The first quarter of 2011 represented the largest positive change in the real estate office market over the last four years. More office space was leased and sold than was vacated by tenants.
The Class A availability rate declined to 22.3 %, which represented the lowest level in 2 years. Inventory in the office market reduced by nearly 915,700 square feet during this first quarter compared to a 1.2 million square feet reduction in all of 2007. Sixteen out of the twenty two Northern and Central New Jersey office submarkets reported this same positive absorption. A large portion of the absorption occurred in the Class A market. This was due to both Class A requirements and a flight to quality opportunities for companies looking to upgrade their space needs while taking advantage of favorable lease terms.
The real estate office market added more space than the amount leased or purchased in Class B & C markets. This is a great time for tenants to negotiate favorable terms, as the window of opportunity for tenants to receive very generous concessions from landlords may be starting to close.
Let us help you find the space you need. Contact us today.
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Jeanne Sabo-Rothenberg, CCIM
Commercial Advisor
eXp Commercial
Cell: (908) 377-9004
https://www.commercialrebroker.com/
jeanne.sabo@expcommercial.com