- Sustained demand for high cube distribution boxes over the last three quarters.
- Vacancy fell from 3.71 % to 3.5% however actual
- Asking rental rates continued to trend upward to $8.84 PSF (3% from the previous quarter, 10% year-over-year and 50% over the last five years)
- Amazon’s current footprint in the state is close to 12MSF
- Two leases (new & renewal) totaled over 2MSF
- Home Depot leased 1.3 MSF on Elm Street in Perth Amboy
- Uniqlo signed 975,761 SF at Bridge Point 78
- Down from 2018 however still healthy with over 7MSF under construction
- Largest projects under construction include Kingsland Meadowlands 3MSF and Linden Logistics Center’s 4.1MSF
- The NJ/NY port is the second largest port in the US
- Trade volumes continue to surge
- Activity at the port has been remarkably healthy
- Year-over-year container volume has increased 6%
- Over 4.3M TEU’s handled year-to-date
According to Costar report, high incomes and educational attainment help stabilize Northern New Jersey’s retail fundamentals. Slow and steady growth has been a theme of the metro’s performance this cycle.
The Northern NJ Office market remains stable with positive momentum and a robust leasing activity. Rental rates remained steady.
Multifamily fundamentals are strong in the Northern New Jersey metro. As construction has ramped up in recent years, the market has proven capable of attracting a depth of apartment demand. Construction has centered around transportation hubs, with access to New York City becoming ever more important as the region’s traditional economic drivers falter, according to Costar reports.
“While confidence could continue hovering around current levels for months to come, at some point this continued uncertainty will begin to diminish consumers’ confidence in the expansion,′ The Conference Board said. Trade tensions and tariffs have put pressure on the consumer confidence however discussions with China and the US seem to be taking a positive turn.
Online sales increased 3.2 % year-over-year or close to 11% in total on retail sales.