Kushner Companies $266.5 Million Acquisition of Seven Apartment Properties in New Jersey and New York


Paul, Weiss, Rifkind, Wharton & Garrison advised the Special Committee of the Board of Trustees of First Real Estate Investment Trust of New Jersey (FREIT) in the trust’s $266.5 million sale of seven apartment properties to an affiliate of Kushner Companies. The firm is also advising the special committee on the board’s adoption of a plan of voluntary liquidation of the trust.

Kushner Companies entered into an agreement to pay $266.5 million for a portfolio of seven rental buildings in New Jersey and New York from First Real Estate Investment Trust of New Jersey.

The portfolio totals 1,058 units in garden-style apartments in the New Jersey towns of Wayne, River Edge, Westwood Hills, Rockaway and Redbank; and in Middletown, N.Y. There’s also a high-rise apartment tower in Hackensack, N.J.

Both the apartment portfolio sale agreement and the voluntary plan of liquidation are subject to shareholder approval, and the plan of liquidation is also subject to consummation of the apartment portfolio sale. Both transactions were announced January 15.

The Paul, Weiss team advising on the sale agreement and the voluntary plan of liquidation included corporate partners Bruce Gutenplan (Picture), Steven Williams and counsel Nathan Sawyer; real estate partner Mitchell Berg and counsel Andrew Wurzburger; tax partner Lindsay Parks; and employee benefits partner Andrew Gaines.

Involved fees earner: Mitchell Berg – Paul Weiss Rifkind Wharton & Garrison; Andrew Gaines – Paul Weiss Rifkind Wharton & Garrison; Bruce Gutenplan – Paul Weiss Rifkind Wharton & Garrison; Lindsay Parks – Paul Weiss Rifkind Wharton & Garrison; Nathan Sawyer – Paul Weiss Rifkind Wharton & Garrison; Steven Williams – Paul Weiss Rifkind Wharton & Garrison; Andrew Wurzburger – Paul Weiss Rifkind Wharton & Garrison;

Law Firms: Paul Weiss Rifkind Wharton & Garrison;

Clients: FREIT NJ – Special Committee of the Board of Trustees;