Sunday, December 26, 2010

Former Bryn Mawr Trust Bldg Sells for $1.4 Mil

"Scott Lustgarten and Dan Polett purchased the retail building at 312 E. Lancaster Ave. in Wynnewood, PA, from Bryan Weingarten and Randall Stein for $1.4 million, or about $554 per square foot.

The 2,527-square-foot retail building was constructed in 1970. It is in the Philadelphia market."

New Leases Signed and a $6.7M Sale

"GWSI Inc., a general warehousing and transportation services company, has undergone a growth spurt and signed on to a large warehouse lease at the Riverbridge Industrial Complex in Chester.

The company started out in the third quarter in 90,000 square feet in Building A at Front and Lloyd streets and signed onto a long-term lease on 200,000 square feet. Industrial Investments Inc., owns the building. The lease is valued at more than $2.5 million. GWSI is based in Delaware County.

P.J. Fitzpatrick Inc. signed on for 10,880 square feet of flex space at 450 S. Henderson Road in King of Prussia. The home remodeling company is based in New Castle, Del. It will use the new King of Prussia facility as a central warehousing and distribution point for the Delaware Valley area.

Panda Express is taking space on the concourse level at Comcast Center at 17th Street and John F. Kennedy Boulevard in Center City. The tenant signed a 12-year lease. Liberty Property Trust is the landlord.

Navien America Inc., a supplier of boilers, water heaters, air conditioners and other equipment, leased an 11,424-square-foot office building at 325 Route 70 in Cherry Hill.

Avnet Inc. leased 17,372 square feet at Four Greentree Center in Marlton, N.J. Liberty Property owns the building. Avnet will use the space for their regional sales office. The company is a distributor of electronic components, computer products and embedded technology.

A 13,965-square-foot Walgreens traded for $6.7 million, or a 7.3 percent cap rate. The building at the corner of North Kings Highway and Chapel Avenue in Cherry Hill., was constructed this year and has a 25-year lease on it that just started in August."

New Home for Philly Produce Market

"Nine years after the Philadelphia Regional Produce Market began looking for a new home, it's finally about to get one.

The 686,000-square-foot building is nearly complete - a bright and airy indoor mall that will cater to the public, commercial chain stores, small mom-and-pop groceries, restaurants, schools, and government buyers.

The concourse, under a quarter-mile-long skylight, will be lined with fruit and vegetable shops where consumers can purchase strawberries, lettuce, or pears by the crate or case at wholesale prices.
Twenty-six merchants will move from their antiquated quarters at the 51-year-old produce terminal in South Philadelphia in February to the new market at 6700 Essington Ave., across from the auto mall and near the airport.
The market is divided into eight sections, each the size of a football field. Upstairs are offices where sales staffs will sell and trade fruits and vegetables around the world.

Downstairs is the display market and warehouse, which traces its roots to William Penn and the wharves on Dock Street, now the site of the Sheraton Society Hill hotel.

The $218.5 million public-private financing includes $152.5 million from Pennsylvania, a $50 million loan from American International Group Inc., a $12 million low-interest loan from Pennvest, a $3 million grant from the federal Department of Housing and Urban Development, and a $750,000 job-creation grant.

Under the deal, the port authority owns the 48-acre site for 40 years. After that, the market can buy it for $1, assuming it has paid all its rent.

Produce Market: Vital Statistics686,000 square feet; 1,294 feet in length (just under a quarter of a mile)

$218.5M Cost

$1.6B Yearly projected sales

1,500 Permanent jobs

500 Peak construction jobs

26 Vendors

224 Enclosed refrigerated docks

33-50 Temperature range in degrees Fahrenheit among the vendor stalls"

Thursday, December 23, 2010

2011 Commercial Real Estate Outlook

2011 Commercial Real Estate Outlook Video 5:51
A look ahead to the commercial real estate market in 2011

Larry Silverstein's Real Estate Outlook Video 5:20min
Larry Silverstein, president and CEO of Silverstein Properties, shares his outlook on both commercial and residential real estate with CNBC.

Property Recovery Outlook: Video 4:45mins
Discussing bright spots in commercial real estate, with Hessam Nadji, Marcus & Millichap managing director.

Monday, December 20, 2010

One-Time Biotech Start Up Chooses to Grow in West Philadelphia

"Integral Molecular, Inc., a biotechnology company launched at the University City Science Center in 2001, is more than doubling its space with a new 10-year lease at the West Philadelphia research park.

Integral Molecular will expand its operations from the Science Center's Port business incubator at 3701 Market Street to 10,000 square feet of custom-designed, state-of-the-art lab and office space at 3711 Market Street. Integral Molecular is a platform-based biotechnology company that is committed to providing innovative products and services to leading biotech and pharmaceutical companies.

The company said it chose to stay at the Science Center due to its proximity to key resources and collaborators at nearby universities, its convenient central location with easy access for employees and available tax incentives. The decision ensures that several dozen high-tech jobs will remain in the city.

“The Science Center has been a source of support from our inception and has enabled us to grow at a sustainable pace for the last nine years,” says Benjamin Doranz, co-founder and CEO of Integral Molecular. “We couldn't have started without them, and we're pleased to be able to continue our relationship with them as we expand into 3711 Market. Our expansion represents an exciting time for Integral Molecular that will allow us to keep up with customer demand for our products and services while continuing to develop additional products focused on cellular and viral membrane proteins.”

“Our goal in incubating companies is to provide them with the support they need so they can focus on growing their businesses,” says Science Center President & CEO Stephen S. Tang. “Not only are we thrilled to see Integral Molecular reach this milestone, but we are especially pleased that they have chosen to remain at the Science Center. Their presence here contributes to the vibrancy of our campus and University City. In addition, it highlights the role of the Science Center as a catalyst for economic development in the city and region.”

