The Blueprint:
- MDJ Realty acquires 50 Jericho Quadrangle for $22.5 million
- Property is 145,200 square feet on 7.6 acres in Jericho
- Financing provided by Peapack Private
- Building 75% occupied with tenants including Grassi
MDJ Realty Services, one of the two newly minted firms split off from Fairfield Properties, has acquired an office property in Jericho.
The company, headed by principals Michael, Daniel and Jacob Broxmeyer, purchased the three-story, 145,200-square-foot building on 7.6 acres at 50 Jericho Quadrangle for $22.5 million.
The Jericho property is the second major office acquisition for MDJ Realty. Five months ago, the company purchased the four-story 145,000-square-foot office building on 6 acres at 4250 Veterans Memorial Highway in Holbrook for $13 million.
The building at 50 Jericho Quadrangle is about 75 percent occupied with a tenant roster that includes Grassi, DDK & Company, Colliers and others. There is also an M&T Bank branch at the building.
“Acquiring 50 Jericho Quadrangle marks an exciting milestone as our first office building in Nassau County,” Daniel Broxmeyer told LIBN. “We see tremendous potential in this property and are looking forward to bringing thoughtful A+ upgrades that will enhance the tenant experience, elevate the building’s position in the market, and reflect our long-term confidence in the eastern Nassau office community.”
The acquisition was facilitated with $15.75 million in financing from Peapack Private, which also provided financing for MDJ Realty’s Holbrook purchase.
“Peapack Private is proud to provide acquisition financing for Michael and Daniel Broxmeyer’s acquisition of 50 Jericho Quadrangle,” said Joseph Fingerman, president of CRE Peapack Private. “I have had the privilege of working with them for many years across several institutions, and they continue to distinguish themselves as first-class operators and borrowers.”
As first reported by LIBN last month, Fairfield Properties is being divided into two companies; GMS Real Estate Holdings, headed by Fairfield’s majority partner Gary Broxmeyer, his sister-in-law Susan and son Matthew Broxmeyer, and MDJ Realty Services headed by Gary Broxmeyer’s nephews Michael and Daniel Broxmeyer and Michael’s son Jacob. Both of the new firms have been active purchasers in the Long Island commercial real estate market over the last year.
The property at 50 Jericho Quad is the latest of the assets in the portfolio of majority owner TPG Angelo Gordon and minority owner We’re Group that have been put on the market recently. As LIBN was first to report last month, NYU Langone Health is acquiring One and Two Huntington Quadrangle, totaling 765,000 square feet on a combined 45 acres with plans to build a hospital on the site. The development site is selling for about $135 million, according to real estate industry sources.
Last summer, Northwell Health acquired the 310,632-square-foot office building on 22.4 acres at 200 Jericho Quadrangle in Jericho from TPG Angelo Gordon and We’re Group for about $31 million, according to sources, with plans to transform the property into a new healthcare facility.
MDJ Realty was self-represented in the Jericho sales transaction, while CBRE‘s Phil Heilpern and Jeffrey Dunne and the CBRE Capital Markets team represented the seller, TPG Angelo Gordon/We’re Group.
