PARSIPPANY — A joint venture is preparing to break ground on more than 281,000 square feet of new industrial space in Parsippany, in a project that will redevelop a former office property at 169 Lackawanna Avenue.
Greek Real Estate Partners said it is preparing for vertical construction at the site as part of a newly formed partnership with The Hampshire Cos. and third-party capital advised by Principal Asset Management. The move follows a $49 million recapitalization announced last week, along with a $30 million construction loan from Provident Bank.
The 281,215-square-foot warehouse will mark a new chapter for a site with a varied history, having served nearly a century ago as a candy and chocolate plant before becoming a data center for New York Life and, most recently, operating as a multitenant office building.
“We are excited to continue growing our presence in the Parsippany market and to redevelop this property alongside outstanding new partners,” said Alex Motiuk, director of acquisitions for Greek Real Estate Partners. “Few sites tell a story like 169 Lackawanna Ave. We are proud to carry it into its next chapter as a modern, highly functional industrial facility built for the users driving demand across the region.”
GREP acquired the then-occupied office building in 2023 and guided it through redevelopment and re-entitlement. The firm’s Greek Design|Build affiliate, serving as general contractor, has completed demolition and site clearing, putting the project on track for substantial completion in the first quarter of 2027.
Plans call for 40-foot clear heights, a 2,500-square-foot speculative office, 39 loading docks, two drive-in ramps and 3,000-amp, three-phase, 480/277-volt electrical service, along with parking for 144 cars and 30 trailers. The features are intended to support a range of industrial users, including those focused on regional distribution, last-mile delivery and supply chain operations, amid limited availability of modern Class A industrial space in that size range.
“We are pleased to partner with Greek Real Estate Partners and Principal Asset Management on the redevelopment of 169 Lackawanna Avenue, a project that reflects our continued conviction in northern New Jersey’s industrial market,” said Christopher Jon Imperatore of The Hampshire Cos. “It is especially exciting to collaborate with Greek, as both Greek and the Hanson families have been doing business in New Jersey for over 100 years.”
Imperatore added that with new supply constrained and demand for modern logistics space remaining strong, the partners believe the project is well-positioned to deliver a high-quality facility and long-term value in a tightening market.
Ryan Greer, vice president of commercial lending at Provident Bank, said the bank is pleased to support an experienced ownership and development group as it advances a market-leading Class A project.
Cushman & Wakefield’s John Alascio, TJ Sullivan, Chuck Kohaut and Nick Scibelli sourced the joint venture equity and debt for the transaction. KBC Advisors’ Marc Petrella, Andrew Siemsen and Sean Kelly are leading the leasing team for the property, which sits minutes from interstates 80 and 287 and routes 46 and 10.
The site is within a one-hour drive of more than 11 million consumers and benefits from proximity to Newark Liberty International Airport and the Port of New York and New Jersey, positioning it to serve last-mile, regional and national distribution users across northern New Jersey, New York City and the broader Northeast.
“We are proud to have arranged the full stack of financing for this exciting project on behalf of the outstanding Greek Real Estate Partners organization,” said Alascio, executive vice chair at Cushman. “169 Lackawanna Ave. will offer state-of-the-art industrial space in an infill, labor-dense northern New Jersey submarket.”
