EAST HANOVER, N.J. — Boxer Property, a Houston-based firm led by Andrew Segal, has acquired a 177,820-square-foot office building in East Hanover, which is about 15 miles northwest of Newark, N.J.
The seller was Griffin Capital Essential Asset REIT of El Segundo, Calif.
Boxer F3 LLC paid $10.95 million to buy the property, called the Executive Office Center in East Hanover. Boxer, founded in 1992, has an 18 million square foot portfolio in Texas, Georgia and other states.
Griffin Capital originally acquired the building in November 2013 as part of a larger transaction where the allocated acquisition price was $6.5 million. Three lease transactions were completed during the year of ownership raising occupancy from 35% to 41% and stabilizing near term rollover.
Scott Tausk, Griffin Capital’s Managing Director of Asset Management stated, “This sale of Eagle Rock represents the execution of a strategy we put in place when it was acquired as part of an 18-property portfolio transaction. Because the property did not fit the REIT’s single tenant, essential asset investment criteria, our asset management team created a short-term value creation business plan, executed that plan and divested the asset at a profit, all within thirteen months–we are very pleased with this transaction and will strive to replicate these results as similar opportunities arise.”