From NorthJersey.com:
New commercial real estate projects have slowed in NJ thanks to high borrowing rates
Construction in New Jersey isn’t what it used to be. In the commercial real estate sector — think strip malls, industrial warehousing, research and development, and office space — new projects aren’t getting built as much as they were just a couple of years ago.
There are a few new projects in the works. The former Nabisco building in Fair Lawn is undergoing demolition and the site will be converted into a warehouse. And earlier this year a new warehouse opened on the Marcal property in Elmwood Park, just off Route 80.
But commercial construction for new projects has seen a marked slowdown.
Thank interest rates, which the Federal Reserve hiked 11 times between 2022 and 2023 in a bid to tame inflation, which had risen to a 40-year-high in 2022. This month, the Federal Reserve has signaled a possible rate cut in September.
“That’s going to impact construction lending,” said Jim McGuckin, New Jersey’s regional manager in Saddle Brook for the real estate services firm Marcus & Millichap.
The Dodge Momentum Index — a measure of non-residential construction planning — fell 8.6% in March, the largest decrease of the year so far, with decreases being felt in the R&D sectors, and commercial space such as offices and hotels.
…
Meanwhile, office construction has slowed down, Kennedy said. Only the most high-performing downtown offices are seeing high occupancy, such as M Station in Morristown, or areas with easy access to transit, such as the ON3 campus in Nutley.
On the other hand, swathes of suburban office parks have faltered and ultimately succumbed to the wrecking ball.
“We are on the verge of a crisis in the industry, with very little lending ongoing at the regional level because the banks need the money themselves to offset their exposures,” Alan Hammer, executive committee member at the law firm Brach Eichler, told Commercial Property Executive.
…
The real estate services firm Cushman & Wakefield reported in July that in recent months, new leasing and renewals reached their lowest point since the pandemic. Office demolitions and conversions have meanwhile soared, the report added.
Warehouse space in central / south jersey is at a premium. Our company just refused to renew their lease at 3X previous number. Finding something decently priced with easy access to NJ Turnpike and PA Turnpike has been a challenge, or so I’m told.
The real estate services firm Cushman & Wakefield reported in July that in recent months, new leasing and renewals reached their lowest point since the pandemic. Office demolitions and conversions have meanwhile soared, the report added.
To be replaced by “luxury” rental pods starting at $3,500 per month for 1bd/1bth with cardboard walls and aluminum foil fixtures.
Libturd says:
August 18, 2024 at 5:47 pm
“Trump is looking old these days…”
How long did it take you to fully recover the last time you were shot? Meanwhile, despite having been shot by/because of his political opponents, he’s still a thousand times more energetic and lucid than the economic illiterate that the Dems installed as their candidate.
https://youtu.be/HgLVgmGo6Dg?t=18
How long did it take you to fully recover the last time you were shot? Meanwhile, despite having been shot by/because of his political opponents, he’s still a thousand times more energetic and lucid than the economic illiterate that the Dems installed as their candidate.
Wittle Weguwaited. Yes who wants to be wegulaed in America. You can trust us with your data. Bad bad Tiktok. Go Weguwait them.
And your recourse using the Premier American Civil weakazz Justice system that only enriches lawyers? Enjoy a year of FREE Credit Monitoring for your trouble.
( Add Kamala Harrris laughing laughtrack here) Hehe
A major dealer of personal background information confirmed that it had lost control of Social Security numbers and other sensitive data Friday, recommending that consumers put fraud alerts on their files at the biggest credit bureaus and keep a close watch on their financial accounts.
National Public Data posted the warning on its website months after word began circulating of a massive breach, though it is unclear how many victims would think to connect to one obscure company in a sprawling and little-regulated market.
NPD did not say how many people were at risk, but companies like it have records on virtually all Americans. Unlike rules governing credit records, there are few regulations for the hundreds in the data-broker industry, which deals in email and street addresses, phone numbers, Social Security numbers, likely relatives, and property and legal records.
They cleared 5 acres of land near me for a 300 unit luxury apartment complex. Dug big holes, put in big concrete foundations, and then work halted in late spring. Word is developer, “ran out of money”, or loan was denied.
