5-20-22

M id A tlantic Real Estate Journal — Office & Industrial Distribution Centers — May 20 - June 16, 2022 — 13A

www.marej.com

O ffice & I ndustrial D istribution C enters

Blau & Berg Co. promotes Tamara Blau & Brad Jacobs

By Michael Schipper, SIOR, The Blau & Berg Co. Logistics, Land, and Industrial Real Estate

lease/acquisitions brokered in Summit, Fairfield, Woodbridge, and Kenilworth “ Tammy

SHORT HILLS, NJ — The Blau & Berg Co. has pro- moted Tamara Blau & Brad

I

Jacobs to se- nior director. Blau and Jacobs joined as a team in 2017, and have become a formidable duo in the lo- cal commer-

ndustrial real estate, and more importantly, logis- tics real estate, serves as

While the first quarter of 2022 revealed a decline in overall gross domestic prod- uct, consumer demand re- mained strong. As the engine of the US economy, it is the consumer demand that will continue to dictate the fate of the logistics real estate. So long as the physical demand for product which passes through the supply chain ex- ists, logistics real estate will be in need and in turn enjoy a robust growth trajectory for the foreseeable future. Michael Schipper is se - nior executive director at The Blau & Berg Co. MAREJ

but to increase their fleets while drayage firms have had to expand their operations thus exacerbating the need for land sites. As such the cost of occupy- ing, let alone acquiring these facilities and sites has risen tremendously. Warehousing lease rates in the region have increased an upwards of thir- ty to fifty percent year on year with new build or facilities with abundant land hitting the highest mark. Pure sur- face parking sites in several cases have seen growth in excess of one hundred percent over the same period.

and Brad hit the ground r u n n i n g when they teamed up a few years ago, and each year they’ve estab- lished them-

the conduit everyday consumers have become accustomed to receiving goods and services. Warehouses provide for

cial market. 2021 was high- lighted by multiple deals at 515 Market St., Short Hills; a 13,252 s/f lease at 565 Millburn Ave., which was complicated by environmental issues, the resolution of which were a celebrated win for the local community, and additional Tamara Blau

Brad Jacobs

selves as top brokers in the lo- cal and surrounding markets”, said Jason Crimmins, CCIM, SIOR , president of The Blau & Berg Co. “They earned this pro- motion by improving upon their book of business year in and year out, while complementing each other’s strengths.” MAREJ

Michael Schipper

product storage, truck termi- nals and distribution centers bring the product one step closer to the consumer while storage yards for trucks, trailers, and containers allow for the aggregation of equip- ment necessary to match the product to the consumer. The consumer, however, is the catalyst which dictates how each of these components thrive or decline, and ulti- mately interact. In the past decade, the level of disposable income for the average household has increased by nearly sixty- five percent (11,000 USD Billion to 18,000 USD Bil- lion) according to the Bureau Economic Analysis. It is during this period that the level of consumer purchases through online mediums has more than doubled, which in turn has led to an increased demand for warehouses, distribution centers and all forms of logistic equipment. In the Northeast region of the US, specifically the port areas of New York and New Jersey, consumer needs, coupled with both the effects of pandemic related supply chain concerns and tariffs, has created a hyper demand scenario in which warehous- ers have seized opportuni- ties to capture real estate as it becomes available. Not only has this led to absolute premiums for existing real estate but for the opportun- ists with the wherewithal and time horizons avail- able to them, the push for more space has created an insatiable demand for raw land, redevelopment sites, and conversions all geared toward creation of the next concrete box. With all of this as an effort to secure space ahead of long- awaited arrivals of cargo destined for repeat public consumption, to keep with the pace of demand, trucking outfits have had no choice

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The Blau & Berg Company

Founded in 1932, The Blau & Berg Company holds a leading position in the New Jersey and Tri-State commercial real estate market. We are an independent, full-service commercial real estate brokerage firm providing services in the industrial, retail and office spaces.

SHORT HILLS, NJ | WWW.BLAUBERG.COM | 973.379.6644

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