A group of in the know real estate insiders are predicting New Jersey’s largest city is about to foresee a reawakening.
The message became evident during the Newark CRE Summit, which brought together everyone connected to development, investing and financing.
Specifying renewed interest in Newark commercial real estate, a panel drew attention to parallel developments that will establish a market and provide potential long term dwellers with alternatives.
One of the panelists, Boraie Development executive vice president, Wasseem Boraie remarked Newark prides itself that five to ten major projects are in the works which will offer thousands of units.
He also pointed out that number is compared to one major project at a time expansion in the past.
According to Boraie, residents would not be interested in moving to a large city for one project but now they are being offered residential diversity.
Boraie said the multi-type venture has worked in other New Jersey cities such as New Brunswick and Jersey City and added options demonstrate the likelihood for more investments as well as the lure of private capital.
For example, Boraie’s firm is building a 168-unit residential high-rise in Newark.
Another panelist, Tucker Development Corporation chief executive Richard Tucker said his firm is planning to open its Springfield Avenue Marketplace project which includes 152 apartments and retail space in the heart of Newark. He also pointed out that roughly 70 percent of the total retail space has already been leased.
Tucker said the Springfield Avenue Marketplace will be the largest new mixed-use development in the city.
What’s more, commercial real estate firm HFF’s senior managing director Jose Cruz, drew attention to the momentum in Newark that will eventually draw the real estate financiers that had been pulled towards the Manhattan market.
All the panelists shared the same opinion that projects take time and each project was a combination of private capital, conventional debt financing as well as both the state and city financial assistance.
The day long panel discussion was presided over by David Wolfe of New Jersey law firm, Skoloff & Wolfe.
Wasseem Boraie, who has worked at Boraie Development since 1999, is the oldest son and one of two sons of Omar Boraie, president of Boraie Development. The firm’s annual revenues are estimated to range between $10 to $20 million.
Boraie has assisted the company in developing properties in Newark, New Brunswick and Atlantic City.