LOGAN TOWNSHIP, NJ—In its farthest reach into the deep south of New Jersey, J.G. Petrucci has acquired a 76-acre land parcel adjacent to the Pureland Industrial Complex in Logan Township, NJ, where company president Jim Petrucci says the firm is likely to build a single 800,000 square-foot distribution complex. 

"We're excited," Petrucci tells GlobeSt.com exclusively. "We've really never been, on the industrial side, south of Exit 8A. Any time you open up a new market it's certainly interesting. We view it as a longer-term play."

The site needs a range of approvals and utilities still need to be brought to the site, Petrucci says, so a groundbreaking is not likely to take place this year.

"We're hoping it's just the first of many down that way, in what is a pretty thriving market," he says.

Many observers of the industrial markets of central and northern New Jersey see the Lehigh Valley as a logical direction for expansion of industrial capacity, given the limited development opportunities north of Exit 8A, but Petrucci says he is comfortable expanding south.

"We've been in the Lehigh Valley since 1988, and in terms of industrial projects, we've probably done more than anyone, certainly more than any of the New Jersey developers that are out there," he says. "To us, this complements a pretty strong presence that we already have in the Lehigh Valley."

The site is the location of the former Logan Township airport, and is minutes from two exits of I-295 and the Commodore Barry Bridge, providing access to the City Philadelphia, Philadelphia International Airport and I-95.  The ability to connect to the region's interstate highway network has long attracted distribution and manufacturing operations to Pureland and its immediate surroundings.  Amazon and Home Depot are among the national retailers with operations in the park; and the ability to provide quick deliveries to a large population has also led to a concentration of food manufacturers and distributors to take space in the park.

"Southern New Jersey will always have a centralized location in the Northeast in its favor. The state has competitive incentive programs working to its advantage in attracting tenants as well," says Petrucci.  "With high demand for class A industrial space in this area, we are confident our facility will be leased prior to completion."

Scott Mertz, SIOR, president of NAI Mertz, represented the seller, Corporate Enterprises, Inc.

"A lot of the deals are e-commerce- and 3PL-driven," Mertz tells GlobeSt.com exclusively, noting the huge segment of the US population in the New York-Washington corridor that the Pureland complex straddles. "Strategically we're in the right location."

The 2016 market is turning out to be "phenomenal," so far, Mertz says.

"This year could be one of our best years. The last two years have been great, and this year we anticipate continuing the growth," he says. "The inventory is starting to decrease, but we're in central and south Jersey, and with the prices in North Jersey, we see them quite inflated. Some of them are starting to trickle down the Turnpike. In the last 24 months, we're starting to see larger buildings being built and larger companies coming south."

"What Jim brings to the table is he is a design-and-build firm," says Mertz. "He can think a little differently, outside the box, than institutional investors. He's more flexible in what he can do."