Risk & Business Magazine Hardenbergh Insurance Group Magazine Winter 2018 | Page 26

WCRE THIRD QUARTER REPORT Wolf Commercial Real Estate Third Quarter Report SUMMER SLOWDOWN SLIGHTLY COOLS SOUTHERN NEW JERSEY AND PHILADELPHIA CRE MARKETS W olf Commercial Real Estate (WCRE) is a full- service commercial real estate brokerage and advisory firm specializing in office, retail, medical, industrial, and investment properties in Southern New Jersey and the Philadelphia region. We provide a complete range of real estate services to commercial property owners, companies, banks, commercial loan servicers, and investors seeking the highest quality of service, proven expertise, and a total commitment to client-focused relationships. In our latest quarterly analysis, we noted that the Southern New Jersey market took an expected pause in the third quarter of 2018. Leasing and sales dropped off somewhat from their earlier pace, but the market still shows overall solid fundamentals, continued new investments from outside of the region, and economic inflows to support local expansion. “A lot of the positive trends we’ve been tracking for several quarters are still in place, so there are reasons to stay bullish,” said Jason Wolf, founder and managing principal of WCRE. “But activity did cool off noticeably, at least in part due to summer.” MOST REAL ESTATE MARKETING IS PRETTY TRADITIONAL. CRT Main Commercial Realty Real Estate Company AVAILABLE FOR SALE 856-555-1234 US Real Estate For Lease OURS IS ANYTHING BUT. • Landlord Representation • Tenant Representation • Research & Marketing Information • Corporate Real Estate Representation • Investments • Property Management • Appraisal & Advisory Services • Construction Services For more information, visit WolfCRE.com or call 856-857-6300 Marlton, NJ | Philadelphia | King of Prussia, PA 26 There were approximately 274,931 square feet of new leases and renewals executed in the three counties surveyed (Burlington, Camden, and Gloucester), which was down about 10.5 percent compared to the previous quarter. The sales market stayed active, with about 1.43 million square feet on the market or under agreement. This metric was essentially unchanged. New leasing activity accounted for approximately 32 percent of all deals. Overall, gross leasing absorption for the quarter was in the range of approximately 194,282 square feet. Other office market highlights from the report: • Overall vacancy in the market is now approximately 11.3 percent, which is nearly one point higher than the previous quarter. • Average rents for Class A & B product continue to show strong support in the range of $10.00-$15.00/sf NNN or $20.00-$25.00/ sf gross for the deals completed during the quarter. These averages have stayed near this range for most of 2018. • Vacancy in Camden County increased to 12.3 percent for the quarter. • Burlington County vacancy was up more than a full point to 10.4 percent, after falling during the first half of the year. WCRE has also expanded into southeastern Pennsylvania, and the firm’s quarterly reports now include a section on transactions, rates, and news from Philadelphia and the suburbs. WCRE also reports on the Southern New Jersey retail market. The third quarter saw consumer confidence inch upward in September after dramatic improvement in August. It is in the range of 18-year highs. The job market is remarkably strong, supporting consumer spending and reverberating through other indicators. The full report is available upon request. Learn more about WCRE online at www.wolfcre.com, on Twitter and Instagram @WCRE1, and on Facebook at Wolf Commercial Real Estate, LLC. Visit our blog pages at ww.southjerseyofficespace. com, www.southjerseyindustrialspace.com, www. southjerseymedicalspace.com, www.southjerseyretailspace.com, www.phillyofficespace.com, www.phillyindustrialspace.com, www. phillymedicalspace.com and www.phillyretailspace.com. Jason M. Wolf, Managing Principal of Wolf Commercial Real Estate, has 22 years of landlord, tenant, and corporate representation experience, specializing in office, retail, medical, industrial, and investment properties in Southern New Jersey and the Philadelphia region. You may reach him at Jason. [email protected] or 856-857-6300. BY: JASON WOLF