From NJBIZ:
NJ construction outlook strong as spending rebounds
According to data presented by Otteau, as interest rates rose the volume of commercial investment real estate property sales in New Jersey fell by more than half – from $13 billion to $6 billion. “But we’re starting to see that ramp up, because interest rates have come down a little bit on construction lending and on permanent lending for commercial real estate, and that volume is kicking up,” he said.
And that movement foreshadows construction starts will improve, as well.
“Because as investors buy office buildings or retail centers … then there’s the recapitalization, there’s the renovations, there’s the property improvement plan that goes along with that increased activity, which we project will continue to rise now into the remainder of this year and out into next year,” according to Otteau.
It’s quite a reversal. He noted that CRE construction spending fell from 2022 to the end of 2024. Due to the high costs of borrowing and construction, “It didn’t make sense to build anything.”
In a little less than five years since the start of the pandemic, construction costs for new projects have gone up by 34% in North Jersey and 32% in South Jersey, according to Otteau.
“And it didn’t make sense to buy anything, because your interest on your loan cost you as much as your income and you really weren’t going to make any money at all,” he continued. “We’re seeing that commercial property values are now beginning to increase across the board, and that tells us that there will be more value, more deal flow, more repair and improvement programs across the construction spectrum.”
Local commercial real estate transaction volume across sectors jumped from $8.2 billion in 2020 to about $13 billion in both 2021 and 2022, before falling to $5.9 billion and $6 billion, respectively, in 2022 and 2023. Data in the presentation estimates that figure will start to rise again this year, to $7.5 billion.
…
New Jersey is already leader when it comes to construction spending.
While national figures have fallen 3%, locally they’re set to rise 17% above 2024 levels this year. “That’s a big number,” Otteau said, noting that most year-over-year changes range from 2% to 5%.
Aggregate construction spending in the Garden State will add up to more than $16 billion this year, according to the presentation. And while Otteau says the state is doing well, the increase in activity does raise concerns about the labor pool and how wages will respond.
In addition to wage concerns, looking closer at New Jersey construction jobs also creates some confusion, Otteau said. Despite the increase in activity here, total sector jobs figures from the Bureau of Labor Statistics began to dip at the end of 2024, before sliding down to 156,000 total in July of this year.
“The New Jersey numbers don’t make any sense to us, where we’ve had a continuing string of substantial job losses, fewer people working in construction in recent months – even though spending is going higher and higher,” Otteau said.
Off the books employment could be boosting this number. Otteau also noted that the percentage of undocumented workers in New Jersey construction is “significantly greater” than the rest of the country. In addition, there’s a deficit of young people entering the workforce.
Unfortunately, the fix there may be a tougher sell in the current political climate. “We have a labor shortagethat’s coming online here and the only way that we’re going to be able to address that is to increase immigration,” Otteau said.
Work this …
Off the books employment could be boosting this number. Otteau also noted that the percentage of undocumented workers in New Jersey construction is “significantly greater” than the rest of the country.
ICE would be far more productive if we staffed it with illegals.
In addition, there’s a deficit of young people entering the workforce.
When I worked in construction, there was a slew of us white guys hauling cement, lumber, installing sanitary and concrete storm pipe… where are these guys today? What are they doing?
Oh well.
https://www.youtube.com/watch?v=IgSN8mM6IJM
6:34 shooting up churches…rolling coal…working on their 3rd divorce…
The last two Government shutdowns happened under Trump with Republicans holding a majority in the House and Senate.
January 2018: 3 days
December 2018- January 2019: 35 days
Republicans do not know how to govern.
When I worked in construction, there was a slew of us white guys hauling cement, lumber, installing sanitary and concrete storm pipe.
Those used to be union jobs.
You could make enough money to satisfy the typical American young woman with that career back then. Not so much today. No pension, no gold mine.
Now there is a shortage.
Voting against economic self-interest, working class Maga votes against Union
Dark Phoenix says:
September 30, 2025 at 7:13 am
Those used to be union
If there is a government shutdown, there will be a delayed job report.
