Market: Jersey City Heights, NJ
Located in the Riverview Arts District of the Heights neighborhood in Jersey City, the property includes apartments above ground floor commercial space, which was vacant at acquisition. C6 directly sourced a high quality commercial tenant and commenced lease negotiations prior to closing. Immediately following closing, C6 began demolition and fully gutted the commercial space while finalizing lease terms with the new tenant.
The 4,000 SF commercial space now serves as the manufacturing and distribution headquarters for Choc-O-Pain (http://www.chocopainbakery.com/), an established high-end French bakery with other locations in Hoboken and downtown Jersey City. The build-out also included a retail café storefront to serve the local demand of the immediate neighborhood.
The property was the first of its kind to bring new retail amenities to Palisade Avenue, paving the way for additional developers now breaking ground with other retail and residential projects along the Avenue. Re-positioning of the residential component, scheduled to begin in 2018, will bring the property to complete stabilization. The investment was capitalized through a joint venture structure with C6 and a private family office. The property is projected to yield a 24% IRR and 2.7x multiple to investors.