HACKENSACK, NJ-The Meadowlands commercial real estatemarket is warming again after three straight quarters of positive absorption, says NAI James E. Hanson in its winter 2014 report.
The company surveyed the status of 1,026 commercial buildings in the Meadowlands that have 20,000 or more square feet.
“The Meadowlands submarket, which demands the highest average asking rental rates in New Jersey due to its proximity to New York City, continued to demonstrate improving conditions in 2013,” said Thomas Vetter, a member of NAI Hanson's Meadowlands team.
He said his company completed 32 transactions in 2013, and leased or sold more than 600,000 square feet.
Two recent developments raise hopes that the market temperature will continue to escalate, Vetter said:
- The legal logjam stalling construction of the American Dream retail/entertainment complex in East Rutherford has been cleared away at last (see story here), so construction can recommence.
- Development of the Teterboro Landing retail/office project adjacent to Teterboro Airport is proceeding
NAI Hanson reports that 172 leases were signed in the Meadowlands last year, for a total of 5.2 million square feet. Of those leases, 77 were for spaces exceeding 20,000 square feet, and 66% of the space was leased during the first six months of the year.
Today, there is about 7.5 million square feet available in the Meadowlands, representing an 8.2% vacancy rate, up from 7.6% in the fourth quarter of 2013.
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.