“luxury apartment”
Are those the ones that filter out the odors from your neighbor’s cooking and have the insulated walls so you can’t hear them beat their children?
If you are going to call it luxury, I want bulletproof walls so when the PoPo comes a blasting at the neighbor the bullets don’t penetrate my unit and put holes in my expensive paintings.
Hehe.
Over the weekend again, I noticed that Shop Rite is not nearly as busy is it was a few years ago. It always seems empty now. Where are the lines with full shopping carts? Remember when you couldn’t wheel the cart down the main aisle by the registers because the lines were too long? You could hardly squeeze by. Now? Even with 3 of 10 manned lanes, pick one.
And here’s a question for you guys: if credit card payments start defaulting and people can’t pay, where does the money come from then? Higher fees? Higher interest rates? Tax increases?
Phoenix
They’re only building luxury apartments now in my area. Rent for a 1 bedroom is around what our monthly mortgage is for a 5 bedroom house. No wonder Millenials and gen z are bitter and getting radicalized.
Fast Eddie says:
August 19, 2024 at 9:08 am
“if credit card payments start defaulting and people can’t pay, where does the money come from then?”
If the Dems are in power this simply becomes another vote-buying opportunity. If you thought mortgage bailouts (TARP), auto loan bailouts (cash for clunkers), and of course the completely illegal student loan bailouts were great opportunities for the Dems, wait’ll you see how much taxpayer money they promise to spend for credit card bailouts.
And on the topic of the Dems, can’t wait to watch the DNR (Democrat National Riot) unfold in Chiraq this week. I imagine it’ll look a lot like a Coney Island freak show parade.
Luxury = expensive. plus low income housing per NJ.
we have a pipeline from Montclarians who sell their high tax high value homes but want to stay in the area.
There is great economic illiteracy from both candidates.
Harris thinks that she can set prices without disastrous consequences, and can play Santa Claus and somehow redistribute wealth into free stuff for all.
Trump is a long-time hard-core mercantilist who doesn’t comprehend comparative advantage, and thinks that virtually all imports into the US from any country is an example of them “ripping us off”.
I noticed that Shop Rite is not nearly as busy is it was a few years ago. It always seems empty now. Where are the lines with full shopping carts?
The economy is fantastic. Most people can now afford to shop at WholePaycheck.
Hehe. Just kidding.
Truth is mommy doesn’t want to get off her azz anymore to shop. It’s beneath her. She ordered her food picked and delivered from ShopRite so she can have a quickie with her single neighbor. Keeps the mileage down on the Escalade as well. Plus that pesky Cart Narc guy kept putting stickers on it since she just couldn’t return a shopping cart, that is for the little people to do.
Has anyone seen a new apartment complex constructed in the last 10 years that wasn’t called a “luxury apartment”? I haven’t.
Though I don’t really visit the slums, so I don’t get a diverse sample.
O’Baaahmmaa bailed out the banks, so why not pay off the credit card debts?
It’s only fair. I wonder what dirt they had on that one. Probably had Pegasus on his phone from the day he picked one up at Verizon.
SmallGovConservative says:
August 19, 2024 at 9:31 am
“wait’ll you see how much taxpayer money they promise to spend for credit card bailouts.”
Hold my beer says:
August 19, 2024 at 9:25 am
They’re only building luxury apartments now in my area. Rent for a 1 bedroom is around what our monthly mortgage is for a 5 bedroom house. No wonder Millenials and gen z are bitter and getting radicalized.
bitter and getting radicalized? Well, it’s not like going to the voting booth has, or will ever, help them move forward. Not when there is blatant corruption all all levels of your government.
#noHehe on this one
No One says:
August 19, 2024 at 9:36 am
Has anyone seen a new apartment complex constructed in the last 10 years that wasn’t called a “luxury apartment”? I haven’t.
“Luxury” is the lube you grease it with to help it slide in easier. Hehe.
