Prudential plans to sell two of its three Newark office properties and consolidate workers around Prudential Tower, while Gov. Mikie Sherrill says the company’s next chapter will remain in New Jersey’s largest city.
NEWARK, N.J. — Gov. Mikie Sherrill is emphasizing Prudential Financial’s continued commitment to Newark after the insurance giant announced plans to sell two downtown office buildings and consolidate its headquarters operations.
Prudential intends to sell its longtime Plaza Building at 751 Broad Street and its office building at 213 Washington Street. The company will consolidate primarily at Prudential Tower, its 20-story, roughly 740,000-square-foot building at 655 Broad Street, while also using additional leased space in Newark. The transition is expected to take several years, with no immediate changes for employees. Patch
Sherrill: Prudential Is Building Its Next Chapter in Newark
Sherrill responded to the announcement by focusing on the company’s decision to retain Newark as its global headquarters rather than the reduction in its real estate footprint.
“For 150 years, Prudential has called Newark home – and it’s building its next chapter right here,” Sherrill said.
The governor pointed to the decision as an example of what she wants to see from major employers with longstanding ties to the state.
“New Jersey has the talent, infrastructure, and communities that companies need to grow and succeed,” Sherrill said. “My Administration is working to build on those strengths, attract new investment, and ensure businesses that have built their legacies here keep choosing New Jersey for what comes next.”
Prudential Says Buildings No Longer Match Its Needs
Prudential Chairman and CEO Andrew Sullivan said the company’s Newark campus was designed for a different era, when the insurer had different staffing levels, business operations and office-space needs.
Several buildings are now underused, Sullivan said, and maintaining unnecessary real estate diverts resources that could otherwise go toward employees, technology and growth.
“As we build the next chapter of Prudential, our physical footprint must evolve with the company,” Sullivan said.
Prudential was founded in Newark in 1875 and has kept its global headquarters in the city throughout its history. Sullivan said selling the buildings should not be interpreted as a retreat from Newark. Yahoo Finance
“Newark is our home and it will remain our global headquarters as we prepare Prudential for the future,” he said.
Two Properties Headed for the Market
The largest symbolic change involves the Plaza Building at 751 Broad Street, the white marble complex long associated with Prudential’s presence in downtown Newark.
The company is also putting its Washington Street property on the market.
Prudential Tower, which opened in 2015, will become the centerpiece of the company’s consolidated Newark operation.
Sullivan said the process will happen gradually as Prudential identifies buyers and prepares its remaining and leased office spaces.
Company Says Newark Commitment Goes Beyond Office Space
Prudential says it has invested more than $1.2 billion in Newark during the past decade, supporting development, schools, universities, small businesses and community organizations.
“The measure of our commitment to Newark has never been the number of buildings carrying our name,” Sullivan said. “It’s whether we’ve continued to show up for the city and play a meaningful role in its future.”
For Sherrill, the announcement distinguishes between Prudential shrinking its physical office footprint and the company leaving New Jersey altogether.
Prudential says it is doing the former, not the latter.
“We began our story here 150 years ago,” Sullivan said. “We will continue writing it here.”
