Seven years after breaking ground on its first phase, Park Square has been acquired for $46.5 million.
Tag Archives: rental
Foreclosed Riverwalk units will become rentals
The 19 Riverwalk townhouses that went into foreclosure will be turned into rental units before the end of the year.
Englewood-based Real Estate Equities Group acquired the 19 townhouses for $111,842 each, according to property records, which works out to a total of roughly $2,124,998.
Greg Van Cleef of Real Estate Equities Group said renovations to the existing townhouses should be completed by Dec. 15. One unit was completed prior to acquisition but others only had rough work done, with plywood floors and Sheetrock. Renovations will include granite counter tops and other amenities.
Rents will range from $2,250 to $3,000, according to Van Cleef. The 19 units are two-bedrooms with a den but some have garages while others have lofts. The foreclosed units range from 1,350 to 1,745 square feet. Tax assessments range from $151,000 (one unit) to $179,300 (three units), with property taxes from a low of $9,131 to highs of $10,842. The 19 units have a total tax assessment of $3.2 million, with an average assessment of $168,437, yielding an average property tax bill of $10,186. Eight are located on Genovese Lane, another five on Hancock Street, and three each on Danchetz Court and Barnhardt Lane.
Real Estate Equities Group specializes in apartment rentals and this is their first property in Rahway, attracted by the proximity to downtown and the train station, according to Van Cleef.
More than half of the owner-occupied Riverwalk units have successfully appealed their tax assessments in recent years (about 24 in 2011 and eight in 2012). Collectively, the 86 Riverwalk units had a tax assessment of $14.4 million, yielding almost $825,000 in property taxes before appeals. The overall assessments have since dropped by 5 percent, to a total $13.6 million. About 30 units that sold have not appealed their tax assessments.
 |
| (File photo) |
The average sale price for the 68 Riverwalk units sold by the original developer was about $444,000, an aggregate sum of nearly $32 million, according to my calculations. Fewer than 10 units sold a second time, and many at significantly lower prices.
Bank Of America foreclosed on remaining unsold Riverwalk units in late 2009. Now-defunct Diversified Communities constructed a total of 86 townhomes as part of the Essex Street-area development, with many selling for $400,000 and $500,000 during the housing boom around 2006 and 2007, but 19 went unsold before the developer skipped town. The $5.255-million Sheriff’s Sale on the 19 unsold units took place Aug. 15, 2012 and was acquired by VFC Properties in Waco, Texas, a part of FirstCity Financial Corporation, which is dedicated primarily to “distressed asset acquisitions and special situations investments.” This was the first sale after the foreclosure.
Water’s Edge to begin leasing by December
Meridia Water’s Edge, a 108-unit rental complex that broke ground last year behind the library and Center Circle facility, is expected to be completed in the coming weeks.
Proposal for Lot B grows to 196 units
Developers are expected to return to the Redevelopment Agency later this year to present an updated vision for two downtown buildings proposed for Lot B on Main Street.
Proposal would put 250 units on Center Circle site
Three, five-story buildings containing almost 250 rental apartments would replace The Center Circle and reconfigure parking and access around City Hall Plaza, according to a concept plan presented to the Redevelopment Agency last week.
Continue reading Proposal would put 250 units on Center Circle site
Metro Rahway: $72k v. $265k v. $430k
The 15-year Payment In Lieu Of Taxes (PILOT) requested by Metro Rahway would be $265,000 annually, according to a revised ordinance (O-35-13) that the City Council is expected to approve tonight. The council will meet for a combined conference agenda/regular meeting at 7 p.m.
PILOT considered for Metro Rahway project
City Council is slated to approve the fourth Payment In Lieu Of Taxes (PILOT) for a new development in the last 18 months. The governing body last month introduced an ordinance for a PILOT for Metro Rahway and will have a public hearing and final vote at its meeting on Monday night.
Metro Rahway adds 13 parking spaces
A new plan for Metro Rahway will net an additional 13 parking spaces after acquiring an adjacent lot and adding a fitness center and leasing office to the original proposal. The Planning Board on Tuesday night unanimously approved an amended site plan, relaxing the parking requirements under the city’s redevelopment plan.
 |
| Building to left was acquired. |
With the addition of 20 spaces as a result of acquiring 91 W. Cherry St., a leasing office and fitness center was added to the Campbell Street side, eliminating seven spaces from the parking garage, according to Clay Bonny, managing member of Heartstone Development. He told the Planning Board that the project probably would be completed by about August 2014.
The 116-unit rental project on Campbell Street between Elm Avenue and West Cherry Street originally had about 107 on-site parking spaces in a ground-floor parking garage and another 18 on-street spaces (a ratio of 1.07 per unit). The additional 13 spaces will bring the total spaces provided to 138 (120 on-site), for a ratio of 1.18 — closer to the 1.25 required in the redevelopment plan. The added parcel also reduces the impervious coverage from 75 percent to 72 percent.
The addition of Lot 6 also allowed for moving the West Cherry Street entrance a little further away from Campbell Street as well as increasing the side setbacks, reducing the building’s footprint. Another adjacent property is for sale by owner but Bonny said it would not affect his project enough to acquire it.
Metro Rahway acquired 91 W. Cherry St. (Lot 149, Block 6) in May for $157,500, according to property transaction records. The property, assessed at about $110,700, paid almost $6,700 in property taxes last year. In all, The developer has spent almost $3.5 million to acquire the six parcels that make up the 1.6-acre Metro Rahway site. The six lots were most recently assessed for a total $1.285 million, generating property taxes of about $77,750.
One longtime West Cherry Street resident spoke during the public session of the meeting, supporting the project but raising concerns about the lack of on-street parking.