Gov. Phil Murphy is moving on up in Newark.

Construction on a new governor’s office there should be completed sometime next month. It’s on a higher floor, will be larger than the existing office and — no surprise — will cost taxpayers more money.

The state has already been billed nearly $1 million to get the new governor’s office and the new state Economic Development Authority office move-in ready, records show.

And the new space will cost more than $145,000 a year in rent, according to lease records. That’s about $100,000 more a year than the current space the governor uses for an office in Newark.

New Jersey will technically pay rent to the state’s Economic Development Authority, which negotiated the lease and will occupy a neighboring office. The governor’s office, the EDA and Choose New Jersey, a business-funded nonprofit, will occupy the entire 14th floor of the space in One Gateway.

The new governor’s office will replace the smaller space Murphy currently has at his disposal on the 8th floor of the Gateway Two, Murphy administration spokesman Darryl Isherwood said.

“Our current office space in Newark is fairly small, with only one meeting room, two offices and not many desks," Isherwood said. "Moving to a new space within the Gateway Center will offer a more functional design that allows for more meeting rooms, additional work areas for staff, and a closer working relationship with our partners at the EDA and Choose NJ.”

The EDA approved spending up to $1,862,525 for improvements to get the offices ready. It also set aside up to $455,000 for “new fixtures, furniture and equipment, and moving expenses.”

Those figures are for both the EDA and the governor’s office spaces.

A spokeswoman for the EDA, Virginia Pellerin, said the “total project is expected to be completed at more than 30 percent under" those figures.

In July, the EDA was sent an invoice for $1,199,650 for work completed to move into the new offices. The landlord agreed to pay $265,000 of it, so the state is on the hook for at least $934,650 so far.

The work included $70,000 worth of millwork (woodwork); $113,500 for glass partitions; $160,000 on carpentry and ceilings; $60,000 on audio visual; $35,000 on flooring; and $26,500 to polish concrete, according to the invoice.

Isherwood said the new offices were needed in part because the current space, aside from being too small for a full staff to occupy, isn’t functional.

“To access it you need to walk through the waiting room of another state agency and there is no space in the office itself for guests to wait when they arrive,” he said.

The governor’s office portion of the 14th floor will have a private office for the governor with a private bathroom, a 12-person conference room, three separate offices, a kitchen area, open working space and a reception area, according to a blueprint of the layout.

The office they’re moving out of consists of an office for the governor, conference room, another private office and three cubicles, Isherwood said.

Tim Sullivan, CEO of the EDA, said it was a strategic decision to occupy the entire floor. He said it would help New Jersey lure more jobs.

“The opportunity to be co-located with the governor’s office and Choose New Jersey will make it even more efficient and impactful for the governor and our teams to host CEOs and other decision-makers to make the case for why they should expand or invest in New Jersey,” Sullivan said.

The state agreed to a five-year lease with EDA, according to records.

It’ll pay $145,440 the first year, $149,803 the second, $154,287 the third, $158,933 the fourth and $163,700 in year five.

Murphy works out of the Newark office about every 10 days or so, according to his administration. It mostly depends on where he’ll be in the state for his public appearances. And the same goes for some of his senior staffers, who occasionally work out of Newark depending on the day’s events.

Murphy’s main office is in Trenton. He and his staff are situated down the street from the Statehouse, which was shuttered by former Gov. Chris Christie for major repairs.

Choose New Jersey will pay its own way and did not share details of its lease agreement.

The group is made up of some of the state’s largest utilities, labor unions, and financial companies. Its stated mission is to attract businesses to the Garden State. The group’s board members — which include PSE&G, Horizon Blue Cross Blue Shield of New Jersey and PNC Bank — have deep business stakes with New Jersey that intersect with government oversight

Matt Arco may be reached at marco@njadvancemedia.com. Follow him on Twitter @MatthewArco or Facebook.

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