Ridgecut Road, Brennan and Global Gate Sell 700 Jernee Mill Road IOS Facility in Old Bridge, N.J.

MORRISTOWN, N.J. — A joint venture of Ridgecut Road, Brennan Investment Group and Global Gate has sold 700 Jernee Mill Road, a fully leased industrial outdoor storage (IOS) facility in Old Bridge, New Jersey, to a newly formed joint venture of Open Industrial and Heitman. JLL Capital Markets announced the transaction on Oct. 21, 2026.

The buyer acquired the asset on behalf of a separately managed account with the State of Hawaii. JLL represented the seller and also procured the buyer, according to the firm's announcement.

Property Details: A Low-Coverage IOS Asset at Exit 9

Built in 1988, 700 Jernee Mill Road is a Class A industrial outdoor storage facility in the Exit 9 submarket of central New Jersey. The site totals 6.5 usable acres and includes 28,600 square feet of maintenance and office space. Its low-coverage configuration is designed to support outdoor storage, fleet maintenance and equipment servicing.

The property has 15 drive-in doors, clear heights of 24 to 28 feet and 2,000 amps of power. It is 100% leased on a long-term basis to a global provider of temporary power generation and temperature control solutions. The tenant is not named in the announcement.

Recent capital improvements include office renovations, electrical and power upgrades, fencing and landscaping enhancements, additional grade-level loading and installation of a wash bay.

Location and Market Access

The property sits near U.S. Route 9, U.S. Route 18, Interstate 287 and the New Jersey Turnpike. It is positioned near the Port of New York and New Jersey, Newark Liberty International Airport and population centers across the Northeast Corridor. JLL described the site as serving one of the country's deepest labor markets, drawing on workers in manufacturing, logistics, construction and services.

Deal Team and Comments

The JLL Capital Markets team was led by Managing Directors Jason Lundy and Nicholas Stefans, along with Senior Analyst Luke Ceccoli. Dean Brody, Vice Chairman of JLL's Leasing Advisory team, also assisted in the transaction.

"700 Jernee Mill Road offered investors the opportunity to acquire a highly functional industrial outdoor storage asset benefitting from globally recognized tenancy and Class A specifications in a market where new supply is exceptionally difficult to create," Stefans said.

"As capital continues to flow into alternatives, including core and core+, we anticipate IOS and low-coverage industrial assets to benefit from an increased allocation to the asset class," Lundy added.

Scott Shalek, principal and co-founder of Ridgecut Road, said: "It was a pleasure to work through this transaction with the JLL Capital Markets team who provided a steady hand to navigate the transaction when complexities arose – Lundy and Stefans possess a unique understanding of the IOS sector. Ridgecut is excited to have successfully round tripped another business plan. This was a fantastic outcome and testament to the team's ability to identify and execute — delivering outsized risk-adjusted yield for our investors as a vertically integrated and leading IOS operator."

The Parties

Ridgecut Road was founded in 2021 and is a vertically integrated real estate investment, management and development firm focused on industrial assets in New Jersey and New York. Its principals are Eric and Scott Shalek, identical twin brothers who, according to the firm, have financed, developed or executed more than $3 billion of real estate transactions over their careers. The firm pursues two strategies: owning and operating low-coverage industrial assets and developing Class A warehouse, distribution and logistics facilities.

Global Gate is a diversified financial group founded in 2013 that manages $8 billion in assets across seven offices. Its real estate portfolio, which spans the United States, Germany, France and the United Kingdom, totals approximately $3 billion.

Open Industrial, founded in 2020 and based in Bethesda, Md., is a real estate private equity firm that owns and operates industrial outdoor storage assets in markets across the U.S.

Market Context

The sale comes as New Jersey's industrial market remains selective. New Jersey industrial leasing reached 13.1 million square feet in the first quarter of 2026, 10% above the pandemic-period quarterly average. Class A properties accounted for 6.1 million square feet of new leasing.

New Jersey had approximately 6.7 million square feet of industrial space under construction in early 2026, 22.9% below historical averages. Regional vacancy across the broader Northeast industrial market held at 5.9% for roughly 15 months through the second quarter of 2026, with more than 80 million square feet of active tenant requirements. Nationally, U.S. industrial leasing rose 17.8% year over year in the first quarter of 2026 to roughly 145 million square feet.

Outdoor storage sites are difficult to replicate where zoning, environmental approvals, truck circulation and neighborhood opposition restrict new supply. Investor demand for IOS properties has also broadened, with local New Jersey buyers increasingly competing against larger institutional investors. The pairing of Open Industrial with Heitman and a State of Hawaii account reflects IOS moving from a specialized operating niche toward institutional core and core-plus allocations.

Sources

JLL newsroom: https://www.jll.com/en-us/newsroom/jll-capital-markets-arranged-sale-of-700-jernee-mill-road