Dark: I have family members in construction in NYC, they are all union members, all making 6 figures, even more with over time. They still get time and a half pay as well.
Grim & Chi,
Will AI significantly diminish Jr banker jobs? Seems like AI can do a whole lot more than write a good pitchbook in 30 sec like massive financial modeling and how do smaller Ibanks compete during the time when they are behind the majors in AI implementation and still have pre-AI cost structures?
https://www.cnbc.com/2025/09/30/jpmorgan-chase-fully-ai-connected-megabank.html
Where is the commercial construction, is it retail, warehouses? Can’t see much demand for new office space, perhaps renovation.
NYC is almost all union construction, not so when you get to the burbs. I would imagine the total pay package including benefits for the union trades is north of $150 an hour. I remember when it crossed the $100 threshold in NJ / PHL 15 years ago, we had to keep a union truck driver on payroll to deliver to the union job sites or he couldn’t get unloaded.
Once you are outside of Manhattan or Philly the union trades diminish rapidly unless there is government money involved. Schools, colleges, airports, military bases, etc. Anything taller than say 6 stories the unions get back in as well.
The 3-4 story apartments, condos or whatever are all immigrant labor from the concrete to the painters and everything in between. Some steel work may be union. SFH are all immigrant labor.
The other issue for the owners of the trades companies is getting paid. Developers and building owners love to hold onto the money for an extra 60-90 days. Have a golf buddy that owns a smallish non union electrical contracting company, like 25 guys working for him, second generation. His specialty lately is warehouses. Has millions of dollars on the street. Union jobs don’t have that problem.
where are these guys today? What are they doing?
Watching NewsMax. Abusing NSAIDs in an attempt to control lower back pain. 3rd divorce. Renting out their two paid off homes to millenials. Living in Flaaaryda.
where are these guys today? What are they doing?
I mean, what are the 20-something guys doing today. We were killing ourselves for peanuts. And Union jobs? What’s that? I was making $8 per hour, 10 hours per day.
Speaking of jobs, I just got a promotion.
Now you are a fat Oligarch who votes against taxing Billionaires
Fast Eddie says:
September 30, 2025 at 9:27 am
where are these guys today? What are they doing?
I mean, what are the 20-something guys doing today. We were killing ourselves for peanuts. And Union jobs? What’s that? I was making $8 per hour, 10 hours per day.
DEI for the old
Fast Eddie says:
September 30, 2025 at 9:28 am
Speaking of jobs, I just got a promotion.
Fast Eddie says:
September 30, 2025 at 9:28 am
Speaking of jobs, I just got a promotion
https://m.youtube.com/watch?v=Bq22AX_LHts&pp=ygUXbW9udHkgcHl0aG9uIGtlbiBzaGFiYnk%3D
DEI for the old
Now, that’s an idea!
In Florida I’ve met some really good people in construction and home repair making livings for themselves without getting tied up in union BS. People doing work for people, doing a good job and earning word of mouth recommendations. Not a bunch of NJ/NY union gripers who don’t even have enough confidence in their own worth, hoping the union can force someone to pay them more than they’re worth, same as the next guy.
My few years in a NY union showed that the envious loser mentality is strong there.
You spent a few years in a NY union!? Tell us more!
My few years in a NY union showed that the envious loser mentality is strong there.
An envious loser mentality can move and thrive anywhere.
(Bloomberg) — Google agreed to pay $24.5 million to resolve Donald Trump’s claims that being banished from his YouTube channel after the Jan. 6, 2021, riot at the US Capitol was illegal censorship, according to a court filing.
Lol! They can join Meta, Disney and CBS at the pay window. Lol!
More Trump achievements. Spin this, liberals.
President Donald Trump announced an agreement with Pfizer to voluntarily sell its medications at lower prices, as his administration pushes to link U.S. drug prices to the cheaper prices paid abroad.
Pfizer has agreed to take measures to lower U.S. drug prices, including selling its existing drugs to Medicaid patients at the lowest price offered in other developed nations.
It comes after Trump sent letters to Pfizer and 16 other drug makers calling on them to take steps to lower drug prices by Sept. 29.
