Food and beverage (F&B) operators are decisively reshaping New Jersey’s retail landscape, positioning themselves as the new anchors of community shopping centers. JLL announced on Friday that it has recently leased 27,532 square feet of retail space to F&B brands across northern New Jersey, underscoring the sector’s strength and its rapid pace of dealmaking.
Consumer demand for speed fuels leasing activity
According to JLL, the food service industry has undergone a radical transformation, now setting the standard for brick-and-mortar retail by catering to the modern consumer’s desire for instant gratification, speed and convenience. This demand is translating directly into aggressive expansion by F&B operators.
“Food and beverage operators want to move fast, capture momentum and deliver on today’s consumer appetite for speed and convenience,” David Townes said. Townes is a managing director who co-leads the JLL’s Northern New Jersey retail leasing team. “We’ve seen them set the tone for retail and anchoring new developments, making them one of the most dynamic drivers of leasing activity today.”
The preference for turnkey space—locations that are already restaurant-ready—is a key factor driving the quick deal volume, allowing brands to scale operations rapidly.
JLL’s recent transactions highlight a varied mix of tenants securing prime New Jersey locations, from national chains expanding their footprint to emerging fast-casual concepts capitalizing on second-generation spaces.
Notable lease agreements arranged by Townes and Vice President Alana Friedman include:
- Tokyo Grill: A significant lease of 9,997 SF at 407 Hackensack Ave., Hackensack, taking over the former TGI Fridays location.
- IHOP: A 3,750 SF lease at South Cove Commons in Bayonne, marking an expansion for the established national brand.
- 787 Coffee: A 1,200 SF lease secured at 706 Bloomfield Ave. in Montclair, appealing to the demand for experiential concepts.
- Papa John’s Pizza: A 1,055 SF lease at 1930 NJ 57 in Hackettstown.
- The Gyro Project and OMGyro: New leases totaling over 4,100 SF in Northvale and Elmwood Park, respectively, demonstrating growth among up-and-coming fast-casual operators.
“Up-and-coming, fast-casual operators are also staking out new ground and second-generation, restaurant-ready spaces are being repurposed by concepts like Tokyo Grill,” Friedman said. “Collectively, these restaurants highlight both the resilience of traditional brands and the creativity of emerging concepts as they anchor vibrant community retail centers.”
The leasing activity suggests a strong, resilient market for dining concepts that prioritize convenience and high-traffic locations across Northern New Jersey.
