North Jersey’s office and industrial markets stay hot in Q2

The life sciences industry accounted for the largest office leases in northern New Jersey during the second quarter, the second consecutive quarter it has done so, according to RE-NJ, citing a Newmark Knight Frank market report. The real estate services firm noted that average asking rents in Garden State grew from $29.23 to $29.52 per-square-foot on a year-over-year basis, while availability increased by 20 basis points on a quarterly basis. NKF noted that the central New Jersey region had the largest trades and leases during the second quarter, the largest of which was the $38 million sale of East Brunswick’s One Tower Center, at 415,743 square feet. The priciest sale per square foot, at $165, was the trade of the 212,535-square-foot 6 Sylvan Way in Parsippany. In the industrial sector, which has remained a robust market in New Jersey in recent months, Cushman & Wakefield reported a record-low vacancy rate in the region at 3.3 percent. The average industrial asking rent rose to $9.27 per square foot during the second quarter. The largest lease inked in the second quarter was in South Brunswick, where an unnamed company took 593,720 square feet at 117 Interstate Boulevard, according to Cushman & Wakefield. A combined 15.1 million square feet of industrial transactions occurred between January and June. The brokerage said that 72.5 percent of deliveries in 2019 have been pre-leased, while 3.6 million square feet of industrial space are expected to be delivered during the rest of the year. [RE-NJ]