Atlantic Health System commits to 533K sf in Morris County

Long-term deal adds 32,000 sf to company’s footprint

Tri-State /
Jun.June 22, 2021 03:20 PM
An aerial of the properties and a close up of 465 South Street, Morris Township (Google Maps)

An aerial of the properties and a close up of 465 South Street, Morris Township (Google Maps)

Atlantic Health System inked long-term lease renewals totaling 533,000 square feet in three New Jersey office buildings.

The nonprofit private healthcare company, which operates hospitals and healthcare facilities in New Jersey, houses its corporate headquarters and some medical offices at 435, 465 and 475 South Street in Morris Township, about a mile from the company’s Morristown Medical Center. The lease includes a 32,000-square-foot expansion at 465 South Street.

A Colliers International team led by Bryn Cinque and James Bailey represented Atlantic Health System in the transaction.

The major lease is an encouraging sign for an office market whose future has been thrown into question by the pandemic-driven shift to remote work. The Garden State’s office availability rate in the first quarter climbed to 21.6 percent, up 4 percentage points from the same time last year, according to a report from Avison Young New Jersey.

Chicago-based Harrison Street Real Estate Capital acquired the office buildings mostly occupied by Atlantic Health System for about $138 million in 2018, according to public records. Harrison Street declined to comment.






    Related Articles

    arrow_forward_ios
    Westchester office market turns corner
    Westchester office market ramps up in Q2
    Westchester office market ramps up in Q2
    Long Island’s office market has slumped as businesses change workplace strategies, an Avison Young report finds.
    Long Island office market on pace for dreadful year: report
    Long Island office market on pace for dreadful year: report
    (iStock)
    Suburban, Hudson Valley home sale prices soar in Q2
    Suburban, Hudson Valley home sale prices soar in Q2
    The share of vacant sublease space in the total vacancy was 16.5 percent, the highest since 2005. (iStock)
    Office vacancy rate in New Jersey nears 19%
    Office vacancy rate in New Jersey nears 19%
    Additional reason for the slowdown in contract signings is shrinking inventory, which is likely to make the market even more competitive. (iStock)
    As inventory shrinks, suburban NYC home market calms down a bit
    As inventory shrinks, suburban NYC home market calms down a bit
    In the Hamptons, retailers are struggling to fill job openings as housing costs soar and the shortage of affordable rental properties persists. (iStock)
    Hamptons retailers struggle to fill job openings as housing cost soars
    Hamptons retailers struggle to fill job openings as housing cost soars
    120 Park Avenue, Philip Morris CEO Jacek Olczak and Fairfield County, Connecticut (Avison Young, Philip Morris, iStock)
    Last puff: Philip Morris exits 120 Park for Connecticut HQ
    Last puff: Philip Morris exits 120 Park for Connecticut HQ
    15 West Dune Lane, East Hampton (Corcoran)
    Beaches, ponds, views: What water access costs in the Hamptons
    Beaches, ponds, views: What water access costs in the Hamptons
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...