The “shallow bay” industrial squeeze in Northern New Jersey continues to drive high-velocity deal making. JLL Capital Markets announced that it has orchestrated the sale of a two-building industrial portfolio totaling nearly 73,000 square feet in the heart of Morris County.
The properties, located at 200 and 300 Roundhill Drive in Rockaway Township, were sold by North Jersey Development Group to Faropoint, an investment firm that has been aggressively carving out a dominant position in the sub-asset class across the New York metropolitan area.
The portfolio sits on 10.7 acres with immediate access to Interstate 80 at Exit 37. Its location is a primary driver of its value, situated just seven miles from the critical I-80/I-287 interchange. This “last-mile” positioning allows tenants to reach more than 8.1 million consumers within a one-hour drive.
Portfolio highlights:
- Total Square Footage: 72,908 SF across two buildings.
- Occupancy: 100% leased to six tenants in manufacturing and distribution.
- Tenant Stability: An impressive average tenant tenure of 15 years.
- Specifications: 20-foot clear heights with flexible unit sizes ranging from 5,000 to 24,000 SF.
While massive “big box” warehouses often dominate the headlines, the shallow bay sector—smaller, flexible spaces used by local manufacturing and light industrial firms—is currently one of the tightest niches in New Jersey real estate.
“The shallow bay industrial sector continues to be one of the most sought-after sub-asset classes due to the lack of availability, minimal development pipeline, and increasing tenant demand,” Nicholas Stefans, managing director at JLL said.
Stefans, along with Jason Lundy and Luke Ceccoli, represented the seller. He noted that Faropoint’s existing presence in the Morris County submarket gave them a “competitive advantage” in executing the transaction seamlessly.
With the portfolio fully occupied by long-term tenants, the acquisition represents a “durable income” play for Faropoint as industrial rents in North Jersey continue to face upward pressure due to land scarcity.
