Zirinsky Buys Out Partner at 720,000-SF Southgate

MORRIS TWP., NJ-Lawrence Zirinsky Associates has completed a buy-out of its partner, developer Anders Billing, of the remaining interest in two buildings, with options on the third building of the three-building, 720,000-sf Southgate Corporate Office Center here. Financial terms of the transaction were not disclosed.

“We view Southgate as an extremely important part of our New Jersey portfolio,” says John Zirinsky, president of the family-owned, New York-based real estate organization. “It is located in one of the state’s primary commercial areas.”

“We have enjoyed a unique relationship with Lawrence Zirinsky Associates that has been fruitful and has spanned two generations of both families,” says Billing. Southgate, which is located near Interstates 287, 80 and 78, is also a property currently in transition. Southgate I, a three-story, 210,000-sf building, is a former AT&T Network Systems facility that was inherited by Lucent Technologies eight years ago. Lucent’s lease runs only until the end of this year, and Zirinsky is set to launch a major renovation of the building.

“Approvals have recently been received for the renovation,” according to Zirinsky.

The program, which will begin this fall, will be carried out by Zirinsky’s management and leasing arm, the Princeton-based National Business Parks. It calls for a redesigned lobby area and an upgrading of the building’s systems and public areas, followed by a marketing campaign to fill the space. NBP will direct and manage the marketing and leasing programs under the terms of the negotiated option agreement.

Southgate II, meanwhile, is a three-story, 190,000-sf building that is entirely occupied by UPS. The three-story, 320,000-sf Southgate III, however, was the home of telecom giant Telcordia Technologies until the end of last year.

The Zirinsky organization was represented in the transaction by its long-time counsel, Lewis R. Kaster of the Bryan Cave firm, who was assisted by partners Sandy A. Green and Walter H. Curchak. Also involved in the deal were NBP COO Vincent Marano, the firm’s CFO, William Knauss and its director of leasing, Thomas Stange.