According to the NAI DiLeo-Bram & Co. Summer Market Snapshot Report’s counties of focus, the most actively traded submarket for industrial properties is Middlesex County, where the firm arranged the $19.5 million sale of 107 How Lane in New Brunswick and currently serves as the building’s exclusive leasing agent. — Courtesy: NAIDB
By Joshua Burd
Commercial property sales are trending upward in a key swath of northern and central New Jersey, with industrial, office and retail trades totaling $1.4 billion in the first half of 2025.
According to NAI DiLeo-Bram & Co., the author of a new report, transaction volume through June is still below the peak post-pandemic years of 2021 and 2022, but the total marked an improvement from the same period last year. That included 109 sales in the first half, with high-end warehouse and logistics facilities still catching the eye of many buyers.
The NAIDB Summer Market Snapshot Report evaluates submarkets across Morris, Essex, Union, Somerset, Middlesex, Mercer and Hunterdon counties.
“The northern and central New Jersey industrial market continues to lead in transaction volume, highlighting its strong appeal to both users and investors as a core logistics and distribution hub,” said David A. Simon, chief operating officer. “The office sector, while still in transition due to evolving workplace strategies, is presenting targeted buying opportunities for investors primarily focused on repositioning and redevelopment potential. Similarly, well-located retail properties with strong demographics are also experiencing heightened investor activity.”
The Woodbridge-based firm noted that the 109 transactions posted at midyear represent a slight decrease from 116 over the same period in 2024, but the higher dollar volume in 2025 underscores the impact of significant, nonportfolio deals. And while most northern and central counties are currently below their five-year average for sales volume, Somerset County is the exception thanks largely to a $145 million sale-leaseback involving one of Nissan North America’s industrial buildings, part of a larger national transaction.
Industrial continues to dominate in terms of transaction volume among the three major asset types analyzed by NAIDB, the firm said. The largest deal recorded was a 600,000-square-foot warehouse sale in Middlesex County, where ARC Realty sold the new high-end facility near the New Jersey Turnpike to Prologis Inc. for $166.8 million.
The office sector recorded its most significant transaction in Morris County, NAIDB said, pointing to PCCP and Onyx Equities’ sale of a 413,000-square-foot property at 340 Mount Kemble Ave. in Morris Township. Crown Acquisitions bought the building for $116.5 million, which translated to a price of $282 per square foot with a reported capitalization rate of 8.8 percent, highlighting the impact of the sellers’ $50 million renovation of the asset.
The report also found that, of the three asset types, retail recorded the lowest volume of transactions in the first half. The largest sale in the asset class was Morris Marketplace, a 140,000-square-foot shopping center in Morristown, which fetched $52.5 million or $375 per square foot.
NAIDB added that the 20-acre property, part of a larger mixed-use development, is occupied by unanchored, essential retail concepts. Such tenants have increasingly attracted institutional buyers.
