Washington, DC-based real estate investment firm Madison Marquette has acquired the retail portion of a multi-tenant condominium complex in the Williamsburg neighborhood of Brooklyn on behalf of a programmatic joint venture with an undisclosed foreign institution. This is the second deal for the partnership, which is targeting infill retail and mixed-use properties in major markets throughout the US.
The joint venture, which has no specified target investment amount, closed its first deal in October with the acquisition of the Bellevue Galleria in Bellevue, Washington for $87.6 million. The partnership acquired the second property, known as The Edge, for around $50 million, according to market sources.
The Williamsburg complex, which totals approximately 64,000 square feet, was developed in 2008 by Douglaston Development and is 82 percent leased to major tenants such as Brooklyn Harvest Market, CVS Pharmacy, Ride Brooklyn and Fabrica Café. Madison Marquette cited the neighborhood’s growing residential population and “dynamic, robust location” in its reasons for making the investment.
The Edge is the second metropolitan New York acquisition that Madison Marquette has made in the past year. Last January, the firm acquired a 450,000-square-foot mixed-use property in Long Island City through a joint venture with Perella Weinberg Partners.
“We believe that there is still good relative value in New York City, especially in Brooklyn and Queens as these boroughs are dense, urban submarkets,” said Arvind Bajaj, managing director and head of Madison Marquette’s New York office, in a statement. “We remain focused on pursuing additional relationship-oriented acquisition opportunities that will further enhance the firm’s franchise.”
At the beginning of 2012, Madison Marquette announced a plan to broaden its investment platform by establishing a New York City investment team and portfolio holdings. Madison Marquette hired Morgan Stanley and Credit Suisse veteran Bajaj at the time to lead the expansion.