The Amazon story is now more than four years old in New Jersey, at least when it comes to our industrial market, yet we can’t seem to stop talking about it.
It only makes sense. The tech giant has added another several million square feet of fulfillment space in the state this year, and there’s no escaping the influence that it continues to have on other e-commerce players looking to compete on last-mile distribution.
But as I’ve come to learn in recent months, the Amazon story is about much more than industrial space.
You could say it started this summer with the blockbuster acquisition of Whole Foods and what that will eventually mean for the retail sector. Then came the Amazon HQ2 sweepstakes in early September and the nationwide frenzy to land an 8 million-square-foot office deal. And the more I looked into it, the more I found that the company is working its way into the multifamily residential space.
Look no further than the automated Hub by Amazon locker systems that the country’s biggest landlords are now installing at their properties, including some in New Jersey. It’s all happening very quickly, but that hasn’t stopped us from trying to break it all down for you in this month’s edition of Real Estate NJ.
In our cover story, “The Amazon Effect,” we offer some details on how the company has infiltrated every major asset class in New Jersey. That includes a closer look at Newark’s bid for Amazon HQ2, plus a reminder of just how important the company continues to be in the industrial market.
We also speak to local experts about how the Whole Foods deal could impact New Jersey’s supermarket industry and at Amazon’s growing role in the amenities arms race by apartment owners.
This is not to say that New Jersey is the only state that is feeling this impact. But I would argue that we have as much at stake as any other state in the country, given the heft of our industrial market, our location and our population. And you can bet that this story has much more room to run.
We also took the opportunity this month to highlight some other major players and stories in New Jersey’s retail sector. That includes a Q&A with Matthew Harding of Levin Management Corp., which is marking its 65th anniversary, and a feature on real estate veterans Andy Abramson and Alan Goldstein, who have joined forces to launch a new leasing and management platform for commercial properties.
We have those stories and more in the pages that follow, including updates on some of the state’s most interesting development projects. And, as always, make sure you’re signed up to receive The Briefing, our daily e-blast with the state’s top commercial real estate headlines. Thank you for your continued feedback, questions and story ideas. Enjoy the issue!