By Madison Zebrowski CoStar Research
MRP Industrial, a privately held real estate company based in Baltimore, Maryland, which has built a large number of industrial facilities throughout the Northeast U.S., and an investment fund managed by Clarion Partners, secured a major tenant for their latest industrial park project at 1900 River Road, a two-building, in-fill redevelopment totaling 1,512,840 square feet.
Loctek, a China-based manufacturer of ergonomic workspace equipment such as height-adjustable desks, desk converters, monitor arms, TV wall mounts and exercise bikes, signed a full-building lease for Building 2, which measures 667,560 square feet.
The speculative project, which was completed in 2023, also includes an 845,280-square-foot cross-dock facility known as Building 1 that is available for lease.
The new industrial development occupies the site of the former GSA Eastern Distribution Center, which MRP and Clarion acquired from Stag Industrial in 2020 and subsequently redeveloped. The central East Coast location in New Jersey's Burlington County has access to the Pennsylvania and New Jersey Turnpike Connection at Exit 6A.
The project broke ground in October 2022 and the industrial park is near industrial locations for several major corporate tenants such as Burlington, Performance Team and Trane.
Loctek's lease is a major win for the Burlington County logistics market, which has undergone a recent construction boom. The county's 12.7% industrial vacancy rate and 16.9% availability rates are still among the highest in the Philadelphia region.
Nevertheless, the deal is an encouraging sign that big-box leasing could pick up in 2024, considering it’s only the first month of the year, according to Brenda Nguyen, associate director of market analytics for CoStar. Last year, Burlington saw only one major industrial lease signed for more than 500,000 square feet, when Maersk leased 913,000 square feet last June.
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