No One 9:34,
What is worth, both are beholden to the powers that be that cause most of it. Oligolopic pricing powers after all the mergers, like 3 big meat processors and the constant lowering of interest rate to keep Wall & Main Street financial gambling going.
China’s cheap products kept the real cost of all the industry mergers that have created a background of oligopolies. Pick any field and you are going to see a handful of companies where they use to be dozens.
Hold: That is what I have been saying, no wonder the young people are pissed/ disheartened. Then we have some old geezers saying it was just as hard back in the 80 s. I am one of those 80s people, and it was not as hard as today.
The Chinese are going to keep pounding on the doors and windows of America with an economic tidal wave of cheap goods which AVERAGE Americans need to keep themselves afloat.
Not just the snobs that can afford 3 Teslas that come with the socialist government discounts that was stolen from other taxpayers to give to them.
Just like this:
https://www.youtube.com/shorts/_kw46KWQIYc
BreakUp Oligopolies says:
August 19, 2024 at 9:48 am
What a handle. This is Capitalism. It’s 100% American. Stop it already.
You don’t break this up. They worked for it. Yes, bribing politicians is hard work. It takes lots of capital and the ability to be discreet so you don’t get caught like Menendez.
Hehe.
Or you can listen in on their phones with Pegasus and get the real dirt.
Extortion is hard work too. It’s not easy to break into every Iphone in existence. You need very smart nerdy guys to do this.
I pray for the day the Chinese hack into all of our politician’s cell phones and post all the things they say about the Proletariats of America.
Luxury Equals building lobbies with couches and plants. Also a sophisticated name for the building, like the Cambridge house. Also, mini balconies where you and one other person can sit out, and watch the traffic or trains go by. Grey and white kitchens and baths , with those big ass faucets in the kitchen sink, and the rain shower heads in the bathroom. Oh, and fake hardwoods throughout.
Ever been to Costco?
Fast Eddie says:
August 19, 2024 at 9:08 am
Over the weekend again, I noticed that Shop Rite is not nearly as busy is it was a few years ago. It always seems empty now. Where are the lines with full shopping carts? Remember when you couldn’t wheel the cart down the main aisle by the registers because the lines were too long? You could hardly squeeze by. Now? Even with 3 of 10 manned lanes, pick one.
Shocking to hear what comes out of Trump’s mouth.
He had a sound bite about “Drill Baby Drill”.
That he will get the price of oil down 50% within 12 months. Pauses and refines it to 15 months, then says 12 to 15 months.
WTF? Energy is about the one thing that really isn’t expensive. Why is focusing there?
It also seemed like a prepared remark, not just riffing.
Who is advising him to say this stupidity?
The stuff coming out of Harris’s mouth is so foolish that any prepared remark should turn her into chop Suey, and he can’t do it.
No One says:
August 19, 2024 at 9:34 am
There is great economic illiteracy from both candidates.
Harris thinks that she can set prices without disastrous consequences, and can play Santa Claus and somehow redistribute wealth into free stuff for all.
Trump is a long-time hard-core mercantilist who doesn’t comprehend comparative advantage, and thinks that virtually all imports into the US from any country is an example of them “ripping us off”.
Wanna see Geezers?
Go to the casino. They are full of people who collect Social Security and Medicare.
They cry for a cost of living increase, cause these slot machines are very thirsty and addicting.
They get a property tax break, up to 165k of income, 11 times the poverty level, cause without that tax break they can’t afford to keep those coins and chips flowing at the casino, the drinks they need to exercise their livers, and the comped rooms that make them feel like they are special.
All of this generated with Socialist Government Money. While our “so called” hero ex soldiers are on the streets of California in homeless camps begging for money or healthcare, and our previous “Commander in Chief ” Trump telling them their medals are worth less than the ones that he hands out because he thinks he is some sort of God, Allah, Messiah, Yahweh, Guru or whatever the F he thinks he is.
Hehe.
This country is becoming more dysfunctional every day.
But I can buy a Chinese made 60 quart refrigerator for my car that works on 12v or 120v- cools down to minus 8 degrees in 45 minutes, all for the massive sum of 160.00.
