by Steve Lubetkin, Globest.com
Roseview-PMRG Fund I, a $250 million discretionary fund formed by PM Realty Group and The Roseview Group, has acquired 211 South Gulph Road, a single-story, 102,204-square-foot class A office building located in King of Prussia, PA, for $21 million.
It’s the first Philadelphia market acquisition for the fund, which expects to acquire and reposition office properties across the United States. The Roseview/PMRG partnership also owns properties in Atlanta, Houston and Massachusetts.
The seller, a joint venture between O’Neil Properties and The Arsenal Fund, acquired the property in February 2007. Under the new ownership, an additional $1.1 million of capital improvements will be made, including upgrading exterior amenities and signage; updating the building’s façade to enhance its presence; and system improvement.
"This acquisition was strategic for the fund because it is a value-add opportunity that is well located within an in-fill market near downtown Philadelphia,” says Steve Corridan, partner of The Roseview Group. “The area offers all the fundamentals we are seeking which include recent growth in both commercial and residential sectors."
With the building 100 percent occupied at the close of escrow, the fund’s primary aim is to roll existing leases to market rates with extended terms.
"We are confident that we will be able to back fill any upcoming vacancy space, as King of Prussia benefits from continued tightening in Main Line and Conshohocken submarkets which currently have Class A vacancy of 3.7 percent and 10.0 percent, respectively as well as rental growth of 35.98 percent and 36.08 percent during the past five years,” says Angelo Lobosco, executive vice president, PMRG.
Developed in 1960 on 9.31 acres, 211 South Gulph Road is one-half mile south of the King of Prussia Mall; four miles from Main Line towns including Wayne and Radnor, PA; and 17 miles from downtown Philadelphia.
www.omegare.com
Tuesday, August 4, 2015
Brixmor Nabs South Shore Center for $32M
by John Jordan, Globest.com
New York City-based Brixmor Property Group has added the Webster Square shopping center here to its grocery-anchored retail portfolio that now exceeds 87 million square feet nationwide.
The 182,756 –square-foot shopping center that is anchored by grocer Star Market. The South Shore retail property was sold by of Curtis Management of Hingham, MA. Brixmor Property Group disclosed the price in the second quarter financial results recently that it paid approximately $32 million for Webster Square.
The center was 98% leased at the time of the transaction. Brixmor in its second quarter financial announcement released on July 27th stated that the transaction closed on June 30.
In June the company acquired two other shopping centers in Texas and Pennsylvania. The three most recent deals were purchased for an aggregate of $59.2 million and totaled approximately 383,000 square feet of gross leasable area.
On June 10, Brixmor acquired a 96,000-square-foot Hobby Lobby building at Bardin Place Center, in the Dallas market. The shopping center is currently being re-anchored with WinCo Foods and was purchased for approximately $9.3 million. On June 30, the company acquired Larchmont Centre, a 104,000-square-foot shopping center in the Philadelphia market that is anchored by ShopRite for approximately $18 million, including approximately $7 million of assumed mortgage indebtedness.
The strong performance of Webster Square’s anchor tenants attracted the New York City-based investment firm to the property. Webster Square is located at the intersection of Route 139 and Route 3, one of the region’s primary thoroughfares with traffic counts exceeding 24,000 vehicles daily.
“Located on Boston’s affluent South Shore, Webster Square serves as the dominant retail shopping center in a trade area with limited full-size grocery options and high barriers to entry, making the asset very appealing to Brixmor."
“The strong performance of the anchor tenants at Webster Square facilitated significant interest from the investor community and is what ultimately attracted Brixmor to add the asset to its already significant portfolio of grocery-anchored shopping centers."
Brixmor owns and operates a portfolio of 519 grocery-anchored community and neighborhood shopping centers totaling approximately 87 million square feet of gross leasable area located primarily across the top 50 U.S. metro markets. Brixmor is the largest landlord to retailers The TJX Companies and The Kroger Co.
www.omegare.com
New York City-based Brixmor Property Group has added the Webster Square shopping center here to its grocery-anchored retail portfolio that now exceeds 87 million square feet nationwide.
