Boundary PropCo Acquires Industrial Property In Somerville, NJ For $10M
2 Boundary Road, Somerville, New Jersey 08876, United States
$10,000,000
$181/SF
Building Size
55,000 SF
Asset Type
Industrial
Closing
Sep 29, 2022
AI
Located at 2 Boundary Rd in Somerville, NJ, this industrial property has recently been sold in a closed transaction. The sale, brokered by Bryan Huber of SAB Capital, involved a buyer named Boundary PropCo and a seller named Gerber Metals. The property spans 55,000 square feet and was sold for a total price of $10,000,000, resulting in a price per square foot of $182.
Summary of transation details:
- Property Type: Industrial
- Transaction Amount: $10,000,000
- Address: 2 Boundary Rd, Somerville, NJ
- Market: Somerville, NJ
- Broker: Bryan Huber - SAB Capital
- Square Footage: 55,000
- Price per Square Foot: $182
The sale-leaseback valuations for this property remain durable, backed by rental appreciation that outweighs increasing cap rate yields. Sale-leaseback transactions provide businesses with the opportunity to unlock capital for operations, without being hindered by restricted debt covenants or diluted by equity partners. This allows for higher returns on operations compared to property appreciation.
Players
Somerville Industrial Market Snapshot
Boundary boundary · Industrial · Sale transactions
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Purchase Price
Annual NOI
Loan Amount
Interest Rate (%)
Loan Term (yrs)
Down Payment (%)
Cap Rate
1.59%
Cash-on-Cash
-0.45%
Monthly Payment
$14,164
Annual Debt Svc
$169,964
Annual Cash Flow
$-11,334
DSCR
0.93