East Brunswick, NJ-It’s the same place, but different: PNC Bank has extended its 131,363-square-foot lease at Tower Center II here, but has swapped two floors and had its existing space remodeled.
Relocating within the same building is becoming more typical for office tenants, notes David Simson, vice chairman/COO of Newmark Knight Frank’s New Jersey operations, which exclusively represented PNC Bank in the extension.
“Clients are able to operate in 20% to 25% less space,” Simson tells GlobeSt.com. “And most don’t like to live through the inconvenience of construction.” Extending is less expensive and it’s much more likely that any needed infrastructure, including cabling, is already in place, he adds.
“Companies are finding an upgraded image at not a huge upgrade in rental per square foot,” Simson adds. PNC had three years left on its five floors at the 24-story, 424,946-square-foot Tower Center II. The bank had been at the building for more than a decade.
Tower Center is a 25-acre complex containing two office towers and the 405-room Brunswick Hilton Hotel and Conference Center. The market rental in Tower Center II is $30 per square foot. Other tenants include Wells Fargo.
The ownership, a major pension fund with an asset management team advised by Sentinel, was represented by Jeremy Neuer, senior vice president and Joseph Sarno, executive vice president, both with CBRE.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