The 182,756 –square-foot shopping center that is anchored by grocer Star Market. The South Shore retail property was sold by of Curtis Management of Hingham, MA. Brixmor Property Group disclosed the price in the second quarter financial results recently that it paid approximately $32 million for Webster Square.
The center was 98% leased at the time of the transaction. Brixmor in its second quarter financial announcement released on July 27th stated that the transaction closed on June 30.
In June the company acquired two other shopping centers in Texas and Pennsylvania. The three most recent deals were purchased for an aggregate of $59.2 million and totaled approximately 383,000 square feet of gross leasable area.
On June 10, Brixmor acquired a 96,000-square-foot Hobby Lobby building at Bardin Place Center, in the Dallas market. The shopping center is currently being re-anchored with WinCo Foods and was purchased for approximately $9.3 million. On June 30, the company acquired Larchmont Centre, a 104,000-square-foot shopping center in the Philadelphia market that is anchored by ShopRite for approximately $18 million, including approximately $7 million of assumed mortgage indebtedness.
The strong performance of Webster Square’s anchor tenants attracted the New York City-based investment firm to the property. Webster Square is located at the intersection of Route 139 and Route 3, one of the region’s primary thoroughfares with traffic counts exceeding 24,000 vehicles daily.
“Located on Boston’s affluent South Shore, Webster Square serves as the dominant retail shopping center in a trade area with limited full-size grocery options and high barriers to entry, making the asset very appealing to Brixmor."
“The strong performance of the anchor tenants at Webster Square facilitated significant interest from the investor community and is what ultimately attracted Brixmor to add the asset to its already significant portfolio of grocery-anchored shopping centers."
Brixmor owns and operates a portfolio of 519 grocery-anchored community and neighborhood shopping centers totaling approximately 87 million square feet of gross leasable area located primarily across the top 50 U.S. metro markets. Brixmor is the largest landlord to retailers The TJX Companies and The Kroger Co.
www.omegare.com
Monday, August 3, 2015
Rite Aid Sells 2 Properties Lists 2 More
by Steve Lubetkin, Globest.com
Rite Aid Pharmacy has sold two locations in Eastern Pennsylvania, one in Philadelphia and the other in Carlisle. The same medicine is in store for two other locations.
The first property, a 14,564 square foot store located at 4350 N. 5th Street in Philadelphia, was sold to a private buyer based in California. Esperanza, a non-profit, faith-based organization focusing on strengthening Hispanic communities. Rite Aid will continue to lease the site from the new owner. The property was sold at close to list price, though the specifics are not being disclosed at this time.
The second property, a 13,813 square foot site located at 429 S. Hanover Street in Carlisle, PA, was listed for a trust, and was sold for $5.02 million to H. Lipsitz Companies.
“Each of these properties were attractive in the marketplace and received significant activity. There was a competitive bidding process for both. The Philadelphia property’s sale was significant for several reasons, not least of which that it provided a capital boost that Esperanza can now use to further fund the important work it does for Hispanic communities in the region.”
“The Carlisle Rite Aid drew a great amount of interest, withs six competitive offers coming in.It’s in a great location, and it has 11 years remaining on a NNN lease, which is why it sold for list price.”
In addition to the two Rite Aids sold, Gorman and Shover are currently representing the listing of two additional Rite Aid locations in the region. The first is located at 5692 Rising Sun Avenue in a densely populated neighborhood of Northeast Philadelphia. The owner is seeking $5.1 million or a 6.5% cap rate. Rite Aid has 10 years remaining on a triple-net lease. The second store property for sale is 4011 William Penn Highway in Monroeville, PA. This is a strong retail corridor, and Rite Aid reports strong sales at this location. This location also has 10 years remaining on a triple-net lease. The listing price is $6.36 million or a 7.0% cap rate.
www.omegare.com
Rite Aid Pharmacy has sold two locations in Eastern Pennsylvania, one in Philadelphia and the other in Carlisle. The same medicine is in store for two other locations.
