NJ Transit, Horizon Blue Cross Blue Shield examine former headquarters sites for mixed-use redevelopment
New Jersey Transit (NJ Transit) and Horizon Blue Cross Blue Shield of New Jersey have come together to examine a possible redevelopment of Penn Plaza East, its former headquarters building that sits adjacent to the Newark Penn Station. The team is determining the feasibility of turning the site into a mixed-use development. The project is a two-phase process that also includes a new headquarters for Horizon in downtown Newark.
“The redevelopment of our former headquarters property is a key step in advancing our real estate strategy and our commitment to unlocking new value from our assets,” said NJ Transit President and CEO Kris Kolluri. “Aligned with the recent launch of our LAND Plan, this project reflects our disciplined approach to generating incremental revenue for NJ Transit, while contributing to economic growth across the state and in cities such as Newark through new jobs, housing and long-term investment.”
“Penn Plaza East’s multi-faceted, future-facing redevelopment will be a crowning jewel in Newark’s continuing ascent toward next-level vibrancy and prosperity,” said Newark Mayor Ras Baraka. “By continuing to call Newark home and redoubling their commitment to our community, Horizon and NJ Transit serve as national models of corporate social responsibility. Their investment will create new spaces for living, working and recreation, enliven our downtown, enhance our riverfront and attract residents eager to benefit from the most extensive tri-state rail network in the nation. Newark embraces this collaboration with full support for the broader public private partnership that it represents.”
The agency, through its real estate broker Jones Lang LaSalle Americas, Inc. (JLL), in conjunction with CBRE representing Horizon, is inviting potential developers to note their interest by Dec. 31, 2025. Information sharing sessions for interested developers will be announced and offered in 2026.
Led by JLL and CBRE, NJ Transit says it envisions its former headquarters and Horizon headquarters at 1 Penn Plaza East and 3 Penn Plaza East as an opportunity for premier mixed-use, multi-housing development. The site is being designed with easy access to Newark Penn Station. The site could accommodate up to 1,000 units of residential development in addition to integrated retail and structured parking as it sits located within the city’s Newark River Redevelopment Plan.
“Horizon is excited to work together with NJ Transit to support the mayor’s vision and create new opportunities that bring more residents and retail businesses to the area around Penn Station,” said Doug Falduto, vice president of administration and chief security officer, Horizon. “We have called Newark home since our founding nearly 100 years ago. An essential element of this plan is a new headquarters to be built and financed by the developer that allows Horizon to remain in Newark and continue to serve our members in the most financially responsible way possible.”