JLL to Head Leasing for 201 KSF NJ Office Building
By Barbra Murray, Contributing Editor
There is a long list of tenants on the roster at Greenbrook Executive Center in Fairfield, N.J., but Accordia Realty Ventures L.L.C. wants it to grow longer. To that end, the owner of the 201,300-square-foot office building has tapped Jones Lang LaSalle to serve as the exclusive leasing agent for the property.
Accordia has owned Greenbrook since 2006, when the company acquired the three-story building for $32 million. Carrying the address of 100 Passaic Ave., the recently renovated 22-year-old office facility is positioned on approximately 18 acres near I-80 and Rte. 23, just a stone’s throw from Essex County Airport and adjacent to the Greenbrook Country Club. Greenbrook’s Class A accommodations and desirable location have helped lure occupants ranging from premier financial services firms to the State of New Jersey, and the goal for JLL is to keep them there and fill up the remaining square footage. Presently, more than 43,700 square feet can be made available for occupancy.
“We are clearly a top asset in the submarket and believe we will outperform the marketplace,” Fred Hyatt, vice president with JLL, told Commercial Property Executive. “We are confident the building will lease up in a short time and we are excited about that.
However, bringing an office building up to maximum occupancy in many parts of the Garden State is no simple feat these days. According to a JLL report, during the third quarter the average vacancy rate for Class A properties was 20.4 percent in Northern New Jersey–and 38.6 percent in the I-80/23 submarket.
“On a macro scale, the real estate market is so depressed at this time the neighboring submarkets are very competitive,” Hyatt added.
The jobs market is the culprit. At 9.9 percent, New Jersey’s unemployment rate during the third quarter was its highest in three decades, as noted in the report.
JLL is undeterred by the numbers and so is Accordia. “We believe that tenants want to be housed in a location that reflects well on their businesses and we are confident that Jones Lang LaSalle will be able to identify many high-caliber candidates,” Joseph Romano, principal with Accordia, said in a prepared statement.
For the time being, it appears that renewals are the bread and butter of the New Jersey office market. In the third quarter, 59 percent of all lease deals were renewed commitments. The fact that 60 percent of all new lease transactions involved small blocks of space bodes well for Greenbrook.