ORANGE –– The former headquarters of Wallach Surgical Products has been sold and simultaneously leased in a $7 million deal cobbled together largely by Carl Russell of George J. Smith & Son.
The 40,600-square-foot building at 235 Edison Road was acquired by TMC Orange, LLC and leased to Numet Machining Techniques. Jon Angel of Angel Commercial represented the seller, Ronald Wallach.
“Wallach sold out [the business but not the real estate] a few years ago to Cooper Surgical, which stayed in building for a couple of years then vacated,” Russell explains. “Angel had the listing. I was showing buildings to a tenant that fell in love with it, but could only afford to lease. So I tried to see if I could find someone to buy it.
“Sure enough, in my database there was TMC, who I’ve done a lot of work with for 30 years, and their whole business is ownership and management leasing of commercial/industrial properties nationwide,” adds Russell. “I originally showed them the building in summer 2011.
“I introduced buyer and [and another potential tenant, Numet] around September 2011, and it was a good relationship from the beginning,” he says. “Both parties saw a way in which they could do business together. We worked toward that and made it to the finish line.”
The building, which had been used for surgical device manufacturing, was a perfect match for Numet, which makes high-end parts for the aerospace industry. Its ten-year lease is “in excess of $4.1 million,” says Russell, who says TMC purchased the building for $3.1 million.
“Numet is probably going to put in around half a million [dollars] in improvements, including remodeling, and “expects to be fully operation by the middle of April,” Russell says.
The transaction is the latest of several recent big deals that have been big news for Orange.
Colony Hardware Corp., for example, recently leased 102,000 square feet at 269 Lambert Road, making it the largest industrial deal ever in the town. CBRE’s Michael Dillon and Matt O’Hare represented the landlord, Lighthouse Real Estate Ventures. The Proto Group’s Lou Proto represented the tenant. Colony is relocating from 15 Stiles Street in New Haven.
Vacancy rates for light industrial properties in Orange have fallen from 15.3 percent at the end of 2010 to 6.9 percent at the end of 2011 and dropped even lower to 4.9 percent with the sale and lease of the Wallach Surgical property, according to Orange Economic Development Corp. Executive Director Paul Grimmer.
“I think we’re off to an amazing start [for 2012],” Grimmer says.