NEWARK–Public Service Enterprise Group has committed to another 15 years at its downtown Newark landmark headquarters, which it has occupied since its construction in 1979. Colliers International New Jersey negotiated the 825,000-square-foot renewal.
"Newark has been our home for more than 100 years and we're committed to the city," says Ralph Izzo, chairman, president and CEO of PSEG in a release. "The finances and logistics worked and allowed us to stay in downtown Newark, a place we're proud to call home."
Robert Martie, Colliers’ regional executive vice-president and a long-time Newark specialist, says “Transactions of this size and stature are rare, and will help define the future of this city.” He notes that PSEG and the building owner, Wells Real Estate Investment Trust II, plan “significant” updates and energy efficiency improvements to 80 Park Plaza.
Bryn Cinque and Eric Witmondt of Colliers represented PSEG in the lease renewal at 25-story glass tower, which houses 1 million square feet of office space. Cinque says the brokerage conducted an extensive analysis of the real estate possibilities for PSEG, which had considered relocating parts of its operation.
Ultimately, “PSEG is an integral part of New Jersey and the City of Newark and was committed to retaining its existing headquarters,” says Cinque in a statement from Colliers.
“This was a great outcome,” he adds. “The city, state and, of course, the landlord, were very receptive and accommodating.”
The publicly traded energy company has annual revenues of $12 billion and employs 10,000 people, about 1,650 of whom work in the headquarters building.
Martie says the PSEG lease builds on the momentum Newark has gained with federal and state infrastructure investments totaling more than $100 million and Panasonic Corp.’s decision to build a new $200 million headquarters downtown.
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