Dov Hertz Sells Staten Island Industrial Site for $167 Million

• DH Property Holdings has sold roughly 53 acres at 1800 and 1900 South Avenue in Staten Island to Jadian Capital for $167 million.
• The transaction is being described as the largest industrial outdoor storage sale in New York City history.
• Hertz acquired the two properties separately in 2020 and 2021 for a combined $79 million and invested about $10 million in capital improvements.
• Jadian plans to operate the property as an industrial outdoor storage site, with the property fully leased to City Asphalt and IAA.

What The $167 Million Sale Means for Staten Island

Dov Hertz has completed one of New York City's biggest industrial property transactions of the year, selling a roughly 53-acre site in Staten Island's Bloomfield section for $167 million. DH Property Holdings sold the properties at 1800 and 1900 South Avenue to Jadian Capital, marking a significant exit for Hertz's industrial investment platform. According to Cushman & Wakefield, which represented the seller, the transaction is the largest industrial outdoor storage, or IOS, sale in New York City history. The site sits along Staten Island's western coast and benefits from access to regional highways, a waterfront dock and a railroad yard. Its location also provides connectivity to shipping terminals and consumer markets across New York and New Jersey.

What Jadian Capital Plans for the Property

Jadian Capital plans to maintain the property as an industrial outdoor storage facility, a type of industrial real estate used to store materials, vehicles, shipping containers and other large goods outdoors. The property is already fully leased to City Asphalt, an asphalt manufacturer, and IAA, an automotive auction company. That existing tenancy gives the buyer an operating industrial asset rather than a vacant development site. The deal also expands Jadian's presence in the Northeast. The investment firm has built a portfolio of IOS properties across multiple states, with a growing focus on markets where large, well-located industrial sites are difficult to replace.

What Hertz Invested Before The Sale

Hertz's firm acquired the two South Avenue properties separately in 2020 and 2021 for a combined $79 million. DH Property Holdings subsequently invested approximately $10 million in capital projects across the site. The property had previously been viewed as a potential development site. A plan discussed in 2021 called for a warehouse of up to 400,000 square feet, although that development did not materialize. Instead, Hertz ultimately sold the property to an investor focused on its existing industrial outdoor storage potential.

What The Sale Says About Industrial Outdoor Storage

The transaction highlights the growing value of large industrial sites in dense metropolitan areas. Industrial outdoor storage properties can be particularly difficult to assemble in New York City because of limited land availability, zoning restrictions and competition from other industrial and commercial uses. For investors, properties with large footprints, highway access, existing tenants and transportation infrastructure can offer a combination of income and long-term land value. Staten Island's location also gives industrial operators access to both New York City and New Jersey's logistics networks. Jadian's purchase reflects that strategy. The firm has been building its IOS portfolio through acquisitions across the country and has recently increased its activity in the Northeast.

What This Means for Dov Hertz

The Staten Island sale adds another major industrial transaction to Hertz's track record. He founded DH Property Holdings in 2016 after leaving Extell Development, where he was involved in major property assemblages and acquisitions. DH Property Holdings says it has developed more than 6 million square feet of infill and shallow-bay industrial properties across the Northeast. The firm's portfolio and development strategy have focused heavily on complex industrial sites in dense urban markets. The Staten Island exit also follows Hertz's previous sale of part of an industrial site in Sunset Park to FedEx for $248 million in 2024, after an earlier plan called for a 1.3 million-square-foot distribution hub. For Jadian, the acquisition adds another large IOS asset to a strategy built around less competitive areas of real estate. For Hertz, it represents a sizable return on a property acquired for $79 million and repositioned with additional capital before the sale.