SJP to develop office tower on Hoboken waterfront.

SJP Properties, the City of Hoboken and The Port Authority of New York and New Jersey have finalized an agreement to develop a 1.1 million square-foot Class A office tower on the Hoboken, NJ waterfront. The new building, Waterfront Corporate Center, is part of a public/private partnership among the three organizations, and will be the foundation for the City's South Waterfront development.

The new building will be adjacent to the newly renovated and landmarked Hoboken Terminal, and represents the first phase of a mixed-use development which will also feature a full-service hotel, residential and retail components.

"This is the only developable site in the state that directly parallels the Hudson River and offers immediate proximity to so many major transportation systems," said Steven J. Pozycki, owner and president of SJP Properties. "The City of Hoboken extends right to the water's edge, and is at the center of the region's largest and most efficient transportation network. The site provides convenient access to all the regional markets and amenities that make this an attractive site for major corporate tenants."

Waterfront Corporate Center can be built up to 13 stories or an elevation of 175 feet, and will consist of approximately 1.1 million square feet of Class A office space, 50,000 square feet of ground-floor retail and a variety of amenities. The site plan calls for over 400 contiguous feet of river frontage, offering 180-degree views of the Manhattan skyline.

Several acres of riverfront property at the site will be renovated to include parks, pavilions, restaurants, an amphitheater and a maritime museum. Work on the first phase of riverfront renovations is currently underway. In addition to its own amenities, the building will be located minutes from Ellis Island, the Statue of Liberty, Liberty State Park, Liberty Science Center, the Meadowlands and Manhattan.

"The South Waterfront project is destined to become a symbol of Hoboken's remarkable renaissance," said Hoboken Mayor Anthony Russo. "We are creating an exciting new world-class complex that will be a significant addition to the local and regional economy. The City of Hoboken is already a great place to live, work and visit, and the new South Waterfront will enhance our City's vibrant sense of neighborhood and community."

The South Waterfront is a planned mixed-use development of at least 2.3 million square feet of space on three new city blocks located next to the historic Hoboken Terminal. The City of Hoboken joined forces with the Port Authority to transform 50 acres of unused waterfront into a unique commercial, residential and recreational area that will preserve and complement the City's architectural heritage and ensure continued - and enhanced - public access to the waterfront. The overall development calls for 1.5 million square feet of office space, a 300-room hotel, over 500 residential units, 125,000 square feet of retail space, associated parking and public open spaces.

Fulfilling its commitment to assist both states with the development of underutilized waterfront areas, the Port Authority has committed more than $75 million for land purchase, development of waterfront parks, piers, public open spaces and infrastructure improvements at the site. The Port Authority is currently installing underground utilities and constructing roads for the first block of the development, and has begun construction on the first phase of over 7 acres of public and open spaces.

Lewis M. Eisenberg, chairman of the Port Authority, said "With this agreement, we take an important step forward in the development of the South Waterfront. This excellent example of a public-private partnership will create jobs, attract new business and provide new public recreational opportunities for the citizens of Hoboken and the region."

Situated adjacent to the Hoboken Terminal, Waterfront Corporate Center will offer greater access to the region's mass transit network than any other waterfront site in the state. The location provides direct access to every available mode of transportation, including Newark Airport, New Jersey Transit trains and buses, PATH, the New York Waterway Ferry and the Hudson-Bergen Light Rail Rapid Transit System, which is currently under construction.

Featuring a facade of brick, granite and limestone, the building was designed to provide a balance between Hoboken's rich historic character and contemporary architectural design. The site plan calls for oversized floorplates with up to 95,000 square feet of contiguous Class A space. Waterfront Corporate Center will also be equipped with state-of-the-art mechanical and telecommunications systems, including multiple high-speed, high-capacity fiber optic SONET facilities.

SJP Properties is a developer, investor, owner and manager of corporate campuses and Class A, investment-grade commercial properties. The company's client base consists primarily of major multi-national and national tenants with a strong presence in the tri-state region.

Based in Parsippany, NJ, SJP has an extensive portfolio in the New York, New Jersey and eastern Pennsylvania metropolitan markets. SJP has developed and currently owns and manages over 12 million square feet of investment-grade commercial office space, and maintains an additional 12 million square feet of developable projects.

"Of the more than 1.5 million square feet of speculative office space currently under construction in New Jersey, SJP is responsible for approximately 75 percent of it, nearly 1.2 million square feet," said Thomas V. Bermingham, executive director of Insignia/ESG, Inc. of New Jersey.

Speculative projects currently underway include the 350,000 square-foot Morris Corporate Center IV in Parsippany; the 250,000 square-foot Somerset Corporate Center II in Bridgewater; and a 300,000 square-foot development called The Commons in Princeton. In addition, the company is developing a 425,000 square-foot build-to-suit office building for The Prudential Insurance Company of America in Woodbridge.

The Morris Corporate Center IV development is the first phase of a 700,000 square-foot speculative development, and construction of a second facility of identical size is scheduled to begin as soon as phase one is completed. Somerset Corporate Center II is the latest addition to another SJP-owned office park, which is approved for an additional million square feet of office space.