The fourth quarter of 2015 continues to show positive trends in the commercial real estate market in New Jersey. Most year-over-year trends in New Jersey indicate continued gains over last year. The strongest gains have occurred in industrial space with a 6.9 percent gain in Y-O-Y asking price/ SF, and a 4.6 percent gain in industrial rent/lease prices. Middlesex County continued to have very strong gains in industrial asking price/SF of 23.5 percent Y-O-Y and 18.6 percent gains in industrial rent/lease prices.
Economic indicators remain positive in New Jersey.
Interest Rates: Per Bankrate: 30 year fixed mortgage = 3.80 percent, 15 year fixed mortgage = 3.07 percent (as of March 7). Rate on 10-year U.S. Treasury Bond = 1.75 percent (as of March 2). A low and declining interest rate environment currently exists, and this is a positive indicator for the commercial real estate market.
The Job Market: The New Jersey unemployment rate was 5.1 percent for December, 2015, compared to a national rate of 5 percent. Unemployment rates continued downward in December, 2015, across the following counties: 3.7 percent Mercer; 3.8 percent Middlesex; 4.0 percent Burlington; 4.8 percent Ocean; and 3.9 percent Monmouth. These historically low unemployment rates and downward trends are positive key indicators for the commercial real estate market.
I am excited to say that all of these positive trends and indicators mentioned above continue to point toward a rebounding commercial real estate market for the fourth quarter of 2015 in New Jersey and surrounding areas.
About Us: Ridolfi & Associates, LLC is a full service commercial real estate company serving central New Jersey and beyond. The company’s headquarters are located in Hamilton and currently has 14 licensed real estate agents and two administrative assistants that service clients’ needs. Our formula for success is to remain current on all the real estate market conditions that may affect the markets we service. We provide our clients with personalized, knowledgeable, and professional service every step of the buying/selling or leasing process. We specialize in:
• Sales/Leasing
• Tenant/Landlord Representation
• Business Brokerage
• Consulting Services
• Property Management
• Property Development
Our offerings include: Medical and professional offices, retail stores, restaurants, warehouse/industrial buildings, land/development sites, and investment properties. Let us put our premier marketing service to work for you.
Ridolfi & Associates, 1245 Whitehorse-Mercerville Road, Suite 402, Hamilton. E-Mail: ridolfi@ridolfi-associates.com. www.ridolfi-associates.com. 609-581-4848. Fax: 609-581-5511.
