A prime piece of high-performing New Jersey commercial real estate has hit the market, as Jones Lang LaSalle Americas, Inc. (JLL) has been exclusively retained to arrange the sale of 371 Hoes Lane in Piscataway. The 133,608-square-foot, Class A office building is drawing attention from investors due to its near-full occupancy and position in a highly competitive market segment.
The three-story-plus-lower-level building is currently 94.6% leased, a rate significantly higher than the regional average, demonstrating strong tenant appeal.
The property, originally built in 1989, underwent an extensive capital improvement program between 2021 and 2023, totaling over $3.2 million. This significant investment was directed toward modernizing the tenant experience and infrastructure.
The renovations included:
- A complete overhaul of the lobby, façade, hallways, stairs, and bathrooms.
- A full roof replacement.
- The addition of market-leading amenities, including a state-of-the-art full-service café and a fitness center.
These improvements have driven exceptional leasing momentum under the current ownership. Since July 2018, the building has executed 20+ signed leases totaling over 100,000 square feet, skyrocketing its occupancy rate from 25% to 95% in a competitive environment. The building currently maintains a solid 4.0-Year Weighted Average Lease Term (WALT).
A key factor enhancing the value of 371 Hoes Lane is the transformation occurring in the surrounding Lower 287 office market. The area has seen over 2.3 million square feet of obsolete office space either converted to industrial use or slated for demolition since 2018.
This conversion trend has drastically reduced inventory, pushing the Class A vacancy rate in the market down by 900 basis points since the end of 2020, making highly improved, available assets like 371 Hoes Lane increasingly rare and desirable.
The Piscataway location offers strategic advantages, sitting centrally within a burgeoning New Jersey life science ecosystem. The property provides direct access to major thoroughfares and benefits from its proximity to Rutgers University and the RWJBarnabas Health network.
This central location has spurred significant investment in the area’s life sciences industry, positioning the property to capitalize on increasing tenant demand from the support companies that service the growing biotech and pharmaceutical sectors.
The property is being offered free and clear of any existing mortgage financing. The JLL team, led by Senior Managing Directors Jose Cruz and Jeremy Neuer, is managing the exclusive sale arrangement.
