"These transactions and closing velocity illustrate that multifamily is just as hot as the record-setting temperatures we've had this summer," said Ken Uranowitz, managing director. "Values are continuing to rise at a steady, consistent pace and new inventory is slowly coming to market as more and more long-time owners are coming off the fence to sell in an environment where interest rates are at all-time lows, demand is unrelenting and looming tax increases are on the horizon."
Proximity to 24-hour transportation hubs and direct access to New York City are the leading factors attracting investors to the region's urban markets. In Hudson County, Gebroe-Hammer's market specialists orchestrated four transactions involving 117 units in Jersey City, Union City and West New York. In Elizabeth and East Orange, the firm also represented long-term clients in three sales netting $5.34 million for 76 apartment-rental units and seven ground-floor retail units. Rounding out Gebroe-Hammer's impressive pace are three sales in Paterson, two of which were short-sales totaling 33 units for $725,000, a note sale in Irvington involving 32 units for $550,000, and the trade of 28 units in Montclair.
"Multi-family properties will continue to outperform their office, retail and industrial counterparts because of a major paradigm shift in residential living in which renting is the new normal, especially in properties located within walking distance or adjacent to mass transportation. Continued economic uncertainty and strict residential mortgage underwriting are contributing to a strong tenant pool and high occupancy levels. Investors recognize these "perfect storm" dynamics and are competing heavily for every category of available product from Class A to Class C and lower. I'm doing this for 37 years and cannot remember a period of closing deals at a pace of 3 to 4 deals per week!" said Uranowitz.
Gebroe-Hammer Associates specializes in suburban and urban high-rise, mid-rise and garden-apartment properties throughout New Jersey, New York and Pennsylvania, including Philadelphia. The firm also markets mixed-use and free-standing office and retail properties on behalf of a wide range of long-term clients, including private owners, REITS, private equity firms and other institutional investors. Widely recognized for its consistent sales performance, Gebroe-Hammer is an eight-time CoStar Power Broker.