Value-Add Office Building at the Prime Interchange of I-295 and U.S. Route 1
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LAWRENCEVILLE • NJ Value-Add Office Building at the Prime Interchange of I-295 and U.S. Route 1 CONFIDENTIAL OFFERING MEMORANDUM I. 2 EXECUTIVE EXECUTIVE SUMMARY II. SUMMARY 6 PROPERTY INTRODUCTION DESCRIPTION Jones Lang LaSalle Americas, Inc. (“JLL”), a licensed real estate broker, has been retained on an exclusive basis III. to arrange the sale of Crossroads Corporate Center (the “Property”), a three-story office building located on a 12 bucolic 45-acre site in the prestigious Princeton submarket. FINANCIAL Situated directly off the prime interchange of Interstate 295 ANALYSIS and U.S. Route 1, the Property features a dramatic two-story lobby with pewter paneled walls and granite floors. The IV. building is occupied by several highly recognizable tenants including education consulting firm Kumon, United Way, 18 credit rated healthcare provider WellCare Health Plans and MARKET Penn National Insurance, which serves as the Property’s OVERVIEW anchor tenant. V. At approximately 48% occupied, Crossroads Corporate Center offers value creation potential through the lease 22 up of vacant suites, as well as strong tenant retention with LOCATION & a weighted average tenure of approximately ten years. DEMOGRAPHICS Crossroads Corporate Center features unparalleled regional accessibility, as both New York and Philadelphia can be reached in approximately one hour by car. Additionally, the Property is just 2.0 miles from NJ Transit’s Hamilton Railroad Station, which offers direct access to New York Penn Station, while the Quaker Bridge Mall is less than one mile from the Property and offers over 1 million square feet of shopping, entertainment and dining options. This offering provides an excellent opportunity to acquire a highly desirable office building that delivers an exceptional combination of location, functional utility, strong tenant retention and upside potential through the lease up of vacant space which could be accelerated through the addition of amenities as well as a re-branding campaign. 2 • EXECUTIVE SUMMARY CROSSROADS CORPORATE CENTER IS AN EXCEPTIONAL COMBINATION OF: DESIRABLE FUNCTIONAL UPSIDE LOCATION UTILITY POTENTIAL PROPERTY SUMMARY PROPERTY ADDRESS 3150 Brunswick Pike Lawrenceville, NJ 08648 LAND AREA 45.4 Acres YEAR BUILT/RENOVATED 1991/1996 NET RENTABLE AREA 100,925 SF NUMBER OF FLOORS 3 (Typical Floor plate 33,600 SF) % LEASED 48% PARKING COUNT 405 parking spaces (4.0 spaces per 1,000), with the ability to increase to 510 spaces (5.0 spaces per 1,000) FINANCING The Property will be offered free and clear of any existing debt. The JLL debt team has fully underwritten the deal and is available for consultation. EXECUTIVE SUMMARY • 3 SIGNIFICANT CREATE SHARED VALUE-ADD OPPORTUNITY TENANT AMENITIES SUCH AS: Crossroads Corporate Center offers an investor the opportunity to reposition the building and further enhance the Property through the lease up of 52,764 square feet of vacant space. Additional value could be created by potentially FITNESS CENTER transforming a portion of the unoccupied office space into a shared fitness center, conference area, or lounge to attract tenants seeking a full-service building. Such enhancements will allow the Property to benefit from the “flight to quality” CONFERENCE AREA trend of tenants in the New Jersey office market. TENANT LOUNGE CAFÉ 4 • EXECUTIVE SUMMARY 518 603 679 Lincoln Hwy 601 Raymond Rd Stouts Ln 206 KINGSTON Monmouth C Junction h 522 e Station r r y Ridge Rd H i 27 l l Brunswick Pike R DAYTON d 683 Great Rd Harrison St 1 Friendship Rd C o l l e Bayard Ln g Princeton e R Miller Rd Forrestal d PRINCETON Village E 571 629 Princeton Broadway Rd 604 614 University Forrestal Springdale Rd Campus Rosedale Rd Princeton Princeton Station University Medical Center PLAINSBORO PLAZA Dey Rd P ROSEDALE lain sboro Rd 569 Q u a k Sc e ud Petty Rd Carter Rd de r rs M il R l Rd d PRINCETON Princeton Rd JUNCTION Grovers Mill Rd PLAINSBORO 614 A Province Line Rd le x a n d e r R d 615 Mercer Rd CRANBURY MARKET FAIR 615 Cranbury Neck Rd Princeton Carnegie Junction Center Station 206 615 M Brunswick Pike e a d o WEST w NASSAU PARK R d WINDSOR 638 571 MERCER MALL 535 QUAKERBRIDGE MALL d R t s o P Clarksville Rd N 685 Quaker Bridge Rd 95 W ge Rd Villa Ba ke rs B a s Mercer in 1 County Park Rd Lake Mercer PREMIER LOCATION WITH TOP NEW JERSEY EXCEPTIONAL295 ACCESS OFFICE MARKET Crossroads Corporate Center sits in the heart of the Princeton The Property is located in the prestigious Princeton office Office Market, with a highly accessible location at the market, which is one of the strongest Class A office submarkets interchange of Route 1 and Interstate 295. In addition to these in the State and boasts some of the lowest vacancy rates highly traveled arteries, the Property is in close proximity to in New Jersey (12.4% vs. 16.8% of Northern New Jersey Interstates 95 and 195, as well