-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
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<SEC-DOCUMENT>0000914317-08-002262.txt : 20080828
<SEC-HEADER>0000914317-08-002262.hdr.sgml : 20080828
<ACCEPTANCE-DATETIME>20080828135619
ACCESSION NUMBER:		0000914317-08-002262
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20080825
FILED AS OF DATE:		20080828
DATE AS OF CHANGE:		20080828

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			BARNEY DONALD W
		CENTRAL INDEX KEY:			0001231907

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-25043
		FILM NUMBER:		081044884

	BUSINESS ADDRESS:	
		STREET 1:		815 POND BROOK RD
		CITY:			FRANKLIN LAKES
		STATE:			NJ
		ZIP:			07417
		BUSINESS PHONE:		2014050123

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY
		CENTRAL INDEX KEY:			0000036840
		STANDARD INDUSTRIAL CLASSIFICATION:	REAL ESTATE INVESTMENT TRUSTS [6798]
		IRS NUMBER:				221697095
		STATE OF INCORPORATION:			NJ
		FISCAL YEAR END:			1031

	BUSINESS ADDRESS:	
		STREET 1:		505 MAIN ST
		STREET 2:		P O BOX 667
		CITY:			HACKENSACK
		STATE:			NJ
		ZIP:			07602
		BUSINESS PHONE:		2014886400

	MAIL ADDRESS:	
		STREET 1:		P O BOX 667
		STREET 2:		505 MAIN STREET
		CITY:			HACKENSACK
		STATE:			NJ
		ZIP:			07602
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>form4-94374_dbex.xml
<DESCRIPTION>4
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0303</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2008-08-25</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0000036840</issuerCik>
        <issuerName>FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY</issuerName>
        <issuerTradingSymbol>FREVS</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001231907</rptOwnerCik>
            <rptOwnerName>BARNEY DONALD W</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>815 POND BROOK RD</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>FRANKLIN LAKES</rptOwnerCity>
            <rptOwnerState>NJ</rptOwnerState>
            <rptOwnerZipCode>07417</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>0</isDirector>
            <isOfficer>1</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>1</isOther>
            <officerTitle>President/ CFO/ Treasurer</officerTitle>
            <otherText>Trustee</otherText>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Shares of Beneficial Interest</value>
                <footnoteId id="F1"/>
            </securityTitle>
            <transactionDate>
                <value>2008-08-25</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>M</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>12000</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>7.5</value>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>228571</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </nonDerivativeTransaction>
        <nonDerivativeHolding>
            <securityTitle>
                <value>Shares of Beneficial Interest</value>
                <footnoteId id="F1"/>
            </securityTitle>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>46928</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>I</value>
                </directOrIndirectOwnership>
                <natureOfOwnership>
                    <value>See note</value>
                    <footnoteId id="F2"/>
                </natureOfOwnership>
            </ownershipNature>
        </nonDerivativeHolding>
    </nonDerivativeTable>

    <derivativeTable>
        <derivativeTransaction>
            <securityTitle>
                <value>Stock Options (Right to Buy Shares)</value>
            </securityTitle>
            <conversionOrExercisePrice>
                <value>7.5</value>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2008-08-25</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>M</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>12000</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>0</value>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>D</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <exerciseDate>
                <footnoteId id="F3"/>
            </exerciseDate>
            <expirationDate>
                <value>2008-09-10</value>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>See note</value>
                    <footnoteId id="F1"/>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>12000</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>0</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeTransaction>
    </derivativeTable>

    <footnotes>
        <footnote id="F1">First Real Estate Investment Trust of New Jersey is a real estate investment trust.  Beneficial interests in the Trust are
 designated as &quot;shares&quot; without par value.</footnote>
        <footnote id="F2">Shares held by Mr. Barney's wife, with respect to which Mr. Barney disclaims beneficial ownership.</footnote>
        <footnote id="F3">Stock options were fully vested and exercisable on April 7, 1999.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>/s/ Donald W. Barney</signatureName>
        <signatureDate>2008-08-28</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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