The Kislak Company, Inc. announced the $7,500,000 sale of Southgate Apartments, a 48-unit garden-style multifamily community located at 100 Arrowhead Court in Phillipsburg, Warren County.
The transaction was structured on an exclusive basis by Kislak President Robert Holland and Senior Vice President Joseph Keenan, who represented the longtime seller and also procured the undisclosed buyer.
Originally acquired by the seller roughly 40 years ago, the property was exceptionally maintained throughout its long-term ownership. Comprising spacious layouts equipped with gas heat, central air conditioning, balconies, in-unit washers and dryers, and ample parking, many units feature newly upgraded kitchens with stainless steel appliances and luxury plank flooring.
Because the previous owner kept rents significantly below market—estimated at 15% to 20% under current regional averages—the asset presented a classic value-add opportunity. Kislak’s targeted marketing campaign drove heavy interest, yielding eight property tours and nine competitive bids, with three offers coming in within 95% of the final purchase price.
“The strong response to our marketing campaign highlights the continued demand for well-located multifamily properties that offer the opportunity to create value through thoughtful capital improvements and operational enhancements,” Keenan said. “Southgate Apartments is a classic value-add investment. The property was exceptionally well maintained by a long-term owner, but rents remained below market. The buyer recognized the opportunity to renovate units as they turn over, enhance the property’s curb appeal and create new tenant amenities, which will ultimately increase the property’s long-term value.”
