We posed the question to members of our 2024 Owners Council. Here’s what they had to say.
Lance Bergstein
CEO
Lincoln Equities Group
There is a tremendous shortage of ‘attainable’ housing. Today, there are no adequate programs in New Jersey that incentivize the private sector to deliver attainable housing. I think it is extremely important for the government and the private sector to work together and figure out how to alleviate this major issue. It is something I am very focused on figuring out, but the economics need to make sense.
Katie Kurtz
CEO
Denholtz Properties
For businesses like ours, controlling development and construction costs remains essential. During the pandemic, prices surged due to various economic pressures, and since then, costs for land, materials, labor and insurance have stayed high and, in some instances, continue to rise. This makes it more important than ever to be prudent developers with strong partnerships and a focus on efficiency and value-engineering opportunities.
Lou March
President
March Construction
A major challenge is character, especially during tough market conditions. When times are hard, it’s a true test of integrity. I’ve seen some firms rise to the occasion, showing strength and commitment, while others have faltered. I can’t wait to give our best to the clients and partners who have shown resilience through these difficult periods. They’ve passed the character test, and they’ll be the ones to thrive.
Jeff Milanaik
Partner, Northeast Region
Bridge Industrial
One of the major challenges we face in New Jersey is the regulatory and approval process for new projects. Home rule, coupled with the multiple agencies and requirements that need to be navigated, make the timelines for approvals difficult to project.
Jack Morris
President and CEO
Edgewood Properties
Inflation and rising costs like insurance and property taxes have a significant impact on our business on multiple fronts. Not only does this combination make development hard to pencil. It diminishes the ability of our multifamily residents to pay rent if real incomes are not rising in excess of inflation and it removes some percentage of the population from the Class A luxury market. On the commercial side, these expenses affect the profitability of our retail tenants, and it limits the capacity of both new and established businesses to open new locations. Similarly, we always have our eye on job growth. Our business requires a strong labor market in order to thrive.
Mark Shearer
Senior Managing Director, North Central Region
Rockefeller Group
Tenant demand for industrial remains somewhat muted along with ongoing difficulties in getting permits and entitlements.
