Bergman Real Estate Group acquires 112,000 s/f office building
NEW PROVIDENCE, NJ — Bergman Real Estate Group and its affiliated company Garden State Office Properties has acquired a 112,000 s/f office building located at 121 Chanlon Rd. in New Providence, with a vehicle managed by Rialto Capital Management, a wholly owned subsidiary of Lennar Corporation. Steven Schultz of Newmark Grubb Knight Frank represented the seller, Reed Elsevier, Inc. in the transaction, while Bergman was represented by Michael Difede, director of acquisitions and Michael Brody, principal of Garden State Office Properties.
121 Chanlon Rd. is part of a two-building office complex known as the New Providence Business Campus, which has been owned and occupied by Reed Elsevier, Inc. and served as a corporate headquarters for Reed Elsevier’s LexisNexis and Martindale-Hubbell divisions. As part of a sale-leaseback transaction, Reed Elsevier consolidated into the two-story building, located at 630 Central Ave., while at 121 Chanlon Rd., Martindale LLC will continue to occupy a full floor of 35,000 s/f.
“We are very excited about this new acquisition,” said Michael Bergman, president of Bergman Real Estate Group. “This is a well-constructed, quality building that is brand new to the Summit/New Providence office market, within walking distance to the Murray Hill Train Station and nearby retail and fitness facilities.”
This purchase marks the second transaction in three months between Bergman and Rialto Capital. In August, the companies’ jointly acquired 100 Eagle Rock Avenue in East Hanover, New Jersey — a 90,000-square-foot office building. Both transactions were financed with acquisition loans provided by M&T Bank, represented by regional manager Richard Steele and
vice president Mark Zurlini.
Bergman is repositioning 121 Chanlon Rd. as a multi-tenant building. Bergman is planning to make significant capital improvements to the property, including a more prominent entrance, lobby upgrades with new lighting and furniture, and numerous other common area enhancements. Bergman has engaged Studio 1200 to design these planned improvements.