Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WOODBRIDGE, NJ-Commercial real estate in New Jersey is holding reasonably steady, according to new 3Q figures issued by the Garden State’s office of Julien J. Studley Inc., here. Space availability and rents were both virtually unchanged from the previous quarter – which may be a good sign.

The overall availability for office space came in at 16.5%, compared to 16.4%, and class A office space actually dropped a bit, from 18.1% to 17.9%. Rents, similarly, barely moved, with overall asking rents dropping by just 3 cents a foot to $24.46. Class A rents decreased by just a penny a foot to $26.51.

One ominous note, however, is that “the leases on approximately 4.4 million sf of the market’s 11.7 million sf of sublease space will expire by 2005,” according to a Studley spokesman. “This will have a substantial effect on the bottom line for building owners. The market could resemble conditions seen in the late ’80s, when overbuilding swamped the state with empty office property.”

“Unless the economy rebounds, the impending conversion of millions of sf of sublease space to direct space may soon force building owners to become more proactive,” the spokesman concludes.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?



Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.