Tag Archives: North Jersey

Industrial Sector Will Continue to be Driving Force in NJ Construction Next Year

Industrial development is going to continue to be a driving force in New Jersey’s construction industry in the near future but land supply will likely fall short of the demand, according to CBRE, a commercial real estate and investment firm, which released its third quarter industrial market report for the state and looked at 2020 and 2021 as well.

“The demand is there,” said Mindy Lissner, CBRE industrial broker and executive vice president told RealEstateNJ. “It’s justifying the pipeline and what’s getting built, so I don’t think we’re overbuilding—I think we need more buildings right now to satisfy requirements.”

Projected deliveries through 2020 will add roughly 22 million square feet to New Jersey’s stock of industrial space, Lissner said. About a third of that space is “already leased or spoken for,” she said, adding that the firm is tracking between 40 million and 50 million square feet of current demand overall. That would be nearly two-thirds of the state’s overall construction pipeline that CBRE is tracking over a five-year horizon, which comprises about 150 projects spanning 65 million to 70 million square feet, according to the article.

E-commerce companies looking for warehouses to store their products are a primary factor for the quest for more space. But it’s not just about space. These corporations are also looking for more modern, better functioning facilities that have higher ceilings, technology, and better, more efficient layouts than the buildings of the past, Lissner said.

Some of the biggest industrial projects in the state include: the 4.1 million square foot Linden Logistics Center; the Opus Warehouses 975,000 square-foot distribution center in Phillipsburg; and Kingsland Meadowlands three million square-feet of warehouse space on more than 700 acres spanning parts of North Arlington, Lyndhurst and Rutherford.

Industrial construction won’t be the only area to see growth in the near future. The CBRE third quarter office market report released last week predicts that office construction in South Jersey’s Philadelphia suburbs will improve as well with space more than doubling in Philadelphia and the surrounding area, the report said.

North Haledon Hopes to Jump-Start Development with Residential Units

The mayor of North Haledon is praising newly approved housing projects that will go up in his town as a deal that will jump-start development to turn a “blighted” industrial area into a residential neighborhood that will spur more construction in the area, according to an article on northjersey.com.

The multiple Belmont Avenue projects will bring more than 200 apartments–with some affordable housing units among them–and at least 30 townhouses into the area near the completed Belmont Estates townhouses, the story said.

As part of a way to bring in developers, the town is working on a payments in lieu of taxes (PILOT) agreement that would allow the developers to make payments to the town based on a percentage of revenue instead of paying taxes.

The North Haledon mayor called it a good deal saying the town would make a “tremendous amount of money.”

If the developers and building owners paid taxes instead, that tax revenue would have gone to the school district, according to the story.

New Report Ranks Flood-Prone Hoboken As 2nd U.S. City To Be Underwater by 2100

In a special report analyzing data from a 2018 study, 24/7 Wall Street named the top 35 U.S. cities that could be underwater by the turn of the century. Of those 35, nine were in New Jersey with Hoboken coming in No. 2 on the list.

According to the 24/7 Wall Street, nearly 30 percent of Hoboken’s population with homes is at risk of flooding by 2060 and nearly 50 percent of habitable land will be underwater by then. By 2100, 44 percent of Hoboken’s homes will be at risk of flooding and 71 percent of habitable land will be underwater.

But the mayor of Hoboken pushed back on the report, according to News12 NJ, saying that it didn’t take into account the Rebuild by Design project and initiatives the city has planned and has already put in place to fight the city’s history of flooding, including pumps, resiliency parks and underground retention tanks.

Miami Beach, FL, was No. 1 on the list. The other NJ cities are: Atlantic City (3), Ocean City (12), Ventnor City (16), Pennsville (24), Little Ferry (26), Brigantine (29), Margate City (32) and Secaucus (35).

24/7 Wall St. reviewed data from “Underwater,” published June 2018 by Cambridge, Massachusetts-based environmental watchdog group the Union of Concerned Scientists (UCS). That study identified U.S. coastal communities where the largest number of residents live in properties that are projected to face by 2060 the highest level of chronic and disruptive flooding, or effective inundation—defined as being at risk of flooding 26 times or more per year. 24/7 Wall St. reviewed the number of properties and total value of properties that are exposed to flood risk based on a “high” scenario calculated by the Union for Concerned Scientists.

“Cities and institutions can mitigate flood damage by implementing wetlands, levees, and other mechanisms, and many of the cities on this list have taken steps to implement these measures,” 24/7 Wall Street said. “It is important to note that the estimates published by the UCS do not take into account the mitigating effects of such mechanisms.”

American Dream Delayed Again, But Birds and Bunnies Are Coming

What’s a few more months when a project is being measured in decades?

The American Dream takes patience. After many years of previous delays, developers of the mega mall at the Meadowlands have announced yet another one.

The retail and entertainment complex won’t open its doors this summer, as it was announced in March. Instead, this week, developer Triple Five said there would be another delay on the long-stalled project. It is now scheduled to open in the fall. Or at least portions of it is scheduled to open this fall, according to NJ.com.

Some new features in the controversial three-million-square-foot site include:

  • Six grand atriums, including one that will have a garden, aviaries and bunny fields.
  • More than 75,000 LED lights and 25,000 leaves that will create “Albero dei Sogni,” a tree-like sculpture that will “perform” to music several times a day.
  • A 60-foot fashion fountain that can be turned into a catwalk in a matter of seconds.
  • A 60-foot atrium will be an entertainment hub for live events and social gatherings.