Friday, December 17, 2010

Comcast inks new lease

"Comcast Corp. has signed a 10-year lease for 90,000 square feet over four floors at Centre Square.

The company is renovating the entire space in the building at 15th and Market streets. The arrangement gives it some room for future expansion over a few floors.

Comcast had already been in a portion of the Centre Square space. It was subleasing three floors totaling about 68,000 square feet from PNC Bank but only using a small portion of it. That sublease was scheduled to expire in May but instead of letting it come to an end, Comcast decided to sign a new deal directly with the landlord, HRPT Properties Trust, according to sources familiar with the transaction. In addition, the cable company took an additional 22,000 square feet."

Temple University Buys Multi-Family Complex

"Temple University acquired a multi-family portfolio in Philadelphia, PA from Messiah College for $4.23 million, or $846,000 per unit.

The portfolio consists of two row homes at 2025 and 2029 Carlisle St. and three town homes at 2016, 2024, and 2025 N. Broad St. The properties total 30,552 square feet and will be used as part of Temple University's long-term campus development project."

Hotel Furniture Liquidators Leases 50,000 SF

"Hotel Furniture Liquidators signed a five-year lease deal for 50,000 square feet of warehouse space at 2222-2230 Castor Ave. in Philadelphia.

The 139,000-square-foot warehouse facility was built in 1966, and sits on 5.7 acres in the Kensington Industrial submarket."

Drexel Pays $4M for Office Bldg in Philadelphia

"Drexel University College of Medicine acquired the eight-story office building at 1427-1433 Vine St. in Philadelphia for $4 million, or about $61 per square foot, from Tenet Healthcare Corporation.

The medical office building was delivered in 1939 and renovated in 1982. It totals 65,821 square feet and sits on 0.2 acres in the Market Street West submarket."

Wednesday, December 15, 2010

Richland Plaza in Quakertown Has New Ownership

"APS Associates, LLC. has acquired Richland Plaza, located at 751 S. West End Blvd. in Quakertown, PA. The 206,575-square-foot property was sold for $13.475 million, or $65 per square foot.

Richland Plaza was built in 1975 on 18.5 acres, and was renovated in 1997. Ollie’s Bargain Outlet and CVS anchor the shopping center, which was 100 percent leased at the time of sale."

Emerald Ridge Apartments Trade for $13.5M

"New York Community Bancorp, Inc. sold the Emerald Ridge Apartments to Trent Court Realty Holding Company for $13.5 million, or $35,904 per unit, in an REO transaction.

Located at 101 E. Gibbsboro Rd. in Clementon, NJ, the two-story, 28-building property was delivered in 1972 on 25 acres with on-site parking. The 376-unit complex is comprised of 108 one-bedroom units, 122 one-bedroom with a den, and 146 two-bedroom units. Some of the amenities include air conditioning, balconies and patios, and dishwashers.

The occupancy rate was approximately 70 percent at the time of sale, and the property required more than $1 million in capital improvements."

Mattress Retailer Inks 132,000-SF Deal in Philly

"Sleep Factory signed a five-year lease deal for the entire warehouse facility located at 3800 Frankford Ave. in Philadelphia.

The 132,000-square-foot industrial building contains 17 loading docks and sits on 4.9acres in the Kensington Industrial submarket."

Tuesday, December 14, 2010

Wednesday, December 8, 2010

Two Major Industrial Sales in New Jersey and Georgia Buck National Trends

"Reno, NV-based Dermody Properties and DP Partners announced the sale of two industrial buildings from its national portfolio. A 599,500-square-foot building in Logan Township, NJ sold for $35.5 million ($59 psf), and a 689,400-square-foot building in Savanna, GA sold for $20.6 million ($30 psf).

The building in Logan, NJ, located at 1150 Commerce Blvd. in the LogistiCenter at Logan, sold to a financial institution at a 7.39-percent CAP rate. The class A property was built in 2008 by DP, and was immediately occupied by Kimberly-Clark, a major producer of consumer health and hygiene products including Kleenex and Huggies."

Monday, December 6, 2010

Farmers Insurance Inks 27,000-SF Long-Term Deal

"Farmers Insurance Exchange has signed a long-term lease for 26,588 square feet in King of Prussia, PA.

Located at 1000 Continental Dr., the 202,678-square-foot, class A, LEED Silver certified building sits on six acres and was completed in 2007.

Northwestern Mutual Financial Network recently signed a 15,000 square foot lease deal; which, along with the Farmers Insurance deal, will bring the property to over 70-percent occupancy."

Friday, December 3, 2010

FASB Accounting Rules Could Hit Commercial Leases

The new FASB rules of how reporting commercial lease liability can affect their balance sheet. Not super entertaining but well explained VIDEO (7 mins):

Bear Supply Leases 40,000 SF in Pennsauken, NJ

"Bear Supply, an Illinois-based distributor of home building materials, leased 40,000 square feet in Pennsauken, New Jersey.
The one-story, 121,000-square-foot industrial building, located at 8295-8301 National Highway, was constructed in 1975 in the Camden County Industrial submarket."

Wednesday, December 1, 2010

Insalaco Development Group Makes Investment Purchase

"Insalaco Development Group purchased 700 S. Ridge Ave. in Middletown, DE from Westown Town Center LLC for $5.925 million, or approximately $400 per square foot.

The 14,820-square-foot retail building is located on Route 301 and was constructed in 2009. The property sits on 2.26 acres and contains ample parking. Walgreens fully occupies the property on a 25-year, triple-net lease, currently in its second year."