News & Events

PARAMUS, NJ (nyrej.com) — A joint venture partnership between Heidenberg Properties Group, Red Starr Investments, Norse Realty Group, and DAG Paramus announces the acquisition of the Paramus Park South. Paramus Park South is a 181,150 s/f shopping center anchored by a 100,223 s/f Stew Leonard’s Supermarket and a 21,934 s/f Atlantic Health Systems (S&P: AA-).

The Shopping Center is strategically located 23 miles northwest of New York City occupying a 14-acre site with access from NJ Route 17 (137,800 vehicles per day) and bordering the Garden State Parkway (71,700 vehicles per day). Paramus has highest per capital retail spending in the country, including over $5 billion in annual sales. Similar to Heidenberg Properties’ April ’24 acquisition of At Colonie Center, in Albany, NY, the Center is attached and has direct access to the neighboring Paramus Park Mall, tenanted with over 60 retailers including Macy’s, L.L. Bean, Old Navy, Uniqlo, Ulta Beauty, and Sephora.

Paramus Park Mall, Westfield’s upscale 2.1 million s/f Garden State Plaza is 3 miles south of the Center at the intersection of Route 17 and Route 4. Garden State Plaza is one of the nation’s largest malls, drawing shoppers from throughout the tri-state area and is anchored by Macy’s Nordstrom, Neiman Marcus, and AMC Theatres. Additionally, Bergen Town Center also on Route 4 underwent a $50 million renovation in 2020 and is anchored by Target, Whole Foods, Best Buy, Burlington, Nordstrom Rack, Saks Off Fifth, Lowe’s, Marshall’s, HomeGoods, and Kohl’s. Paramus’ affluent trade area includes near 422,00 residents with average incomes surpassing $150,000 annually. New residential developments that are both approved and under construction in the Route 4 and Route 17 corridors will further drive foot traffic to the property.

Paramus Park South is currently 67% occupied and has approximately 59,000 s/f of upper level space available. Additionally, the upper level has the potential for highly visible signage and exposure from the neighboring Garden State Parkway. Heidenberg Properties’ business plan includes creating vertical access to and from the adjoining Paramus Park Mall, creating further operational synergies between the two properties.

Robert Heidenberg, president and CEO of Heidenberg Properties, said, “Acquiring Paramus Park South was an opportunity to add a fantastic location to our portfolio that is in our backyard. Not only do we acquire a shopping center in one of the best retail markets in the United States, we added another dominant grocer in Stew Leonard’s as well as the ability to add value through strategic lease up of the upper level. We look forward to the continued evolution of Paramus Park South by adding dynamic uses and solidifying Paramus Park South as a compelling draw in the market.”

This acquisition caps a year in which Heidenberg Properties has acquired over $80 million of grocery-anchored shopping centers exceeding 525,000 s/f of retail, including the Whole Foods anchored At Colonie Center in Albany, New York and the Stop & Shop anchored Shops at Ledgebrook in Winsted, Connecticut. Heidenberg Properties, Norse Realty Group and the principals of DAG Paramus have acquired five properties together over the past 12 years while this is first transaction with Red Starr Investments. Capital advisers Ackman-Ziff arranged the joint venture and financing while CBRE’s National Retail Partners served as the broker in the transaction.