Tuesday, April 30, 2013

Oliver-Tolas Healthcare Packaging, Inc. buys 915 Pennsylvania Blvd, Feasterville, PA.


The 50,000 square foot industrial facility, situated on 2.5 acres, was sold for the owner Coren-Indik, Inc. and purchased by Oliver-Tolas Healthcare Packaging, Inc.  The new owner plans to renovate the building and use the facility to house their expanding operations.  The location, near Street Road and U.S. Route 1, provides easy access for both employees and trucks.

 The strong interest in the property in the last several months indicates improvement in the industrial real estate market.  “The previous owner out-grew the building and the new owner is expanding into it.  This business growth is a welcome sign of our strengthening economy and improving industrial real estate market.”   

Final Pieces of 1 World Trade Center to Be Placed


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Monday, April 29, 2013

Recent CRE Deals

by Natalie Kostelni-Staff Writer, Philadelphia Business Journal


$15 million

Rotter Realty Group of Jenkintown paid $15 million, or just under $100,000 a unit, for Castle Club, a 158-unit complex at 254 W. Trenton Ave. in Morrisville, Bucks County. The property was 95 percent occupied at the time of sale and rents range from $900 to $1,200. Home Properties Inc. was the seller and had renovated the property, which was constructed in 1974. Jim Sheehan and Joe Verdejo, which formed IP Capital Advisors earlier this year, arranged the transaction.

39,674 sq. ft.

Crothall Services Group leased 39,674 square feet at 1500–1550 Liberty Ridge Drive with Liberty Property Trust in Chesterbrook Corporate Center in Wayne. Crothall was represented by David Morris and Dean Geis of NAI Geis Realty Group.

Drexel snags parcel it has coveted for decades for $9 million

by Natalie Kostelni-Staff Writer, Philadelphia Business Journal


Drexel University finally got it.
It took what some peg at 20 to 30 years, but Drexel bought the Firestone Auto repair property that sits right in the heart of the university’s campus in West Philadelphia.
The school paid $8.95 million for the triangular-shaped parcel at 3161-67 Market St. that sits between John F. Kennedy Boulevard and 32nd Street. The acquisition is part of Drexel’s 30-year master plan that was adopted last year.
“Basically, the boss said to get it and we went out and got it,” said Jim Tucker, senior vice president of student life and administrative services at Drexel. “It’s the hole in the center of the campus that we did not own. You don’t want a Firestone auto shop in the middle of your research university.”
The site totals 26,675 square feet, or a little more than a half acre. The existing building totals 19,443 square feet.
When Drexel took another stab at buying the site, it was rebuffed yet again. The school was told that auto shop was one of the highest grossing Firestone’s on the East Coast and there was no interest in selling. It took eight months of talking to different people at Firestone and Bridgestone to finally strike a deal, Tucker said.
Full story: http://tinyurl.com/busjvcc
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Brandywine Realty Trust to build Radnor retail space

by Natalie Kostelni-Staff Writer, Philadelphia Business Journal


Brandywine Realty Trust is constructing a new building in Radnor that will house retail tenants and aims to round out amenities the company offers tenants at Radnor Corporate Center, where it owns 1.7 million square feet of office space.
The company is expected to start construction next month on an 18,000-square-foot structure at 200 Radnor-Chester Road. It has so far leased space to several tenants including: Estia, a full-service restaurant that will serve lunch and dinner; Pietro’s, which will serve casual fare; Jimmy John’s, a burger joint; and has 6,000 square feet left to lease. 

$20.5M rehab hospital to be built in Bucks County

by: John George Senior Reporter- Philadelphia Business Journal


Bucks County is getting its first stand-alone rehabilitation hospital.
St. Mary Medical Center plans to open a 50-bed, acute rehabilitation hospital in a partnership with Centerre Healthcare Corp. of Nashville, Tenn.
“We are always looking at community needs and what services we’ll need to be providing in the future,” said Greg Wozniak, president and CEO at St. Mary. “We saw the demand for rehab care was going to be a growing.”
Wozniak said the $20.5 million, rehab hospital will complement the St. Mary’s expanded programs in cardiology, neurosciences and orthopedics.
The construction cost for the rehab hospital will be shared by the two organizations.
St. Mary, part of Newtown Square-based Catholic Health East, decided to partner with Centerre Healthcare, he said, because it believed the company’s singular focus on clinical outcomes and quality was the best match for its goal of bringing the “highest level” of rehabilitation care to Bucks County.
Centerre Healthcare specializes developing and operating Rehabilitation Hospitals in partnership with leading Acute Care Hospitals.
Pat Foster, the company’s CEO, said St. Mary is his 12-year-old company’s 10th partner and second in Pennsylvania, where it already operates the 59-bed Lancaster Rehabilitation Hospital with Lancaster General Health.
Under the partnership, the 50 employees who now staff St. Mary’s inpatient rehabilitation-care department will become employees of Centerre Healthcare in the new hospital. Foster said he expects the hospital to expand to 150 employees “when we reach full capacity.”
The 55,000-square-foot medical center is being built on the other side of Newtown-Langhorne Road from St. Mary’s main campus in Langhorne on land formerly occupied by the Neshaminy Middle School.
The free-standing rehab hospital, expected to open next spring, will provide rehab services — physical, occupation and speech therapy along with neuropsychology --— for patients recovering from conditions such as spinal cord injuries, stroke, brain injuries trauma and orthopedic maladies.
Among its features will be therapy gyms; simulated home training environments an outdoor therapy courtyard that will have a putting green and basketball court, and walking path.
The hospital will have a self-contained, locked brain-injury unit to treat patients suffering from certain behavioral and/or cognitive issues that would put them at-risk in a less structured setting.
Lisa Haney, executive director of inpatient rehabilitation at St. Mary, said the opportunity to build a new hospital from scratch will allow it to create the best environments for the needs of all rehab patients — something that is not possible in the limited space the department has on the main campus.

Friday, April 26, 2013

Philadelphia's Industrial Vacancy Decreases to 9.0%

The Philadelphia Industrial market ended the first quarter 2013 with a vacancy rate of 9.0%. 

The vacancy rate was down over the previous quarter, with net absorption totaling positive 566,950 square feet in the first quarter. That compares to positive 136,987 square feet in the fourth quarter 2012. Vacant sublease space decreased in the quarter, ending the quarter at 2,083,524 square feet. 

Tenants moving into large blocks of space in 2013 include: Binney & Smith, LLC moving into 800,280 square feet at 3025 Commerce Blvd, Perdue moving into 223,750 square feet at 1801 Dulaney St, and The American Red Cross. moving into 119,310 square feet at 530 Herman O. West Dr. 

Rental rates ended the first quarter at $4.47, a decrease over the previous quarter. 

There was 2,978,919 square feet still under construction at the end of the quarter. 

This trend is compared to the U.S. National Industrial vacancy rate, which decreased to 8.6% from the previous quarter, with net absorption positive 47.23 million square feet in the first quarter. Average rental rates increased to $5.21 this quarter, and 166 industrial buildings delivered to the market totaling almost 16 million square feet. 

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