Jones Lang LaSalle
American Metro sale completed
Wednesday, May 10, 2006
By DARRYL R. ISHERWOOD
Staff Writer
HAMILTON -- The sale of the 450,000-square-foot American Metro office center to three area buyers was completed yesterday.
The buyers, Avenue Capital, Lincoln Equities Group and Meritage/Oppenheimer Real Estate Value Partners, bought the building from Doylestown, Pa.-based Preferred Real Estate Investments, redeveloped the former American Standard factory.
PREI purchased the land in 2003 for $9.3 million. The sale price was not disclosed.
The building is less than 50 percent occupied, according to a news release from the purchasers, but a lease for 25,000 square feet recently was signed with Quatern, a technology company serving the pharmaceutical industry.
Other companies leasing space in the building include law firm Duane Morris and advertising firm FLOORgraphics. The FBI also leases space in the building.
The project is part of the township's 1,000-acre redevelopment zone and has been under development since 2004, when PREI began turning the former factory into class A office space.
Before it closed in December 2002, American Standard porcelain bathroom fixtures were made at the sprawling plant for more than 80 years.
The township entered into a tax abatement agreement with PREI in December 2004. It continues to be controversial for some residents and school officials.
The agreement exempts the company from property taxes and instead requires payments to the township that will total about $18 million over 20 years. The bulk of the money goes directly to the township, with 5 percent going to the county.
The council last month passed a resolution agreeing to share the money with the school board in the same proportion in which property taxes are split. The school board will get about 53 percent of the money.
The tax abatement transfers along with ownership of the property, township officials confirmed last week when news of the impending sale broke.
Contact Darryl Isherwood at disherwood@njtimes.com or (609) 989-5708.
American Metro sale completed
Wednesday, May 10, 2006
By DARRYL R. ISHERWOOD
Staff Writer
HAMILTON -- The sale of the 450,000-square-foot American Metro office center to three area buyers was completed yesterday.
The buyers, Avenue Capital, Lincoln Equities Group and Meritage/Oppenheimer Real Estate Value Partners, bought the building from Doylestown, Pa.-based Preferred Real Estate Investments, redeveloped the former American Standard factory.
PREI purchased the land in 2003 for $9.3 million. The sale price was not disclosed.
The building is less than 50 percent occupied, according to a news release from the purchasers, but a lease for 25,000 square feet recently was signed with Quatern, a technology company serving the pharmaceutical industry.
Other companies leasing space in the building include law firm Duane Morris and advertising firm FLOORgraphics. The FBI also leases space in the building.
The project is part of the township's 1,000-acre redevelopment zone and has been under development since 2004, when PREI began turning the former factory into class A office space.
Before it closed in December 2002, American Standard porcelain bathroom fixtures were made at the sprawling plant for more than 80 years.
The township entered into a tax abatement agreement with PREI in December 2004. It continues to be controversial for some residents and school officials.
The agreement exempts the company from property taxes and instead requires payments to the township that will total about $18 million over 20 years. The bulk of the money goes directly to the township, with 5 percent going to the county.
The council last month passed a resolution agreeing to share the money with the school board in the same proportion in which property taxes are split. The school board will get about 53 percent of the money.
The tax abatement transfers along with ownership of the property, township officials confirmed last week when news of the impending sale broke.
Contact Darryl Isherwood at disherwood@njtimes.com or (609) 989-5708.
posted by Jones Lang LaSalle NJ News Blog at 11:09 AM
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