The first property, a 14,564 square foot store located at 4350 N. 5th Street in Philadelphia, was sold to a private buyer based in California. Esperanza, a non-profit, faith-based organization focusing on strengthening Hispanic communities. Rite Aid will continue to lease the site from the new owner. The property was sold at close to list price, though the specifics are not being disclosed at this time.
The second property, a 13,813 square foot site located at 429 S. Hanover Street in Carlisle, PA, was listed for a trust, and was sold for $5.02 million to H. Lipsitz Companies.
“Each of these properties were attractive in the marketplace and received significant activity. There was a competitive bidding process for both. The Philadelphia property’s sale was significant for several reasons, not least of which that it provided a capital boost that Esperanza can now use to further fund the important work it does for Hispanic communities in the region.”
“The Carlisle Rite Aid drew a great amount of interest, withs six competitive offers coming in.It’s in a great location, and it has 11 years remaining on a NNN lease, which is why it sold for list price.”
In addition to the two Rite Aids sold, Gorman and Shover are currently representing the listing of two additional Rite Aid locations in the region. The first is located at 5692 Rising Sun Avenue in a densely populated neighborhood of Northeast Philadelphia. The owner is seeking $5.1 million or a 6.5% cap rate. Rite Aid has 10 years remaining on a triple-net lease. The second store property for sale is 4011 William Penn Highway in Monroeville, PA. This is a strong retail corridor, and Rite Aid reports strong sales at this location. This location also has 10 years remaining on a triple-net lease. The listing price is $6.36 million or a 7.0% cap rate.
www.omegare.com
Xenia Drops $245M on Hotel Trio Including Rittenhouse Philadelphia
by Jennifer LeClaire, Globest.com
Xenia Hotels just snapped up $245 million worth of hotels. The firm acquired fee simple interests in three high-quality lifestyle boutique hotels. The company funded the acquisitions with cash and its line of credit.
The 84-room RiverPlace Hotel is located in Downtown Portland right next to the Tom McCall Waterfront Park. The 97-room Canary Hotel is located in Downtown Santa Barbara, CA. And the 230-room Hotel Palomar is in Downtown Philadelphia's Center City District near Rittenhouse Square.
"We are thrilled to have acquired the RiverPlace Hotel, the Canary Hotel and the Hotel Palomar, three luxury lifestyle boutique hotels located in high barrier to entry markets with diverse demand generators," says Marcel Verbaas, president and CEO of Xenia. "The acquisition of these distinctive hotels further exemplifies our strategy of continually enhancing our portfolio by investing in high-quality assets in major lodging markets and key leisure destinations."
The three hotels have posted consistently strong operating results. The hotel portfolio's average RevPAR of $224.59, comprised of average occupancy of 85.4%--and an average daily rate of $262.93—from June 2014 to June 2015. The hotel portfolio has generated RevPAR growth of 10.1% year to date.
Xenia forecasts that the hotels will generate EBITDA of $7 to $8 million for the remainder of 2015 and $18.5 to $20.5 million in 2016. All three lifestyle hotels will continue to be managed by Kimpton Hotels & Restaurants.
“Kimpton's exemplary results have established the company as a leading choice for the management of high-quality boutique properties such as these three hotels,” says Verbaas. “Our relationship with Kimpton gives us confidence that we will be able to achieve continued positive results and growth during our ownership of these hotels."
www.omegare.com
Xenia Hotels just snapped up $245 million worth of hotels. The firm acquired fee simple interests in three high-quality lifestyle boutique hotels. The company funded the acquisitions with cash and its line of credit.
