Fidelco Realty Group acquired 550 Broad St. in Newark in 2019. — Courtesy: Fidelco
By John Yocca
It’s no surprise that Fidelco Realty Group — with its vast experience and wherewithal — managed to weather the pandemic that struck nearly five years ago and even forged ahead with plans to revive one of Newark’s iconic office buildings.
But perhaps every bit as critical was its decision to pursue a diverse tenant mix at 550 Broad St., recognizing a burgeoning demand for smaller, flexible spaces and coworking environments and welcoming an eclectic group of businesses and nonprofits. That has attracted everything from tech startups and foundations to traditional law and engineering firms in recent years, fueling 130,000 square feet of new leasing activity and another 65,000 square feet of renewals, expansions or relocations of existing tenants.
“Every tenant who walked through the door became part of our community,” said Kerri Levine, a principal with Millburn-based Fidelco. “We listened to their needs, adapted our plans and worked together to create something unique.”
Occupancy at the 18-story, 300,000-square-foot building was around 50 percent when Fidelco acquired it in 2019. Its vision was to revitalize the former First National State Bank headquarters and establish it as a cornerstone of Newark’s commercial renaissance, adding to the firm’s decades-long history as a business leader and property owner in the city.
But within months, the world changed drastically. The COVID-19 pandemic disrupted traditional office spaces, forcing companies to rethink their needs and challenging landlords to adapt to a new reality. Fidelco saw it as an opportunity to innovate.
“We had to completely re-strategize,” Levine said, as the sudden shift to remote work left office buildings across the country grappling with unprecedented vacancy rates. Companies were downsizing, and large corporate leases were put on hold as uncertainty clouded decision-making.
Still, Fidelco doubled down and continued with unseen but critical infrastructure upgrades — building systems, interiors and tenant-specific modifications — as part of a planned $30 million overhaul that will also include updates to the tower’s lobby and façade. It worked closely and proactively with existing tenants as their needs changed, while remaining focused on drawing new occupants.
That meant leaning heavily on diversification and the increasingly popular flexible workspace model. Fidelco partnered with EqualSpace, a prominent coworking organization, to create three floors of suites ranging from 800 to 1,200 square feet, providing startups with an affordable entry point and enabling them to scale operations gradually. EqualSpace has also curated the building’s shared business amenities, including conference rooms, podcast studios and event spaces.
“People couldn’t bite off more than they could chew,” Levine said. “We realized tenants needed less space but with more amenities.”
All the while, 550 Broad began to attract notable organizations such as Big Brothers Big Sisters of Essex, Hudson & Union Counties, which took some 4,000 square feet in 2022, followed by leases of 9,180 and 5,629 square feet by the Geraldine R. Dodge Foundation and the Victoria Foundation, respectively. That activity stemmed from Fidelco’s focus on a community environment at the building, the landlord said, while noting that the COVID-19 crisis forced nonprofits to rethink their office needs based on the constituencies they served.
“The pandemic underscored a key shift for nonprofits,” Levine said. “While their missions remained unchanged, strategic planning on the part of these organizations made clear that their spatial needs were evolving. Today, 550 Broad is more than just a building — it’s a celebrated part of Tubman Square that embodies a strong sense of community.”
Fidelco’s longstanding commitment and connection to Newark has paid off in other ways and with other tenants. Startups affiliated with Audible — the Newark-based audiobook giant and a longtime tenant and partner of Fidelco — have taken space at 550 Broad. Those users include content company Pocstock and artificial intelligence firm AlphaROC, which benefit from the building’s flexible leasing opportunities and shared amenities.
The landlord also noted that EqualSpace’s coworking floors provided not just desks, but networking opportunities and shared business facilities. The emphasis on creating a sense of community helped tenants feel connected, even as hybrid work models persisted.
Work is also underway on Melba’s Restaurant, a planned eatery that will anchor 550’s retail offerings and feature a commissary kitchen capable of serving the tristate area. And the restaurant’s hybrid model, combining a catering business with dine-in services, reflects the adaptability required to thrive in the post-pandemic landscape.
Today, 550 Broad is roughly 70 percent leased, a significant improvement from its pre-pandemic levels. With four floors still available, the team remains optimistic about achieving full occupancy and has hired JLL to help lease up the balance of the space.
Fidelco’s efforts have also had a ripple effect on the surrounding area. The revitalization of 550 Broad has spurred interest in other nearby properties, the firm said, contributing to the ongoing transformation of Newark’s North End. And the company’s investment in the community extends beyond real estate, as evidenced by its involvement in projects like the renovation of Harriet Tubman Square and support for local businesses.
“Fidelco has been at the forefront of downtown Newark’s renaissance, creating opportunities for the community to thrive,” Levine said. “550 Broad is at the heart of that mission, providing nonprofits, corporations and startups with the space and world-class amenities needed to work and grow in Newark.”
John Yocca is a freelance writer.
