Call me provincial, but I’m always fascinated these days when I hear that an established investor, developer or retailer that operates nationally is only now finding its way into the New Jersey market. With our labor pool, our consumer base and the all-important draw of being a discount from New York City, one can’t help but wonder what took them so long in the first place — especially in an expansion that goes back more than a decade.
Fortunately for them, it’s often a case of better late than never. That’s especially true for New Jersey’s industrial sector, where the allure of unprecedented, seemingly unabated rent growth is fueling an insatiable appetite from buyers at the highest levels. As you’ll read in this month’s cover story, investors are hungrier than ever for properties across the asset class, with little sign of being deterred by surging prices, fierce competition and any fears that the pace will slow. As with other top logistics markets, vacancy in the Garden State has reached record lows thanks to the proliferation of e-commerce and the growing focus on supply chain continuity, leading to an age of prosperity for landlords, builders and sellers who are now achieving record prices.
Our January issue also includes several timely features, including a look at how a suburban office landlord is responding to the impending loss of a high-profile tenant. The owner, Signature Acquisitions, has kicked off a $3 million renovation at 100 Kimball Drive in Parsippany, where Deloitte LLP will leave behind more than 175,000 square feet when it departs for Morristown this summer. Signature is now looking to make the most of what it sees as a blank canvas, allowing it to create the type of setting that will bring workers back to the office.
Readers this month will also hear from local officials in Scotch Plains after the township recently adopted a long-awaited redevelopment plan. They’re now seeking developers to help with that effort, aiming to transform an underperforming downtown into a revitalized center for commerce and community — with retail, restaurants, housing and a consolidated library and town hall.
You can find those stories and more in our first issue of 2022, which also includes our popular Market Forecast. This year’s section is larger than ever, featuring the insights of nearly two dozen developers, service providers and other key figures in the industry. We’re lucky to have their thoughts on everything from logistics and health care to the outlook for the office and retail sectors. Thanks to all who participated in this special advertising section and everyone else who continues to support Real Estate NJ. We are excited to kick off another year of publication, in a time when the industry seems to be as dynamic as ever. As always, please continue to reach out with your questions, feedback and story ideas.
Thanks for reading and enjoy the issue!