E-commerce Company Leases 374,000 SF

EDISON, NJ-Newegg.com has signed a lease for the entire 374,148-sf industrial building at One Gourmet Dr. here, GlobeSt.com has learned. The company, which sells computer hardware, software and a variety of consumer electronics and communications products to a variety of customers online, will use the building for distribution purposes.

Newegg.com was represented in the transaction by Scott Belfer, first vice president of CB Richard Ellis. The owner of the building, the Rutherford-based Morris Cos., was represented in-house by the firm's Ron Schram. Terms of the signing were not disclosed, but the lease had been listed recently on the Morris Cos.' website with an asking price of $5.75 per sf, triple-net.

"This location will allow shorter, more cost-effective delivery time of their products," Belfer tells GlobeSt.com, noting the site's proximity to the New Jersey Turnpike and New York City. "The market also has the work force that's critical for Newegg.com's needs."

The signing also marks the third deal CBRE has done to date for the City of Industry, CA-based Newegg.com in the Garden State. A year ago, as reported by GlobeSt.com, CBRE was at the table when Newegg.com signed a lease for 77,000 sf of distribution space at ProLogis' Cranbury Business Park in Cranbury. And CBRE brokers also represented Newegg.com in a 5,500-sf office lease at 600 Parsippany Rd. in Parsippany.

Newegg.com's new location here is within the New Jersey Turnpike Exit 10/I-287 industrial submarket, which is among the largest such submarkets in the Garden State with nearly 100 million sf of inventory. The new building is equipped with 49 tailboards, according to Belfer, and has 36-ft ceilings. It also has an office component, and rail access is available.

Founded in California in 2001, Newegg.com now has more than five million registered customers, according to information released by the company. It also has more than 1,200 employees at its various global locations.