Ridgewood, NJ (PRWEB) June 25, 2013
Reports of recovery in commercial real estate markets across the country have been stagnant over the past few years, if not grim. With First Quarter 2013 numbers rolling in however, the New Jersey commercial real estate experts at Tarvin Commercial Real Estate say signs of improvement are there.
Recently released data suggests that the overall industrial vacancy rate within the New Jersey commercial real estate sector fell one percentage point to 9.3 percent in the first quarter of this year, when compared to the same time period last year. Tarvin Commercial cites several factors that may have contributed to this drop, including the fact that this region has become a hub for data center development over the last few years. “While many data center deals involve new construction, many also include the use of existing industrial warehouse space,” notes a Tarvin Commercial representative.
The largest lease signings occurring thus far in 2013 included the 198,440-square foot lease signed by Ashland, Inc. and the 152,000-square foot deal signed by Amneal Pharmaceuticals, both at the New Jersey Center of Excellence in Somerset, a State-OF-The-Art Life Science Campus formerly owned/occupied by Saofi-Aventis which was recently acquired by Advance Realty and the 147,000-square foot lease signed by Tory Burch at Carteret Distribution Center.
Tarvin Commercial also indicates that the local market for commercial real estate is growing as well. In Bergen County, industrial vacancy rates declined from 11.2 percent a year ago to 10.3 percent, while Passaic County showed stabilization with an unchanged rate of 8.4 percent.
“As consumer confidence begins to rebound, companies are looking to supply and ship more goods, creating an uptick in the demand for warehouse and distribution space,” says a Tarvin Commercial representative. “Rising e-commerce sales are also fueling a need for distribution outlets across the Tri-State region.”
The unwillingness of developers to start new construction projects in the commercial real estate sector is also fueling demand for existing inventory and is contributing to the drop in vacancy as businesses look for existing commercial spaces to suit their needs. However, with continued signs of positive growth, a handful of new construction projects have been signed off on. Those projects include the Elizabeth Logistics Center, scheduled for completion in Second Quarter 2013, and the Panasonic Technology Center, which is scheduled for Forth Quarter 2013.
Other exiting projects include the New York Science & Technology Center at BioBAT in Brooklyn, for which Tarvin Commercial has been named an exclusive leasing agent. Designed specifically for the life sciences industry, BioBAT is a state-of-the-art complex featuring a wealth of tenant amenities and an ideal location within the Tri-State Region. It is an unparalleled and unique offering in the local commercial market and is yet another sign of positive growth.
Operating under the direction of Andrew Tarvin, a 20-year veteran of the commercial real estate industry, the real estate professionals at Tarvin Commercial leverage their experience and knowledge to not only meet the needs of their clients, but to also exceed them. To learn more about Tarvin Commercial or to discuss the current commercial real estate market and how that pertains to your business, connect with them on the web at http://www.tarvincommercial.com.