1Q
Southern New Jersey 2015 Retail Market Report
NAI Mertz | + 856.234.9600 | www.naimertz.com
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1Q
Southern New Jersey 2015 Retail Market Report
Quarter in Review Southern New Jersey’s vibrant retail scene continued to thrive in the first quarter of 2015. The overall vacancy rate in Burlington, Camden and Gloucester counties saw a slight decrease to 7.9% during the first quarter of 2015, down from 8.0% at the end of the fourth quarter of 2014. The average quoted asking rental rate for available retail space in southern New Jersey was $12.16 per square foot (triple net) at the end of the first quarter of 2015. Net absorption for the southern New Jersey retail market was negative 208,700 square feet in the first quarter of 2015. That compares to a positive 5,684,100 square feet in the fourth quarter of 2014. Various retail development projects are underway in southern New Jersey. Most notably, the 376,000-squarefoot Gloucester Premium Outlets, a Simon-PREIT joint venture, which recently announced its first round of signed retail tenants, including Adidas, Banana Republic, Gap, Brooks Brothers, Cole Haan and more. Significant redevelopment plans are also underway in the region, particularly in Camden County along Haddonfield Road. In the first quarter of 2015, two office buildings sold in the span between the Cherry Hill Mall and Garden State Park—1012 Haddonfield Road and 706 Haddonfield Road. Both have plans for conversion into retail uses.
NET ABSORPTION
VACANCY RATE
CONSTRUCTION
ASKING RATES
Source: CoStar (2015)
NAI Mertz | + 856.234.9600 | www.naimertz.com
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1Q
Southern New Jersey Retail Market Report
Q1 2015 Stats # Bldg: Market Size:
Vacancy Rates 8,507 92,563,181 SF
Total Vacancy:
7,339,552 SF
Vacancy Rate:
7.9%
Closed Sales:
52
Sublet Availability:
10%
8%
6%
10
11
12
13
15
14
406,734 SF
NNN Rent PSF:
$12.16
Net Absorption:
-208,700 SF
Net Absorption 600 500 400
Under Construction:
76,020 SF
300 200 100 0 -100 -200 -300 -400 -500 -600 -700 -800 10
11
12
13
14
15
Source: CoStar (2015)
NAI Mertz | + 856.234.9600 | www.naimertz.com
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Q1
Southern New Jersey Demographic Overview
Burlington County
Population: 449,722 High School Diploma: 91.9% Bachelor’s Degree or Higher: 34.6% Median Househould Income: $78,446 Households: 164,979
Camden County
Population: 511,038 High School Diploma: 87.1% Bachelor’s Degree or Higher: 29.1% Median Househould Income: $61,683 Households: 187,941
Gloucester County
Population: 290,951 High School Diploma: 90.9% Bachelor’s Degree or Higher: 28.4% Median Househould Income: $74,524 Households: 104,145
Source: United States Census Bureau (2013)
NAI Mertz | + 856.234.9600 | www.naimertz.com
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Burlington County, NJ Market Overview Q1 2015 Stats* Total Properties: Market Size: Vacancy: Vacany Rate: Closed Sales:
1,532 22,407,801 SF 2,109,801 SF 9.4% 18
Top Retail Destinations in Burlington County Moorestown Mall & East Gate Square | Moorestown
Macys, Lord & Taylor, Boscovs, Sears, Best Buy, Old Navy, Regal Cinema
Promenade at Sagemore | Marlton
Apple, J. Crew, Banana Republic, L.L. Bean, Redstone, P.F. Changs, Brio
Centerton Square | Mount Laurel
Wegmans, Target, Costco, Bed Bath & Beyond, Chipotle, DSW, Starbucks
Towne Crossing Shopping Center | Burlington Twp
Target, Kohls, Dicks, Office Max, Home Depot, Regal Cinema
Marlton Square | Marlton
Trader Joes, Gap, Charming Charlie, Starbucks, Ethan Allen, Bluemercury
Marlton Crossings | Marlton
DSW, Micheals, Home Goods, Payless, Joyce Leslie, Pearl Vision, Champps *Source: CoStar (2015)
NAI Mertz | + 856.234.9600 | www.naimertz.com
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Camden County, NJ Market Overview Q1 2015 Stats* Total Properties: Market Size: Vacancy: Vacancy Rate: Closed Sales:
3,379 28,960,602 SF 2,162,582 SF 7.5% 10