Keep the Chinese goods flowing. Full speed ahead. They are about the only thing that is a bargain in extortionist America.
It’s so funny seeing that ICON, a Harbor Freight brand, is winning against Snap-On in tests done on YouTube. There is no area being left untouched by the Chinese where they will not excel and will kicc some azz.
It takes time, but like a freight train, it’s coming.
Count me shocked. SHOCKED I say.
https://www.wealthmanagement.com/equities/gamblers-are-dumping-stocks-bet-sports-new-study-says
Ever been to Costco?
Yeah. Always crowded. Is that the difference? Perhaps so.
There are fewer larger companies in a number of industries, mostly because that’s how they can get efficiencies up and costs down. For example, JBS the “oligopoly” meatpacker last year barely earned an adequate return on invested capital. Low margins. Costco gained share in wholesale clubs over Sams Club and BJs while keeping margins thin, basically staying around 4% EBIT margin forever. Regional grocery and general stores always were higher cost and charged more than Walmart and Target. But Walmart’s margins have actually dropped over the past 20 years, quite thin, so clearly focused on using its volumes to pass through lower costs.
The idea that oligopolies are somehow raking in record margins is a fantasy rather than something based in data. You know where the high margins are in the economy? Companies with a lot of intellectual property, like patents or brands, or some better mousetrap. “Everyday luxury” stuff like Lululemon or Nike, or Starbucks. Where people blow what could be their 401k savings $20/day on lifestyle choices.
Housing is one of the most fragmented industries in the country, yet housing costs have risen a lot. Trump gets some credit for that – made it more difficult to find Mexican construction workers, and slapped tariffs on Canadian lumber.
And never forget the real cause of inflation – monetary and fiscal policy. Years of government deficits and sub-natural interest rates and debt monetization eventually had an impact on the general price level. Businesses are the messenger, not the generator. There has been no notable general rise in industry margins, particularly not within Consumer Staples or Consumer Discretionary sectors, outside of industry mix shifts toward more “luxury” products.
US propagandists are using the Venezuela playbook.
Regulate, deficit spend, print money, voters feel good for a few minutes then see inflation, government blames business, regulates business more, business reacts to falling profits by investing less in capacity, then the government repeats the cycle, more regulation, more funny money, more inflation, and then blaming “greedy corporations” for all of their peoples’ misery.
It can happen here too.
Italics off
So, O’Biden is going to give a speech and they’re going to give him a love letter at the SNC Convention. How fake on their part. Geezus, if I was in his shoes, I wouldn’t even show up. They forced him out, Peelosi threatened the 25th amendment and he’s going to fall on the sword? Where’s your pride, Joe?
Housing is one of the most fragmented industries in the country, yet housing costs have risen a lot. Trump gets some credit for that – made it more difficult to find Mexican construction workers, and slapped tariffs on Canadian lumber.
Let’s not forget about those pesky hedge funds that should be abolished.
Fast Eddie says:
August 19, 2024 at 10:45 am
Where’s your pride, Joe?
Joe Biden: “Huh? Who is Pride? I don’t remember anyone named Pride. Now get me my prune juice.”
I wonder how Jill Biden views all of this.
3b says:
August 19, 2024 at 11:06 am
I wonder how Jill Biden views all of this.
She just counts the money since she will outlive him by 20 years or more.
“They get a property tax break, up to 165k of income, 11 times the poverty level…All of this generated with Socialist Government Money.”
That’s in your shithole armpit of a State. Fix it, or keep bitching expecting someone else to lift your load like some over entitled suburban housewife in the dump that is your NJ.
Walmart has expanded heavily into grocery. Off the top of my head it is more than 50% of revenue versus de minimus 20 years ago. I think they view the foot traffic as just compensation for crushing their margins. As a bonus, they got to skirt the COVID restrictions in the early days of the pandemic.
No One says:
August 19, 2024 at 10:39 am
But Walmart’s margins have actually dropped over the past 20 years, quite thin, so clearly focused on using its volumes to pass through lower costs.
