2014 shows that the industrial real estate market is on the upswing. According to findings there are “healthy leasing, declining vacancies and upward movement in rental rates.” To the layperson this means that locations used for industrial purposes do not stay empty for long in New Jersey. Just looking along the New Jersey Turnpike, you will see records of increased real estate activity.
Why Has the Post-Recession Period Been Beneficial to the New Jersey Real Estate Market?
New Jersey is a prime industrial location. There are dense populations nearby, it is home to a large port, and has a large area devoted to industrial activity. No wonder rental properties do not stay empty for long! There is a lot to be said for having enough space for industrial production. These factors may help industry thrive, but how does this impact residential real estate?
How Much Does Aestheticism Matter for the Real Estate Market?
For industrial purposes, not much.
Many industrial properties have no aesthetic appeal. This can negatively impact residential real estate in the neighborhood however. One factor that plays into buying a property is location. Industrial buildings do not provide a sense of community welcome. The appearance is not as valuable as it is functional in the industrial world, but families need a certain aesthetic quality to really call a place home.
What can be Considered a Successful Blend for Industrial and Residential Real Estate?
The properties may need to be in separate regions to have the most positive impact. Industrial properties often need lots of space. This would be limited by the presence of homes. A community atmosphere is better built with
some aesthetic appeal. Therefore, industrial and residential aspects of society can be neighboring each other, but not so closely that individuals will not move in.
Since Industrial Real Estate is Currently Hot, Can a Balance be Struck?
Industry plays a large role in how New Jersey functions as a state. Rental properties should not be too limited when they are in need and may pervade into residential areas. Will this cause problems? A way to prevent any issues is to bring up the possibility of industrial rental properties within neighborhoods at town meetings. This will give residents the opportunity to give their opinions on the matter. There will be less of a risk of conflict if these topics are explored in a public forum.