After the US 202 split, US 206 continues north as a four-lane divided highway through commercial areas, with the grass median becoming replaced by a painted median as it comes to a junction with CR 523 in downtown Bedminster. Following this intersection, the route narrows into a two-lane undivided road that runs through less development. US 206 enters Peapack-Gladstone, where it runs a short distance to the west of NJ Transit's Gladstone Branch. In Peapack-Gladstone, the road briefly becomes a four-lane divided highway as it has an interchange with Pfizer Way, a road that provides access to a Pfizer facility. Past this point, US 206 becomes a two-lane undivided road that runs northwest through rural areas, with CR 512 crossing the road. Just after this intersection, the route enters Bedminster Township again, turning to the north.