Businesses 'heading south' to Monmouth County - Brief Article

As the buzz about commercial development in New Jersey's Monmouth County continues to grow, real estate players and corporate users are quickly recognizing the potential value of "heading south" to invest and conduct business. And with all eyes on Monmouth County, Ocean County - especially its northern area just to the south of the Monmouth border - has suddenly found itself on the map as a natural extension of this blossoming market.

A number of trends in corporate America have influenced the sudden attention to New Jersey's southern markets, including the breakdown of geographical borders afforded by technology and communications capabilities. And changing philosophies are steering companies away from the traditional, collegial approach to occupancy.

Today, they are establishing more remote facilities, recognizing the benefits of multiple locations and their employees' desire for shorter commutes.

Within this context, the greater Monmouth/Ocean region provides a wealth of benefits, including a strong labor force, a growing population, attractive business incentives, affordable housing and outstanding quality of life amenities. The attributes have created a prime market for the "next generation" of real estate development in New Jersey.

Until recently, Monmouth/Ocean's real estate inventory has consisted mostly of industrial product with some office buildings located in highway locations. Today, a number of new projects are changing that topography, including true campus environments like northern Ocean County's Cedarbridge Corporate Campus in Lakewood.

Located on 185 acres designated for redevelopment, Cedarbridge Corporate Campus will include approximately 1.5 million SF of Class A corporate and technology facilities. Its developer, Cedarbridge Development Corporation, will construct up to 14 buildings for lease, including speculative projects. Cedarbridge Corporate Campus' northern Ocean County location, redevelopment designation and quality of life offerings create a prime example of the stellar opportunities emerging in that market.

At the outset, the low land costs associated with designated redevelopment enable Cedarbridge Development Corporation to achieve pricing significantly more advantageous than other properties in the area. The smaller total site development costs will allow the construction of single-story office buildings as small as 60,000 SF, a rarity in New Jersey. The property is approved for one- to five-story buildings with floor plates ranging from 30,000 to 60,000 SF.

Beyond this, the property lies within Lakewood's Urban Enterprise Zone (UEZ) and Foreign Trade Zone (FTZ). Both enhance the park's appeal by providing additional tax and other benefits. For example, the UEZ program includes a "Personal Tangible Property Exemption," which allows items such as office equipment and building supplies utilized at the place of business to be tax exempt.

The campus concept will grow in popularity in the greater Monmouth/Ocean market as the next logical step in the area's evolution.

And as the trend continues, developers will concentrate on projects in areas that provide the ample incentives and lifestyle amenities sought by today's savvy corporate users.

COPYRIGHT 2002 Hagedorn Publication
COPYRIGHT 2002 Gale Group