NEWARK, NJ-Three Gateway Center, part of the complex Prudential will leave behind for its own new tower here in about a year, is being marketed as a low-cost alternative headquarters location for corporations wanting proximity to Manhattan – and a bargain.
"For firms relocating from outside of New Jersey, the cost savings are extraordinary,” says David Simson of Newmark Grubb Knight Frank, which has been named to reposition, market and re-lease the 19-story tower. There will be 579,000 square feet available at Three Gateway when Prudential locates in late 2014.
NGKF is promoting the potential for substantial tax-credit awards under the state's new Economic Opportunity Act. Bonus credits are available to companies relocating in Newark because of its Urban Transit Hub status. Prudential got state-sponsored incentives including transit hub tax credits to remain in Newark with its new tower going up a few blocks away.
Three Gateway, part of the four-tower Gateway complex, is a decades-old structure with luxurious amenities, including a cafeteria, fitness center, daycare center, conference center, parking and rooftop helipad. Landlord Tahl Propp Equities is planning a major capital improvement program after Prudential's departure that will include:
- redesigned lobbies
- new elevator landings and bathrooms on the 27,000-square-foot floors, and
- upgrades to all the building's systems.
"At the conclusion of our capital improvement program, Three Gateway will be the crown jewel of Newark, with state-of-the-art design and systems that will rival any new construction on the east coast," said Rodney Propp, chairman of Tahl Propp.
The office is connected via skyway to Newark Penn Station, which has direct train service to New York Penn Station as well as regional train service.
"The location is ideal for New York-based corporations looking to take advantage of lesser cost alternatives" said Tim Greiner, who is teamed with Simson, Hope Brodsky and Harrison Russell, all of NGKF's Rutherford office, and William Cohen of the firm's New York office for the assignment.
"The area is a dynamic example of revitalization, offers plenty of amenities for employees, and is a quick 12-minute train ride from midtown Manhattan," said Greiner.
The building is across from the Prudential Center arena, which hosts professional and collegiate sporting events, family shows, concerts and other special events. The New Jersey Performing Arts Center, The Newark Symphony, Riverfront Stadium, many restaurants and stores are all in the vicinity.
Tenants can apply for relocation incentives to the state's Economic Development Authority, which administers two incentive programs, Grow NJ and Economic Redvelopment Growth under the new EOA.
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