Top Retail Destinations in Camden County Cherry Hill Mall | Cherry Hill
Nordstrom, Macys, Sears, Apple, Urban Outfitters, JC Penneys + restaurants
Marketplace at Garden State Park | Cherry Hill
Wegmans, Best Buy, Home Depot, Nordstrom Rack + restaurants
Garden State Pavillion | Cherry Hill
Staples, Shop Rite, Burlington Coat Factory, Petco, Ross
Ellisburg Circle | Cherry Hill
Whole Foods, Dollar Tree, Stein Mart, Dressbarn, BuyBuy Baby
Hillview Shopping Center | Cherry Hill
Target, Kohls, Petsmart, Sports Authority, BabysRUs, Lowes Cinema
Shoppes at Cross Keys | Gloucester Township
Chicos, Anne Taylor Loft, Justice, New York & Co, JOS Banks + restaurants
Voorhees Towne Center | Voorhees
Macys, Boscovs, FinishLine, Bath & Body Works, Lenscrafter + restaurants *Source: CoStar (2015)
NAI Mertz | + 856.234.9600 | www.naimertz.com
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Gloucester County, NJ Market Overview Q1 2015 Stats* Total Properties: Market Size: Vacancy: Vacancy Rate: Closed Sales:
679 4,738,968 394,443 8.3% 5
Top Retail Destinations in Gloucester County Deptford Mall | Deptford
Boscovs, JC Penneys, Macys, Sears, Coach, Disney + restaurants
Deptford Plaza | Deptford
Barnes & Nobles, Best Buy, TJ Maxx, Dicks, ToysRUs, Bonefish Grill
Turnersville Auto Mall | Turnersville
BMW, Honda, Chevrolet, Acura, Cadillac, Nissan, Hyundai, Toyota
Washington Plaza | Turnersville
LA Fitness, Burlington Coat Factory, Petsmart, Kohls, Five Below, T.G.I.Fridays
Cross Keys Commons | Turnervsille
Walmart, Lowes, Marshalls, Ross, Petco, Old Navy, Bed Bath & Beyond
College Town Shopping Center | Glassboro
Kmart, Staples, Goodwill, Game Stop, TD Bank, Checkers, Joyce Leslie
*Source: CoStar (2015)
NAI Mertz | + 856.234.9600 | www.naimertz.com
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Q1
Southern New Jersey Retail Market Transactions
Notable Lease Transactions by NAI Mertz
701 Route 70 W | Marlton
Leased 3,200 SF in Marlton Square Shopping Center
1224 Haddonfield Road | Voorhees
811 Route 33 | Hamilton
Leased 3,000 SF unit
Leased 3,649 SF to MedExpress Urgent Care
Notable Sale Transactions by NAI Mertz
2030 Lakewood Drive | Toms River Sold a 4,800 SF garden center on Route 9
3400 Black Horse Pike | Haddon Twp Sold a 20,200 SF auto showroom
1 Mt. Ephraim Avenue | Haddon Twp Sold a 4,730 SF auto body shop
New to the Market at NAI Mertz
1811 Route 70 | Cherry Hill
16,000 SF of retail space available for lease
1110 Route 73 | Mount Laurel Former gas station or 1 AC retail redevelopment site
2932 Haddonfield Road | Pennsauken
Former 2,252 SF bank or 2.78 AC redevelopment site
NAI Mertz | + 856.234.9600 | www.naimertz.com
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Executive Leadership Barry Mertz, SIOR CEO 856.234.9600
[email protected]
Scott Mertz, SIOR President 856.234.9600
[email protected]
Fred Meyer, SIOR Dir. Corporate Services 856.234.9600
[email protected]
John Adderly Managing Director 856.234.9600
[email protected]
Rick Gordon Vice President 856.234.9600
[email protected]
Jeff Sloan Sales Associate 856.234.9600
[email protected]
Jonathan Klear Vice President 856.234.9600
[email protected]
Retail Services Marc Cutler Vice President 856.234.9600
[email protected] Cynthia Stinger Broker Assistant 856.234.9600
[email protected]
Marketing Team Patrick Sweeney Marketing Director 856.234.9600
[email protected]
Richard Rabeau III Marketing Associate/Graphic Designer 856.234.9600
[email protected]
THE INFORMATION HEREIN, WHILE NOT GUARANTEED, HAS BEEN SECURED BY SOURCES DEEMED RELIABLE BY NAI MERTZ. NAI MERTZ GATHERED THE INFORMATION THROUGH VARIOUS SOURCES, INCLUDING BUT NOT LIMITED TO, PROPERTY REPRESENTATIVES, COSTAR, UNITED STATES CENSUS BUREAU, MUNICIPAL RECORDS, INDUSTRY PERIODICALS AND MAGAZINES, AND OUR OWN IN-HOUSE DATA BASE.
Mount Laurel, NJ Philadelphia, PA Southampton, PA Wilkes-Barre, PA
+856 234 9600 +215 221 1100 +215 396 2900 +570 820 7700
NAI Mertz | + 856.234.9600 | www.naimertz.com
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