Mall Developer Buys 39 Hoboken Properties for $200 Million
Federal Realty, a firm that specializes in the redevelopment of retail-based properties in markets from D.C. to Boston as well as San Francisco and Los Angeles, has reportedly purchased 39 Hoboken properties for the sum of $200 million. The Jersey Journal‘s Terri West reports that many of those properties are Washington Street storefronts.
According to their website, “Federal Realty’s mission is to deliver long term, sustainable growth through investing in densely populated, affluent communities where retail demand exceeds supply. Its expertise includes creating urban, mixed-use neighborhoods like Santana Row in San Jose, California, Pike & Rose in North Bethesda, Maryland and Assembly Row in Somerville, Massachusetts. These unique and vibrant environments that combine shopping, dining, living and working provide a destination experience valued by their respective communities.”
Here in New Jersey, their portfolio includes Brick Plaza, Ellisburg Shopping Center (Cherry Hill), Mercer Mall (Lawrenceville), The Grove at Shrewsbury, and Troy Hills Shopping Center (Parsippany).
The 278,879-square-foot portfolio was reportedly acquired over the course of 30 years and includes storefronts such as CVS, Honeygrow, Chipotle and Sephora. According to records, a Ewing, NJ-based group called SRI-WSA Properties II, LLC was connected to the properties.
“We’re very bullish on Hoboken as it continues to mature and find favor among NYC commuters, especially given its proximity to the increasingly important West Side of Manhattan and the $25 billion (plus) Hudson Yards development,” Federal Realty Investment Trust CEO Donald Wood told The Jersey Journal. “This exciting joint venture creates a highly productive business development arm for us in Hudson County.”
Hoboken’s chief thoroughfare, Washington Street was named the best downtown in North Jersey, as recently as 2014. However, a long-term lapse in maintenance was followed by a tourniquet of road work overruns on the city’s primary commercial artery that cut off the flow of economic lifeblood to retail and hospitality in the Mile Square City.
Hoboken has responded to the arduous commercial climate by creating a Special Improvement District (SID), intent upon boosting economic development and ongoing capital improvements to restore the polish on what was once the jewel of Hudson County’s main drags.