I had a friend who’s boss would employ non-union labor on iron work jobs that were required for union. He was obviously skimming. My friend was the non-union guy doing the ironwork. He said some dude with glasses showed up one day asking him for his union card and he told him to leave him alone. The rest of the day he was looking over his shoulder to see if he was going to get jumped.
My observations from 3 years in a union:
The Union arranged pay to be predominantly based on seniority.
The Union hated performance-based bonuses. They pretty much hated the whole idea of “performance”.
Result: there were two groups of employees. 1) The union lifers who were mediocre or worse, whose pay had risen over time to levels they would never be paid elsewhere, given their mediocrity. 2) the generally younger more talented people who came in, worked the hardest with the best results, discovered that because of the union contract that it didn’t matter, and then left for higher paying jobs that rewarded performance, usually within about 3 years. 3) the union representatives and enthusiasts within the department were among the least talented and least innovative at their work. 4) the actual union organization leaders were borderline morons whose whole range of expertise was pretty much just propagandizing against “management”.
I found a job elsewhere in year 3 after winning performance awards that were worth nearly nothing financially. A few years later that department was all the weaker “lifers” that couldn’t be fired individually, so instead they closed the whole department.
yEaH bUt hE dOnAtEs hIs sAlArY
A quick question: Relocating to Union county, NJ. Negotiating the Buyer commission. I realize this is usually paid for by the Seller, but it is always better to come in with a low rate. Broker proposed 3.0% of course. Was think to come back at 2.5%. Fair, or not?
Go with the sellers agent and negotiate your commission to 0.5%
Hire a good inspector.
Came here to post about this blue pile of shit
https://www.islandpacket.com/news/local/crime/article312305154.html
The biggest physical danger now is from men in uniform.
Union card? Cash gets you one no problem….
https://www.lawcommentary.com/articles/former-ny-union-boss-sentenced-to-five-years-for-membership-bribes
Since we are at it, we should share about Homan’s bribe.
https://www.msn.com/en-us/news/politics/trump-aide-homan-accepted-50000-in-bribery-sting-operation-sources-say/ar-AA1N0LTR
Not to mention the $15Million bribe https://www.politico.com/news/2024/12/14/trump-abc-stephanopoulos-settlement-00194391
Fast: Congrats on your promotion.
The union absolutely despises any aspect of pay to play. When a coworker of mine went on medical leave, the admin asked me if it was possible to pick up 2 additional classes (that’s a 50% increase) in workload. Basically, it meant I was teaching 8 to 3 through without bathroom or lunch breaks often. I did it because it essentially raised my pay 50% for that pay period. The union came to me and said they would like me to decline it as they did not want to set a future precedent for anyone else. My reply was “they have the right to say no…it’s in the contract”. I also asked them what I would get for doing so given that about $12k was on the line. They said absolutely nothing. Naturally, I didn’t listen to them and made the cash.
Fast forward to today, they purposely wrote it into the contract because of me and me only that teachers can never teach more than 1 additional class outside of contract.
I had a new metal garden gate installed yesterday. The company is just down the street and does great work. With tax, installation and taking the old wooden gate the total was just under 2,200€. That price included repairing a broken Rolladen on one of the living room windows. Not cheap but it is quality work. They also build carports, terrace roofs, hand rails, etc, almost any construction involving metal. Keep in mind the workers for this company are all German and labor costs are expensive. Some construction people here do occassionally use illegal workers sometimes get caught.
Congrats Gayry
Looks like all your dreams are coming true. Next up!
Watching fellow Americans bayoneted at the hands of the US Army!
greatest will ensue. LOL
Hey Chad gag on a schnitzel
ExS,
I haven’t had a schnitzel in a while. I prefer Schäufele or maybe even Kaiserschmarrn (ohne Rosinen!). Not sure what that stuff costs at the Oktoberfest but more than I‘m willing to pay. They are making a fortune down there. They had so many guests a couple of days ago that the police wouldn‘t let any more people enter the fest area.
I will never understand why people in Arizona are behind cheap plastic vertical blinds, paying massive utility bills, when people in Germany have Rolladen.
