When I tell people what I do for a living, invariably, people ask “How’s the market?” It’s not an easy question to answer when you consider that the Northern and Central New Jersey market consists of 750 buildings over 75,000 sf totaling over 156 million square feet.
But in a nutshell, while it seems like activity is up in New Jersey, it’s not yet reflected in the statistics.
According to the statistics, the overall Northern and Central New Jersey market continues to plod along with no major shifts. The vacancy rate currently stands at 21.2% while in April 2013, it was 21.1%. At this time last year, there were 66 blocks of space available over 100,000 sf. Today there are 68.
Personally, I find that statistics tell a story, but not THE story. If you speak to people that represent landlords in the market, everyone is busy. As many companies seek to become more efficient, renewals are not a foregone conclusion for many tenants. This drive for greater efficiency is good news for activity, architects, contractors and furniture vendors, but bad news for statistics and landlords.
There have been countless articles written on the changing workplace to accommodate the millennial workforce, including in my NeuerSpace blog. Those articles are now becoming a reality as companies not only set new standards, but actually adhere to them. Ignore the statistics…the market is active.
My intention with this space is to provide quick hits on the New Jersey market and rarely, if ever, rely on statistics to tell the story. Instead, it will focus on specific deals and submarkets and market trends. If there’s a topic you would like me to cover, feel free to reach out!
By: Jeremy Neuer
Senior Vice President | CBRE
Jeremy Neuer is a Senior Vice President with CBRE in the East Brunswick, NJ office. He specializes in office leasing throughout New Jersey and also represents several large corporations on a national basis.
Follow Jeremy on Twitter: @JNeuer19
Follow CBRE NJ on Twitter: @CBRENewJersey