I know inflation has been bad, and people are suffering. However, the increase in everyone’s lifestyle for roughly the same cost or less is completely ignored. Everyone has an air conditioner, I grew up in an apartment building with no air conditioning. Everyone has a massive TV. Everyone has a cell phone in their pocket. Everyone has connectivity. These are massive, first world luxuries, and everyone takes it as an entitlement. This is all part of every day living and is embedded in the costs. But people just look at money out of the pocket and don’t focus on , what you get per dollar. The cost of energy has barely moved in 30 years. It’s that we just use so much more of it on an individual basis. People are so ignorant of history and quick to complain.
SmallGovCon
The Troubled Asset Relief Program (TARP) is a program of the United States government to purchase toxic assets and equity from financial institutions to strengthen its financial sector that was passed by Congress and signed into law by President George W. Bush.
Also, 9/11 happened under GWB’s tenure. Just in case you are inclined to blame it on Obama.
Chi – re: “increase in everyone’s lifestyle”. Yup….
800 Million air passengers around 1980. It peaked at 4.6 Billion around Covid and it was about 75% is Leisure travel. There is an average of 9,728 planes carrying 1,270,406 passengers in the sky at any given time and all of those those flights generate around a billion tons of C02 a year somewhere around 2% of worldwide CO2 emissions.
80 yr is too old to be president
I’m not. Inflation was something we didn’t have for so long, it was only a matter of time before we had to pay the economic piper. Of course, the outsized performance of the markets certainly kept me from getting too razzed about it. The shrinkflation, on the other hand, is pure deception and there should be class action suits raised against the companies that continue to do it. OJ now has 52 ounces instead of 64. Yogurt, from 8 ounces to 5.3 ounces. Even Gatorade has shrunk from 32 oz. to 25.5. The snack food makers (potato chips) have left the bag the same size, but put much less in it. There was once an FTC that looked out for the consumer. Now there are 680 lobby’s that bribe the FTC annually. It’s all pay for favor at every level. Same at the local level. Did I ever tell you guys that Montclair’s municipal workers switched their healthcare fromt he state insurer to one ran by Joey (triple dipper) DiFrancesco’s brother?
Chi, also major increases have happened in housing (owning and rental), higher education, and health care. Housing sometimes feels like it’s a thing first times (and people wanting to upgrade) will fall behind all the time. Push back NIMBY people, have
much less expensive colleges (MOOCs, high quality online courses with practicals and exams at nearby community colleges), and rein in health care costs, and it will a good start.
Biz class in Japanese, Singapore or Middle East airline is the way to go
Juice Box says:
August 19, 2024 at 12:25 pm
Chi – re: “increase in everyone’s lifestyle”. Yup….
800 Million air passengers around 1980. It peaked at 4.6 Billion around Covid and it was about 75% is Leisure travel. There is an average of 9,728 planes carrying 1,270,406 passengers in the sky at any given time and all of those those flights generate around a billion tons of C02 a year somewhere around 2% of worldwide CO2 emissions.
Maga opposes any kind of regulation that’s why FTC is useless.
Maga set up the current system for their own benefit and yet they are the first to complain about it.
Libturd says:
August 19, 2024 at 12:47 pm
There was once an FTC that looked out for the consumer. Now there are 680 lobby’s that bribe the FTC annually. It’s
Lib: I had no idea a municipality could opt out of a state insurance plan.
If it’s cheaper. Less than three years later, they switched back.
Lib: Conflict of interest in the first place. But, it is NJ so no surprise.
Very Were not the boomer Democrats responsible for setting up the system too?? And, have they not benefited from it too?I don’t recall them being against it.
Holy retrace Batman……. NVDA…. WTF?
Dinner (Phoenix Edition):
https://www.tiktok.com/@rural_life_china/video/7401523761415048478?lang=en
Chgo: Goldman says AI is not a bubble. I would think that is helping NVDA stock.
NVDA has been doing wtf things for 2 years straight now
3B – David Solomon could not even get a checking account or an Apple Credit card off the ground…
I’ll take advise from someone else.
