MARKET WATCH. Market Highlights

Transcription

1 MARKET WATCH Market Highlights Office Total Inventory 362,968,225 SF Total Vacancy Rate 14.10% Average Rate $24.32 PSF YTD Net Absorption 2,081,326 SF Industrial Total Inventory 804,891,880 SF Total Vacancy Rate 7.30% Average Rate $6.29 PSF YTD Net Absorption 5,747,414 SF Retail Total Inventory 376,628,391 SF Total Vacancy Rate 5.20% Average Rate $19.58 PSF YTD Net Absorption 1,835,775 SF Q/Q Fourth Quarter 2015 Industrial Market Continues to Strengthen in 2015 The Northern New Jersey industrial market continues to strengthen vacancy rates decreased from 7.7% for the third quarter to 7.3% for the fourth quarter, while rents increased from an average of $6.24 PSF to $6.29 PSF for the fourth quarter. The average rate for flex-type space for the fourth quarter was at $11.56 PSF. The largest lease transaction for the 2015 year include Amazon leasing 1,064,515 SF at 8003 Industrial Avenue in the Union Market and one of the largest sale transactions was the sale of 1 & 7 Costco Drive, Monroe Township. This sale included over 1,200,000 SF of space and sold for $62,650,000. The Northern New Jersey office market vacancy rate remained relatively stable at 14.1% for the fourth quarter of 2015 and 14.2% for the third quarter, while average office rents increased from $23.84 PSF to $24.32 PSF for the fourth quarter. Class A properties experienced the highest vacancy rates at 16.6%, while Class B had a $14.8% vacancy rate and Class C properties were at 8.3% vacancy for the fourth quarter. The largest office lease transaction for 2015 includes the sale/leaseback by Verizon Wireless of 1,306,380 SF at 295 North Maple Avenue in the Somerset market. One of the largest sales transactions was the sale of 201 & 203 State Route 17 North, Rutherford. This office project is 602,729 SF and sold for $121,100,000 or approximately $200 PSF. Economic Indicators Unemployment Rate National 5.00% New Jersey 5.10% Median Existing Home Price National $224,100 Consumer Confidence Index 96.30% 10 Year Treasury Yield 2.27% WTI Crude Oil Price $37.13 Select Sitar Transactions 4Q 2015 The lease of 104,005 SF of industrial space at 699 Kapkowski Road, Elizabeth, New Jersey to CMC Food, Inc. from North Industrial Center, LLC. William Sitar, Jr. and John Cranley were the salespeople in this transaction. The lease of 13,952 SF of office space at 242 Old New Brunswick Road, Piscataway, New Jersey to State Farm Insurance from 242 Walton Partners, LLC. Robert Bogash and Doug Sitar were the salespeople in this transaction. The lease of 11,561 SF of industrial space at 21 Alpha Road in Chelmsford, Massachusetts to Roof Diagnostic Solar & Electric, LLC from KS Partners, LLC. Ron Schrader Jr. was the salesperson on this transaction. The sale of a 60-unit apartment complex on 200 McKinley Court, Princeton, New Jersey from M&G McKinley Investments, LLC to Princeton McKinley, LLC. Giorgio Vasilis and Joseph Allegro were the salespeople in this transaction.

2 Office Industrial Retail Large Blocks of Absorption Fourth Quarter 2015 NJ Turnpike Authority 205,000 SF 1 Hess Plaza, Woodbridge Lowenstein Sandler PC 170,000 SF 56 Livingston Avenue, Roseland WeWork 101,000 SF One Journal Square, Jersey City List Logistics 571,000 SF 75 Mill Road, Edison National Retail Systems 439,015 SF 301 Broadway, Jersey City East Coast Warehouse & Distribution 312,412 SF 202 Port Jersey Boulevard, Jersey City Xscape Theatres 56,000 SF 5315 Route 9, Howell Toys R Us 55,000 SF American Dream Meadowlands, Carlstadt Bob s Discount Furniture 30,000 SF 316 State Route 15 South, Wharton FEATURED LISTINGS RETAIL The Shoppes at New Visions 101 Prosper Way, Brick, NJ Please contact: Office: Helena Loelius Cell: Trista Ricciardelli Cell: OFFICE Former Bank Branch 220 Chestnut Avenue, Roselle, NJ Please contact: Office: Brian Murphy Cell: John Cranley Cell: INDUSTRIAL 1325 Highway 34 Wall Township, New Jersey Please contact: Office: Doug Sitar Cell: Gregg Nowell Cell:

3 Office: Quoted Rates by Submarket Office: Vacancy Rates by Submarket

4 Industrial: Quoted Rates by Submarket Industrial: Vacancy Rates by Submarket

5 Retail: Quoted Rates by Submarket Retail: Vacancy Rates by Submarket

6 About Sitar Realty Company One of the greatest strengths of the Sitar Realty Company is our ability to offer experience and expertise in all forms of real estate brokerage. Among our specialties are office and industrial leasing and sales, property disposition, consulting for acquisitions, investments, joint ventures and asset management. We are active in tenant representation as well as owner representation for exclusive agencies. Our intimate knowledge of the New Jersey real estate market has often meant a shorter lease-up period for exclusive properties. Most of our brokerage activity takes place in the New Jersey and New York metropolitan area and Pennsylvania. Yet, our repeated success with corporations seeking space in other states has assured these firms of the Sitar Realty Company s strong brokerage network throughout the country. Time is critical in today s market. Whether the requirement is 2,000 or 800,000 square feet, Sitar Realty Company s personnel utilize the resources available to fulfill the requirement thoroughly and professionally. From site selection through data analysis, advice, negotiation, and closing, Sitar Realty Company offers a turnkey solution to each transaction. Our goal is to provide the vital services our clients need and expect in an expeditious and comprehensive manner. Sitar Realty Company Services Commercial Brokerage Leasing and Sales Investment Services Property Tax Consulting & Appeals Property Management Services Rent Receiver Services Award-Winning Research Consulting and Advisory IRA Real Estate Residential Division Sitar Realty Company Locations Sitar Realty Company specializes in servicing all real estate markets in New Jersey. The Company is headquartered in Middlesex County, New Jersey with two additional offices located in Monmouth County, New Jersey Oak Tree Road - Iselin, NJ Tel: Fax: Washington Boulevard - Sea Girt, NJ Tel: Fax: Lake Avenue - Asbury Park, NJ Tel: Fax: TCN Worldwide TCN Worldwide, a consortium of independent commercial real estate firms, provides complete integrated real estate solutions locally and internationally. With approximately $20.7 billion in annual transactions and over 80 million square feet of space under management, TCN Worldwide ranks as one of the largest service providers in the industry. Across all property types and service groups, TCN Worldwide s 1,200+ brokers and salespeople have a well-earned reputation for independent thinking and cooperative problem solving in more than 200 markets worldwide. The data collected herein has been derived from Dept. of Labor, Dept. of Commerce, The Federal Reserve, CoStar, Sitar Realty Company, U.S. Census Bureau of Labor Statistics, Port Authority of NY & NJ and NJEDA. Data may not reflect what was previously reported due to new information coming available. The information gathered is deemed reliable, but no warranty or representations are made as to the accuracy thereof and is submitted subject to any errors or omissions. The ideas and opinions expressed in this market report reflect the views of Sitar Realty Company.