Amid the rollout of the new federal Opportunity Zone program, developers and public officials are trying to balance two key objectives: Identifying shovel-ready projects — allowing investors to maximize the tax benefits of the law — and steering capital to low-income areas that weren’t already attracting investment and may have higher barriers to entry. The state believes it can check both boxes with the right coordination and by layering in the subsidies that have helped revitalize many of New Jersey’s cities and downtowns.
Market Sectors
New Jersey has an unmatched location and a population that developers dream about. It’s no wonder the commercial real estate industry is flourishing and evolving across all segments of the market.
Office leasing velocity gains traction
More than 2.3 million square feet leased during Q3 compared to a lagging 1.4 million square feet in Q1 2018. A 33.0 percent increase in active tenant requirements from one year ago represents nearly 6.0 million square feet. Accelerated leasing velocity is expected to continue in Northern and Central New Jersey through year-end 2018 and into 2019.
