When Taconic Partners launched its industrial investment strategy, it chose New Jersey to do so. Now, the company from neighboring New York has secured a lease for 151,000 square feet at that Morristown property, marking the first milestone, it said, along that course.
Allmodes Transport Inc. signed a 151,000-square-foot lease renewal at 1 Cory Road, Taconic announced Nov. 8 — the company’s first industrial investment.
Situated on 17 acres, Taconic and Nuveen Real Estate acquired the 297,000-square-foot warehouse facility for $55 million last December.
“Recently, we launched a new initiative to begin investment in well-located, superior, industrial assets and 1 Cory Road really fit our investment thesis,” Vice President David Milch said in a statement.
The company reported Morristown’s vacancy rate at 0.6%.
“This transaction confirms our thesis that strategically located, high quality assets will continue to see high occupancy with healthy rent growth,” he continued.
For the third quarter of 2022, JLL’s New Jersey Industrial Insight Report found asking rents were up 34% over the past year for an average total asking price of $15.56 per square foot. Even still, the pursuit of the state’s logistics and last-mile sites persists: for the same period, Colliers reported new and renewed leases in N.J. adding up to nearly 7.5 million square feet.
In Morristown, 1 Cory Road is 97% leased with 8,000 square feet of warehouse space and 2 acres of car or trailer parking available.
Altogether, the property features 6.5 acres of parking — necessary for transportation and shipping tenants. It also hosts a 450-kilowatt solar panel system that Taconic said provides clean energy to tenants and, helps to satisfy the company’s ongoing commitment to sustainability.