PISCATAWAY, NJ—Best Buy will lease a 725,000-square-foot building being constructed at the Rockefeller Group Logistics Center, a 228-acre site in Piscataway, NJ.
“Signing a lease with a high-caliber company like Best Buy at the Rockefeller Group Logistics Center validates our vision for the master-planned development as one of New Jersey's largest and most sought-after distribution hubs,” says Clark Machemer, senior vice president and regional development officer for Rockefeller Group's New Jersey/Pennsylvania operations. “Furthermore, the company's decision to take space in Piscataway is a testament to the market's recognition of the Interstate 287 corridor as the next frontier for well-located industrial development in the state.”
Best Buy—now the first official tenant of the Logistics Center—will fully occupy the new building. Through the opening of its new logistics facility, Best Buy says it will move more than 300 Best Buy and third-party jobs to Piscataway.
“We think that Best Buy made a great decision,” says Piscataway Mayor Brian C. Wahler. “We welcome Best Buy to Piscataway and we are excited for the increased economic activity in our community.”
Best Buy plans to open the distribution center before the 2018 holiday shopping season. The facility will deliver major appliances and large-screen televisions to more than 90 Best Buy stores and directly to customers throughout New Jersey and parts of New York, Connecticut, Pennsylvania and Delaware. The facility will also provide customer service and support for repairs.
“We're excited to expand our supply chain capabilities with this new, larger distribution center,” says Jeff Shelman, Best Buy senior director, external communications. “With the growth of our appliance business and our strong market share position in home theater, this facility will help us serve our customers more effectively and more efficiently.”
Cushman & Wakefield's Jules Nissim, Stan Danzig and Marc Petrella are exclusive marketing and leasing agents for the development, and represented Rockefeller Group in the transaction.
When completed, the master-planned Rockefeller Group Logistics enter will include six buildings, ranging in size from 200,000 to more than 800,000 square feet. Representing a combination of speculative and build-to-suit opportunities, the properties can accommodate users with a wide variety of size and infrastructure requirements. The facilities also boast an advanced-functionality design that allows for future growth.
“Location absolutely remains key in New Jersey's industrial market, and the Rockefeller Group Logistics Center provides Best Buy with a prime transportation-oriented location with access to the region's major thoroughfares and robust labor pool,” says Cushman & Wakefield's Nissim. However, user requirements today go well beyond location. Best Buy was in search of a next-generation building that could support its continued growth, and that is exactly what the company committed to in Piscataway.”
Flexible transaction options allow for users to either lease or own space within the property. Additional notable features and amenities include 40-foot building clear heights, excess trailer parking for each individual building, on-site rail service, two means of ingress and egress to the site, and an existing 30-year “payment in lieu of taxes,” or PILOT, agreement, with the municipality.
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Steve Lubetkin
Steve Lubetkin is the New Jersey and Philadelphia editor for GlobeSt.com. He is currently filling in covering Chicago and Midwest markets until a new permanent editor is named. He previously filled in covering Atlanta. Steve’s journalism background includes print and broadcast reporting for NJ news organizations. His audio and video work for GlobeSt.com has been honored by the Garden State Journalists Association, and he has also been recognized for video by the New Jersey Chapter of the Society of Professional Journalists. He has produced audio podcasts on CRE topics for the NAR Commercial Division and the CCIM Institute. Steve has also served (from August 2017 to March 2018) as national broadcast news correspondent for CEOReport.com, a news website focused on practical advice for senior executives in small- and medium-sized companies. Steve also reports on-camera and covers conferences for NJSpotlight.com, a public policy news coverage website focused on New Jersey government and industry; and for clients of StateBroadcastNews.com, a division of The Lubetkin Media Companies LLC. Steve has been the computer columnist for the Jewish Community Voice of Southern New Jersey, since 1996. Steve is co-author, with Toronto-based podcasting pioneer Donna Papacosta, of the book, The Business of Podcasting: How to Take Your Podcasting Passion from the Personal to the Professional. You can email Steve at [email protected].
