Permanent financing secured for Class A, 80K SF industrial building in the Hudson Valley

MORRISTOWN, NJ, July 25, 2024 – JLL Capital Markets announced today that it secured $10 million in permanent financing for 18 Leonards Drive, a Class-A, 80,260-square-foot warehouse and distribution building located in Montgomery, New York.

JLL worked on behalf of the borrower, Frassetto Companies, to secure the fixed-rate, twelve-year loan through a correspondent life insurance company.

18 Leonards Drive is a state-of-the-art, newly constructed warehouse building offering 36-foot clear heights, 16 loading docks, two 12-foot by 12-foot drive-in doors, 70-foot by 60-foot column spacing, parking for 50 cars and 14 trailer spaces.

Constructed in 2024, this highly sought-after property is fully leased to two tenants, utilizing the space for various purposes, including warehouse operations, product distribution and general office activities.

Strategically located in Montgomery, New York, this suburban community in western Orange County benefits from excellent connectivity via major highways such as I-84, I-87 and Route 17. These well-connected routes allow businesses to efficiently reach the expansive Hudson Valley region and Northern New Jersey, making the property highly appealing to e-commerce and logistics companies. Additionally, Montgomery offers an outstanding transportation infrastructure, affordable housing options, top-ranked schools and access to the vibrant amenities of the greater New York Metro region.

The JLL Debt Advisory team was led by Senior Managing Director Michael Klein and Director Max Custer.

“We are proud to have secured the construction take-out financing for this project on behalf of The Frassetto Companies, who have a long track record of delivering quality industrial buildings within the Hudson Valley region,” said Klein. “The immediate absorption of this newly constructed distribution facility is a testament to the quality product Frassetto Companies has delivered, coupled with the growing demand for Class A logistics locations in a submarket dominated by aging industrial product.”

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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The Frassetto Companies is one of the largest privately-owned real estate developers of high-tech office and industrial space in the tri-state area. Family-owned and operated for over 60 years. The Frassetto Companies have built and managed more than five million square feet of space throughout New York and New Jersey. With a reputation for unparalleled excellence, The Frassetto Companies strive to provide their clients with superior quality in all sectors of commercial real estate property development, including acquisition, strategic planning, design, construction, leasing and management.