road three years ago when most developers were focusing on the I-95 corridor, and we’re fortunate to anticipate where the state’s next wave of development would take place.”
171 River Road is located one mile from Interstate 287 (with direct access off both Exits 8 and 9), close to Port Newark/Elizabeth, and is serviceable by "F Plate" rail cars. The property is a former brownfield site that was fully remediated by Union Carbide after the shutdown of a Bakelite plastics manufacturing plant in 1939.
“The development of 171 River Road is a great example of what happens when government and private business come together with a common goal,” says Brian C. Wahler, Mayor of Piscataway Township. “Thanks to our collaboration with Lincoln Equities Group, this former brownfield site – which sat empty for decades – is now positioned to attract businesses and jobs into our community, adding to our tax base.”
The Township of Piscataway offered a Payment in Lieu of Taxes (PILOT) as an incentive to businesses and committed to completely reconstructing Baekeland Avenue, which provides access to the site from Exit 8.
“We were glad to be able to partner with Lincoln Equities, the team there is a great partner that has the local operating expertise we value,” says Marcel Arsenault, CEO of Real Capital Solutions. “We are creative entrepreneurial money with a fortress balance sheet, which allows us to work with partners like Lincoln Equities to maximize results and be a one-stop-shop for debt and equity.”
David Bernhaut of Cushman and Wakefield represented the sellers.
Lincoln Equities Group and Real Capital Solutions are actively seeking new partnerships for future redevelopment and value-add projects.