as Routes 27 and 206, and is less average), according to CoStar. The submarket has attracted than five miles from downtown Princeton, less than two miles many large national and international corporations and from NJ Transit’s Hamilton Railroad Station and less than one pharmaceutical companies due to its convenient location mile from the one million square foot Quaker Bridge Mall and near major highways, superior access to a highly educated the Mercer Mall, which offers a Shop Rite and Starbucks. The labor pool and proximity to the research centers of Princeton Property is also 4.5 miles from the Princeton Junction Train and Rutgers Universities. Corporations with a major presence station, which provides convenient access to Philadelphia, in the corridor include Bank of America, Novo Nordisk, MetroPark in Iselin, Penn Station in New York City and beyond Sandoz, Siemens Corporation, Church & Dwight, Integra, via NJ Transit and Amtrak. Aecom, Covance, Bristol-Myers Squibb, Dow Jones, Munich Re, State Street Bank, NRG and BlackRock, among others. EXECUTIVE SUMMARY • 5 PROPERTY DESCRIPTION Crossroads Corporate Center is located on a 45.4-acre park-like site. It is located adjacent to the four-way interchange of Interstate 295 and U.S. Route 1 and is accessible to Interstates 195, 95 and 276, as well as Routes 206, 33 and 130. ADDRESS PARKING 3150 Brunswick Pike 405 spaces (4.0 per spaces per 1,000 SF) Lawrenceville, NJ 08648 ZONING PLAT/PARCEL NUMBER The property lies within the boundaries of the Township Block 4201, Lot 28 of Lawrenceville and is zoned LI-1, Limited Industrial 1 use. Permitted uses include offices, research and engineering LAND AREA offices, laboratories, light manufacturing, wholesale 45.4 Acres distribution and warehouses, and detached single family dwellings. FLOOD ZONE Crossroads Corporate Center is in flood zone A (1% annual chance flood event) LANDSCAPING A variety of trees, shrubbery and grass. PARKING LOT Concrete and granite curbs, brick pavers and concrete walkways. UTILITIES Sanitary Sewer: NJ American Water Co. Storm Sewer: Underground piping with onsite detection pond Domestic Water: NJ American Water Co. Electric Service: Public Service Electric & Gas Co. Natural Gas: Public Service Electric & Gas Co. Communications: Verizon, FIOS, Broadview and Comcast 6 • PROPERTY DESCRIPTION 1 BRUNSWICK PIKE 295 295 YEAR BUILT/RENOVATED NUMBER OF STORIES 1991/1996 3 stories LAYOUT & AMENITIES RENTABLE BUILDING AREA The Property is modern and functional in design, with a 100,925 rentable square feet central atrium lobby and elevator access to each floor. There is one set of men’s and women’s restrooms per floor. FLOORPLATE 33,600 PROPERTY DESCRIPTION • 7 MECHANICAL DETAIL HEATING AND COOLING The building is heated by one low pressure 1,890,000 BTUH boiler with a two-pipe circulation system providing perimeter radiation heating. Each floor is air-conditioned by a six-zone, VAV system, with two 55 ton self-contained air-cooled air handling units within mechanical rooms, for a total of six air handling units. Supply air is distributed through ductwork downstream of VAV boxes. NATURAL GAS LINE Building service is connected via a two-inch gas main located under Clarksville Road. INTERIOR DETAIL PLUMBING LOBBY The plumbing system is a combination of PVC, steel, copper Two-story center atrium with polished granite floors, brushed and cast iron piping throughout the building. One pair of pewter and polished granite wall panels and rich mahogany restrooms for men and women are situated on each floor of woodwork. the building. LAYOUT ELECTRICAL SERVICE The building is U-shaped and has a central core. 2,500 amphere, 227/480 volt, 3-phase service. Floor Covering: Ceramic tile, carpet or resilient tile. ELEVATOR SERVICE INTERIOR WALLS The building has 2 solid state controlled hydraulic passenger Painted or wall-covered sheetrock. elevators providing access to all floors of the building. ROOFING SYSTEM STAIRCASE Metal decking with mechanically fastened elastomeer single- Three, serving all floors. ply rubber membrane. The roofing system is original. FIRE PROTECTION LIGHTING The building is fully sprinklered with concealed heads and A mixture of fluorescent and incandescent light fixtures. three (3) fire hose stations per floor. The building has central station monitoring linked directly to the local fire department. SECURITY WATER SERVICE Consists of closed circuit cameras located along the roof and Distribution consists of a six-inch ductile iron pipe along within interior halls. The main entry is controlled after normal interior roads. business hours with a card key entry. SANITARY SERVICE Six-inch PVC building main connects to a municipal sewer main under Clarksville Road. 8 • PROPERTY DESCRIPTION FLOOR PLANS FIRST FLOOR - 32,633 SF VACANT FAN 2021 ROOM 2022 2023 VACANT VACANT 4,854 SF 4,968 SF SUITE: 120/120A SUITE: 130 HNTB CORPORATION 1,458 SF SUITE: 130A LXD: 11/30/21 NJCASA 4,250 SF SUITE: 160 KETTLER LXD: 8/30/23 MANAGEMENT INC.