IRR-Northern New Jersey Mid-Year Viewpoint 2015 Local Market Report - Retail
The Northern New Jersey retail market continues to improve as submarkets like Paramus and the Route 10 corridor back fill vacancies left over from the recession. Tenants filling this space include LA Fitness, Whole Foods and Dick's. Macy's is reported to be in the market for several off price smaller store formats.
On the regional mall front, retail sales reports are mixed as Class B malls are experiencing declines as the middle class income levels wane while Class A malls perform reasonably well. The leader, the Mall at Short Hills, reports retail sales of $1,200 psf. The next highest producing mall is Garden State Plaza at $775 psf, followed by Willowbrook Mall at $740 psf. Look for continued overall improvement in the retail market. Recent IRR assignments include Hahnes redevelopment in Newark and a lifestyle center in Chester.