Both the commercial and residential real estate markets in New Jersey are stabilizing or showing signs of improvement, but are far from robust, industry insiders said Wednesday. “We’ve hit bottom in commercial real estate,” said Gil Medina, executive managing director of the New Jersey operations of commercial brokerage Cushman & Wakefield. Nationally, vacancy rates, asking rents and absorption — the difference between the amount of space vacated and occupied during a given period — all have signaled a stabilization in the market, Medina said, speaking at a conference held by the Rutgers Economic Advisory Service, in New Brunswick, Wednesday morning.
And New York’s commercial real estate market — to which the New Jersey market is strongly tied — is showing signs of positive growth, he said: “New York City is going to start driving the New Jersey market.”
But commercial real estate still has a long road to recovery, Medina said. For example, the state’s industrial market has 52.4 million square feet of warehouse and distribution space available, and much of it is housed in outdated, obsolete facilities that will need to be torn down, he said.
In the residential sector, the foreclosure moratorium is casting a large shadow on recovery prospects, said Patrick O’Keefe, director of research at Roseland-based accounting firm J.H. Cohn. Full Story in NJBIZ.
“We’ve hit bottom in commercial real estate,” said Gil Medina, executive managing director of the New Jersey operations of commercial brokerage Cushman & Wakefield.
WRONG: the market is going to continue going down as the economy gets worse & worse-sadly-& more people need to go into forclosure. it will take at least until 2013 before any prices stop going down. speak to your HONEST economist-not cheerleader economist like her above-about the future so you know when is the best time to buy a house.