Rolladen on the west coast should very much be a thing, instead people hang cotton sheets, aluminum foil, vertical blinds, and some other sht.
Gayry – Reacher would never support American troops deployed against American people.
Boomer Remover,
The other thing with Rolladen is that when you have them all down your house is much more secure against burglary. Add in a metal front door with a security lock and you have a little fortress.
My FIL instructed me to close all the rolladen when I was in Suwalki last month. The morning of my departure I pulled a bit too hard on the ribbon in the kitchen and it rolled up… and stayed there.
I had to chip away sprayed on stucco to get to the external box and still wasn’t able to fix it. I did lower it manually, so the house is secured until December when my FIL will stop in.
I had some custom lamps made in Poland, minimalistic modern stuff, think airplane overhead lights. At any rate, I was chatting with the design team trying to convey that even people with money in the US don’t have the taste for nice (sensible?) interior finishings. The culture just doesn’t exist here.
Medicaid patients at the lowest price offered in other developed nations.
however, Trump also agreed to allow them to sell medications at the highest price they can to Medicare patients, which there are way more of, and that the taxpayers foot the bill of.
Boomer Remover,
The downside of the Rolladen is that fixing them can be a real pain because their construction is a science. When the guy repaired mine yesterday it took him about 15 minutes and that included adjusting the settings on the electric motor. He installs them and fixes them, so he is very experienced. All the ones on the ground floor next door have motors, so I have the one in the bathroom facing the street go up first thing in the morning to make it look like someone is home.
Rut-roh!
Big corporate landlords have unwelcome new competition. Regular homeowners who can’t sell their properties are renting them out instead, and the growing number of “accidental landlords” is a headache for pros.
Pete Hegseth says no more fatties, climate change s3xuals, DEI cheerleaders and dudes in dresses. Damn, just when we were building the world a home, Pete comes and wrecks it all.
Chgo: They can sell them, just not at the price they thought they could. I don’t see that changing going forward. There are other dynamics that continue to play out and don’t appear to be changing. These dynamics don’t bode well for housing prices to go up in the future from where they are now.
When I started teaching in 2009, there were a whole group of twenty something teachers that bought townhomes and condo’s for $100k too much. They all got married and couldn’t offload their homes. They resorted to renting out their homes while renting another home to live in and it took them years to actually get in a position to sell it.
The smarter ones all qualified for “low income” housing in Basking Ridge and still live there to this day.
You guys are talking about the rolling metal security shutters that look like the garage door on an industrial building?
You really roll those things down like they are shades?
I suppose they are a step up from the wrought iron bars you see in Camden. Yeah, keep ’em.
Hegseth?
He called our entire military leadership fat and lazy, and not nearly as freshly shorn as he likes.
I can hear the laughing from Russia now.
I’m sorry, this is faking hilarious:
https://www.cnn.com/2025/09/30/politics/pfizer-drug-prices-trump
TrumpRX by Pfizer?
The pandering and ass kissing is beyond shameless at this point.
Fast: Congrats on your promotion.
I work for tech that fuels all AI and hardware, and we are asked to reduce labor by 10%. Already fired one, will do another one in next month. So much winning.
Gary got promoted to cubicle cock load.
European homes often have much larger window openings, and the windows are not the hung crap you have here. These are large panes of glass. I was in a kitchen a few weeks back with a seamless 5’x20′ window. There’s no better way to protect that than with an external shutter system. Lux ones are tied into home automation systems.
Rolety control the light coming in, allow for privacy and protect the glass. And all of this is done with little to no visual impact to the occupant from within. No curtains no rods, no hanging of blinds. From the outside, when rolled up they are also invisible, as they are installed before the final finishing material is applied.
They also provide excellent temperature control, for obvious reasons, AND they are mounted outside of your window. So that properly insulated German four pane window doesn’t have to work the least bit, whereas my SIL’s two pane west coast uninsulated windows radiate 110F heat inside, while the HVAC wails overhead.
Promoted this year RIF’d the next. Meh.
https://www.youtube.com/live/Xbs2Lm2DRAI
go to 12:28