A two-building office campus in Jericho, New York has sold for $212 million, marking the highest sale price for an office property in Long Island in the last decade. New Jersey-based real estate firm The Birch Group acquired the portfolio from DRA Advisors and Onyx Equities.
Built in 1980, 1 and 2 Jericho Plaza together total 665,592 square feet and are currently nearly 95 percent leased, according to The Birch Group. The Class A office buildings are located at the intersection of the Jericho Turnpike and the Long Island Expressway, about 30 miles east of Manhattan. In 2018, both properties underwent cosmetic renovations, according to CommercialEdge.
Current tenants at the office campus include several well-known financial firms and banks, including AIG, Deloitte, Morgan Stanley, Ernst & Young and UBS. Featured amenities at the buildings include fitness centers, car-charging stations24/7 security and full-service cafes.
Christopher DeLorenzo, executive vice president at The Birch Group, said in prepared remarks that the acquisition is part of the firm’s strategy of following the recent trend of office workers moving to the suburbs, which has led to an increase in leasing activity in suburban submarkets.
The Long Island purchase comes several months after The Birch Group paid $255 million for a four-building office portfolio in Short Hills, N.J. The firm’s last deal in Long Island came in December 2020, when they paid $62 million for a 348,501-square-foot office property in Lake Success from Willett Companies. The Birch Group said it has acquired more than $1.1 billion in commercial office assets since 2020.