Two reports released by the real estate firm Transwestern state that the industrial market in New Jersey has remained stable during the third quarter of 2016, despite the change in the political landscape due to the results of the general election.
“National and local commitments to improved infrastructure will help drive a thriving industrial market strengthened by the rapidly growing e-commerce sector,” said Matthew Dolly, director of research in New Jersey for Transwestern. He referred to Amazon’s recent completion of the largest industrial lease in New Jersey during the quarter, the statements made by President-elect Donald Trump on the need to improve infrastructure and the new gas tax legislation recently signed by Gov. Chris Christie.
The firm's Third-Quarter 2016 Industrial Market Report for New Jersey found consistent growth in rent and the largest year-over-year increase, at 12 percent, since 2000. According to the report, this growth is consistent with a stretch of positive net absorption in New Jersey for the last 14 quarters.
The new gas tax could push consumers to shop online, further driving the growth of e-commerce in the state, and is expected to continue to raise the demand for industrial real estate, particularly along the New Jersey Turnpike, the report added.