A rendering of 1 Sharp Plaza in Mahwah — Courtesy: Sitex Group and NAI James E. Hanson
By Joshua Burd
A developer has tapped brokers with NAI James E. Hanson to market a new 271,195-square-foot warehouse under construction along the northern edge of Bergen County.
The property, located at 1 Sharp Plaza in Mahwah, is set to be delivered by the end of the first quarter in 2018, NAI Hanson said. When complete, the project will include modern features such as 36-foot clear ceiling heights, 36 dock doors and parking for 25 trailers and 184 cars.
Developer Sitex Group and the brokerage team are banking on the surging demand for industrial space and the lack of new options in Bergen County. NAI Hanson’s Kenneth Lundberg and Patrick Lennon are the exclusive brokers for the assignment.
“The limited supply in adjacent industrial markets means that firms will continue to seek out quality buildings in highly accessible locations such as northern Bergen County,” Lennon said. “Once completed this project will be a key piece of the continued growth of this market, bringing exciting and important contributors to the local economy.”
The 21-acre parcel is less than a mile from the intersection of Route 17 and interstates 87 and 287, offering access to New York City via the Tappan Zee and George Washington bridges. It is part of the former Sharp Electronics North American headquarters, which Sitex acquired in 2015 for nearly $40 million.
Other features of the warehouse will include ESFR sprinklers and two drive-ins.
In a news release, NAI Hanson noted that average asking rates in the northern Bergen County industrial market have risen to $8.61 per square foot, up $1.05 from midyear 2016. That represents the second-highest asking rental rate in northern and central New Jersey.
Vacancy in the submarket through Q2 was 5.7 percent, down 2 percent from a year earlier, NAI Hanson said.
“We are looking forward to working with Sitex Group to lease this exciting property in a marketplace that is quickly becoming the go-to destination for companies seeking available warehouse space in the state,” Lundberg said. “The Bergen County industrial market has faced an extremely restricted supply of new Class A warehouse and distribution oriented buildings over the last several years.
“With the explosion in e-commerce users seeking these types of buildings, companies have sought out markets like Mahwah for available space. The northern Bergen County industrial market is seeing some of the highest asking rent prices in the state and this project will provide this hot market with an in-demand and attractive property for today’s modern tenant.”