Juice: True, but people will listen as it’s Goldman. I could have told Dave that it would be a fiasco. GS was never into serving the everyday people. That decision was made decades ago. They don’t want to be a financial supermarket.
3B – For AI the road ahead is going to be a long one for the Cloud companies, Microsoft, Google, Facebook and X are in an Arms Race now and are investing tens of billions in new datacenters. AI Capex spending has dug about a $500 Billion dollar hole that needs to be filled with revenues. Those revenues are still out there on the Horizon.
AGI is not coming tomorrow that is for certain….where will the massive revenues come from? Paying 8,000 for a single chip today that will be obsolete in a few years time? Who is to say….David Solomon?
BREAKING NEWS!
George Santos, the disgraced ex-G.O.P. congressman, pleaded guilty to identity theft and wire fraud and faces prison time.
Monday, August 19, 2024 3:57 PM ET
While Santos’s plea will allow him to avoid a trial on a total of nearly two dozen charges, it all but ensures he will face at least two years in prison
Stable – Bigger fish was Menendez. Where was your breaking news post?
For Maga that improved his chances of reelection
Very Stable Genius says:
August 19, 2024 at 4:20 pm
BREAKING NEWS!
George Santos, the disgraced ex-G.O.P. congressman, pleaded guilty to identity theft and wire fraud and faces prison time.
Monday, August 19, 2024 3:57 PM ET
While Santos’s plea will allow him to avoid a trial on a total of nearly two dozen charges, it all but ensures he will face at least two years in prison
Juice: When Dems do bad things,it’s just ignored like it did not happen.
3b
In 2000 We bought a 2 bedroom townhouse with 10% down and I borrowed the down payment from my 401k. Mortgage plus 401k payment was about $100 more than rent on our apartment. I suspect the spread is much bigger than that today.
In 2011, I had to put 140k down to qualify for my 435k house. 40 percent down.
Juice: AI may be years away to reach its full potential, but it’s ultimately going there. May need universal income at some point in the future.
Hold: I would think so. Ultimately, I think the Democrats will win, as they have a better message for young people. They are full of crap about most of it, but their message appeals to the younger generations, who in some respects are clueless. Part of that is the public education they are a product of as well as colleges that often times seem to indoctrinate, not educate.
Trump’s message is just about Trump for the most part.
In other news GM is laying off 1000 people in its salaried and software divisions.
3b says:
August 19, 2024 at 5:48 pm
“I think the Democrats will win, as they have a better message for young people.”
What is that message, and who has delivered it? I’m sure you know that neither SlowJoe nor Carmella have communicated anything that remotely resembles a coherent policy — let alone actually accomplished anything — so what is the Dem message?
Small: Vibes, feelings, just vote for us, we will forgive student loan debt, give you 25k for houses, price controls for groceries. We love you and believe in you.
Look I can’t say the entire party is appealing in every way. the Clinton’s doing the Macarena was one of the cringiest moments that I have ever had to watch. Obama isn’t as cool as he thinks he is, and our boy Biden is a walking zombie. But it’s still better than what the GOP is offering.
What software does GM develop that it needs more than 1000 developers for?
LAX: agreed. It’s also a much more positive message even if it’s positively bullshit. I think Trump’s playpen antics are entertaining less and less these days. It’s like listening to Dice Clay do his Mother Goose schtick. It was funny the first time. By the 5th time, you realize how stupid it is.
Still waiting for Kamala, who I feel is not experienced enough, especially on world matters, to speak off script. It will probably be the debate and that’s it. Pretty sad. Still I’ve listened to Trump speak off script, which is always and I’d rather not hear him at all, ever again.
This country really is in trouble. The future POTUS is the tip of the iceberg. What are going to do when we can no longer afford the debt service on our debt? We can only legalize and tax so many bad behaviors before we are a country of sports-betting, drug-addicted, nymphomaniacs.
Perhaps OnStar has lost it’s shine? After all, most smartphones do the same thing and for free.
Looks like an insurrection happening in The Islamic Republic of Chicago.
No, it’s just a really big crowd. Something Trump wouldn’t know much about.