The 84-room RiverPlace Hotel is located in Downtown Portland right next to the Tom McCall Waterfront Park. The 97-room Canary Hotel is located in Downtown Santa Barbara, CA. And the 230-room Hotel Palomar is in Downtown Philadelphia's Center City District near Rittenhouse Square.
"We are thrilled to have acquired the RiverPlace Hotel, the Canary Hotel and the Hotel Palomar, three luxury lifestyle boutique hotels located in high barrier to entry markets with diverse demand generators," says Marcel Verbaas, president and CEO of Xenia. "The acquisition of these distinctive hotels further exemplifies our strategy of continually enhancing our portfolio by investing in high-quality assets in major lodging markets and key leisure destinations."
The three hotels have posted consistently strong operating results. The hotel portfolio's average RevPAR of $224.59, comprised of average occupancy of 85.4%--and an average daily rate of $262.93—from June 2014 to June 2015. The hotel portfolio has generated RevPAR growth of 10.1% year to date.
Xenia forecasts that the hotels will generate EBITDA of $7 to $8 million for the remainder of 2015 and $18.5 to $20.5 million in 2016. All three lifestyle hotels will continue to be managed by Kimpton Hotels & Restaurants.
“Kimpton's exemplary results have established the company as a leading choice for the management of high-quality boutique properties such as these three hotels,” says Verbaas. “Our relationship with Kimpton gives us confidence that we will be able to achieve continued positive results and growth during our ownership of these hotels."
www.omegare.com
Saturday, August 1, 2015
Suburban office complex sells for $63.5 Million
Natalie Kostelni Reporter, Philadelphia Business Journal
Liberty Property Trust has sold one of its suburban office complexes for $63.5 million.
The property consists of three buildings at 1170, 1180 and 1190 Devon Park Drive that total 250,185 square feet in King of Prussia, Pa.
The structures are highly visible off Route 202 where drivers can see the USLI sign for the its main tenant, U.S. Liabilities Inc., which maintains its headquarters there, and DrugDev, which moved its North American headquarters from Audubon, Pa., into 31,000 square feet at 1170 Devon Park. The complex is fully leased on a long-term basis to the tenants.
A partnership consisting of a group of undisclosed, local high-networth individuals bought the complex.
“We had nine offers on the property and some were international buyers, which is nice to see in Philadelphia,”
Sales of suburban office buildings have started to pick up is a sign that the one of the last and hardest hit property types during the recession is finally seeing a recovery.
“I know there is a lot more activity this year compared with last year."
Liberty has been selling real estate assets that it has determined don’t fit into its core portfolio.
www.omegare.com
Liberty Property Trust has sold one of its suburban office complexes for $63.5 million.
The property consists of three buildings at 1170, 1180 and 1190 Devon Park Drive that total 250,185 square feet in King of Prussia, Pa.
The structures are highly visible off Route 202 where drivers can see the USLI sign for the its main tenant, U.S. Liabilities Inc., which maintains its headquarters there, and DrugDev, which moved its North American headquarters from Audubon, Pa., into 31,000 square feet at 1170 Devon Park. The complex is fully leased on a long-term basis to the tenants.
A partnership consisting of a group of undisclosed, local high-networth individuals bought the complex.
“We had nine offers on the property and some were international buyers, which is nice to see in Philadelphia,”
Sales of suburban office buildings have started to pick up is a sign that the one of the last and hardest hit property types during the recession is finally seeing a recovery.
“I know there is a lot more activity this year compared with last year."
Liberty has been selling real estate assets that it has determined don’t fit into its core portfolio.
www.omegare.com
MRO Corp. Agrees to 38,565-SF Relocation
MRO Corp. signed a 38,565-square-foot lease at 1000 Madison Ave. in Lower Providence, Pennsylvania.
With the health information company relocating from its former King of Prussia location, the 101,650-square-foot building is fully occupied.
With the health information company relocating from its former King of Prussia location, the 101,650-square-foot building is fully occupied.
Subscribe to:
Posts (Atom)
