NEWARK, NJ—In an unexpected boost for a property that expected Prudential Financial to vacate half a million square feet of space in the coming year, Prudential has signed a least to maintain a 160,000-square-foot presence at Three Gateway Center in Newark.

Prudential was expected to relocate all of its offices in Three Gateway to a new, 740,000-square-foot, 20-story office tower it is building on Broad Street across from Military Park. The new building is expected to be completed in the summer of 2015.

Tahl Propp Equities of New York, which owns Three Gateway Center, orchestrated the long-term lease extension with Prudential.

“Prudential's full-building lease with Tahl Propp was scheduled to conclude at the end of this year,” Richard Baumstein of Cushman & Wakefield tells GlobeSt.com exclusively. “Prudential experienced significant internal growth and the new building doesn't have sufficient space to accommodate that. Prudential's decision to continue to lease space at Three Gateway makes a powerful statement to potential tenants for the building's remaining space.”

Prudential currently leases more than 800,000 square feet in the Gateway complex, says Baumstein.

“This is a teriffic shot in the arm for Gateway Center,” says Baumstein. “Gateway Center is getting a lot of action from within the city and outside the city. These are substantial buildings, well-built and well-connected to public transportation.”

Tahl Propp recently named Baumstein, along with Marc Graham and Christian Politan of Cushman & Wakefield's East Rutherford, NJ office, and Bruce Mosler, Alan Wildes and Susan Clayton from the firm's New York headquarters, as exclusive leasing agents for Three Gateway Center.

The building is part of a downtown complex that includes a total of five office towers, four parking structures and the Newark Hilton Hotel. Gateway connects by skywalk to the Amtrak-, PATH- and New Jersey Transit-served Newark Penn Station, with direct access to New York City. Newark Liberty International Airport is just minutes away. The skywalk also serves as a retail concourse with banks, restaurants, a fitness club and more. The complex also is adjacent to the Newark Legal Center, and Three Gateway is located across the street from the Prudential Center sports and entertainment arena.

“Three Gateway Center always has been an extraordinarily well-located and well-positioned asset,” says Rodney Propp of Tahl Propp. “Now, to meet market demand and position the building for multi-tenant occupancy, we are launching a multi-million program of renovations and upgrades to the building's common areas, vertical transportation and mechanical systems.”

With 327,000 square feet currently available, the building features 33,000- and 25,500-square-foot floor plates. On-site amenities include a full-service cafeteria, fitness center, conference center, child care center, six-story shared atrium lobby and a rooftop helipad. The building also offers an extraordinary building signage opportunity for a major tenant.

Three Gateway will undergo a $5 million renovation early next year, says Baumstein, including installation of nine new elevators, renovations of bathrooms on all 19 floors, and a lobby remodeling. Prudential will be vacating a full-service cafeteria space in Three Gateway that will be made available to other tenants of the building, he says.

“Given the property's location, amenity package and quality ownership, we have received a great deal of interest in the remaining space at Three Gateway Center,” said Baumstein. “Importantly, tenants also will have a chance to tap into attractive state incentive packages available through the Grow New Jersey program.”

Instant Insights /

Prudential Will Keep 160K SF at Three Gateway Center

Related Stories

Recommended For You