Total existing-home sales—completed transactions that include single-family homes, townhomes, condominiums and co-ops—rose 3.1% from December to a seasonally adjusted annual rate of 4.00 million in January.
Rockland County-Based Birch Group Spends $212M on Long Island Office Complex
NANUET—The Birch Group, a locally-based privately-held commercial real estate investor, owner and operator, reported on Jan. 6 it had acquired a two-building portfolio from DRA Advisors and Onyx Equities in Jericho, NY for $212 million.
The acquisition follows the company’s recent $255-million portfolio purchase in Short Hills, NJ. With this latest acquisition, The Birch Group has now acquired more than $1.1 billion of commercial office assets since 2020.
The 665,592-square-foot portfolio comprises two Class A office buildings located at 1 and 2 Jericho Plaza in the Jericho submarket. The area boasts the strongest vacancy rate in the New York Tri-State suburban region and is widely recognized as a rising affluent market with diverse and dense labor pools, offering tenants prime options for top-tier office space.
“This acquisition presents an opportunity to add additional trophy quality institutional assets to our evolving office roster, furthering The Birch Group’s strategy to give tenants the optimal experience in environments that meet and exceed expectations as we enter the new year as the largest private office landlord in New Jersey,” said Mark Meisner, president and founder of The Birch Group. “As we look ahead to the coming months, we believe companies will place a renewed interest in providing top-notch office experiences and spaces where people want to be. Our focus remains on enacting tailored improvements strategies on a case-by-case basis to create long lasting returns for our tenants and investors alike.”
Birch’s decision to purchase these properties is a direct result of deep analysis based and its extensive line-of-sight into the activity and health in subsets of the Tri-state office market, company officials stated.
They note that the Jericho submarket is set to continue on its path of attracting high quality long and short-term tenants to the institutional-quality properties. Nearly 95% leased at 1 and 2 Jericho Plaza, the property’s roster of nationally recognized tenants includes AIG, Deloitte, Morgan Stanely, Ernst & Young, Valley Bank, Sterling National Bank and UBS. The properties’ trophy quality and sought after location has positioned it to reach full occupancy in the near future, Birch Group officials add.
Located at the intersection of the Jericho Turnpike and Long Island Expressway, the properties at 1 and 2 Jericho Plaza offers connectivity through a nearby LIRR station and is only 25 miles to LaGuardia, JFK, and MacArthur airports.
On-site amenities include completely renovated three-story atrium lobbies, conference hubs and centers, upgraded common corridors, elevators, and restrooms, beautifully landscaped outdoor areas, full-service cafes, fitness centers, 24/7 security, and car-charging stations. The properties are heightened further by an extensive mixed-use amenity base that includes abundant golf courses like Meadow Brook Golf Club within walking distance, and convenient access to retail and hotel accommodations at the nearby Jericho Commons, Whole Foods, Kohl’s, Home Depot, and Milleridge Inn. Local upscale and casual dining options include Opus Steakhouse, the Cotillion, and more.
“As the largest office owners in New Jersey and a prolific leader in the Tri-state area, The Birch Group is following the demographic shift to the suburbs resulting from the pandemic as leasing activity increases in targeted submarkets,” said Christopher DeLorenzo, executive vice president at The Birch Group. “With 2022 return to office plans coming to fruition, this trend represents an extraordinary opportunity to meet the demand for high-quality office assets in prime markets.”