Country / Language

NJ Homebuilding Up Sharply


by Patrick J. O'Keefe, Director of Economic Research

View accompanying chartbook.

Authorizations to start construction on new homes in New Jersey rose sharply (50.1%) in March. [Chart 1]

Homebuilders obtained 2,330 construction permits in March, the largest number since last August. 

Year-to-date, residential approvals are running well ahead (41.5%) of 2013’s comparable period. Single-family units are up by more than one-quarter (27.6%) and multifamily by more than one-half (52.3%).

As has been the case for much of the State’s recovery in residential construction, the growth was concentrated in the multifamily sector [Chart 3].  In March alone, approvals of attached units (largely apartments) accounted for almost two-thirds (63.9%) of the total.

Permit data tend to be volatile month-to-month. Multifamily permits authorize the construction of multiple residences over a period of time, but all of the units are recorded at the time of approval, which makes the counts lumpy. Single-family permits, on the other hand, typically issue immediately before construction of a unit is about to commence and, therefore, are seasonally sensitive.

Adjusted for seasonal fluctuations, March’s authorizations were the second highest total since mid-2008. May 2013’s total was a bit higher; August 2013’s identical. [Chart 4] 

But that longer-term perspective underscores the importance of multifamily construction to homebuilding’s rebound in New Jersey. Single-family authorizations soared in March, but when adjusted for seasonality, have been flat since the start of the year at a level somewhat below the second half of 2013. [Charts 6 and 8]

The increase in the number of approvals bodes well for employment and spending in New Jersey’s construction related industries.

The statements, opinions, and conclusions contained herein are based solely upon the author’s own studies, research, and personal experience. Neither CohnReznick nor the author make any representation or warranty as to the accuracy or completeness of this information. CohnReznick and the author expressly disclaim any liability for any loss or damage which may be incurred, of any kind whatsoever, as a result of or arising from the use of any of the information contained herein or reliance on the accuracy or completeness of it.

okeefe headshot

Patrick O'Keefe

Director of Economic Research

View Profile

Press Contact

Sabrina Strauss
Vice President
Goodman Media International, Inc.
phone: 212-576-2700 ext. 236


Search Our People

Search Our People

Look ahead. Gain insight. Imagine more. Is your business ready to break through?

View our new TV commercial..

Industry Outlooks

Industry Outlooks

Gain insight into what is ahead for the Commercial Real Estate, Technology and Middle Market Private Equity industries.


Learn about our upcoming events.


Working With Us

Working With Us

What makes CohnReznick different from others in our profession? And what should our clients come to expect when working with us? The answer is The CohnReznick Advantage. Contact us to learn how we can out the CohnReznick Advantage to work for your business.


The value of an organization is determined by the skills and qualities of its leaders. With more than 280 partners serving clients nationwide, CohnReznick is renowned for the diverse experiences, knowledge and backgrounds of its leadership.

Learn More


We align our services in three segments: Accounting and Assurance, Tax, and Advisory. This approach allows us to provide holistic solutions to complex business problems and to seize upon opportunities requiring an integrated approach.

Learn More


Accounting and tax issues different significantly based on an organization's industry. We provide clients with expertise in nearly two dozen industries – we know the opportunities, the obstacles, the competitive landscape.

Learn more


CohnReznick professionals are thought leaders in their industries. Clients benefit from relevant and timely economic, legislative and industry insights that can keep them a step ahead of competition.

Learn More

Global Reach

Our involvement in the Nexia International network of firms enables us assist our clients wherever they do business-providing local expertise and connections wherever they needed. Nexia is comprised of 20,000 professionals operating in over 100 countries.

Learn More