In response to a confluence of factors, including increased borrowing and construction expenses, coupled with diminishing demand for warehouse space, Philadelphia’s industrial development is beginning to exhibit early indications of a slowdown. Over the last two quarters, the Philadelphia industrial sector has witnessed an average of just 665,000 square feet in construction starts, a stark… Read more »
A New York real estate firm, DH Property Holdings, has put forth a plan to transform the former Philadelphia Inquirer printing plant in Upper Merion Township into a 746,240-square-foot warehouse complex. Their proposal envisions the demolition of the existing facility and the construction of two industrial buildings on the 46.3-acre site. One of these buildings… Read more »
The recent construction boom of industrial space across the Philadelphia region has posed lease-up challenges as supply continues to outpace demand for the fifth consecutive quarter. In the past year, greater Philadelphia’s industrial real estate market has experienced an unprecedented surge in new inventory, with developers adding more than 20 million square feet of industrial… Read more »
Stag Industrial, a Boston-based investment trust, bought a 152,625-square-foot industrial building in Harleysville for $14.8 million, according to property records. The property at 1510 Gehman Road is just east of I-476 and south of Detwiler Road. It was previously owned by Platinum Owner PA LLC, which bought the building for $15 million in December 2020…. Read more »
Rent growth across Philadelphia’s commercial properties has exhibited a roller-coaster-like trajectory since the onset of the pandemic, which saw numerous new rent records in recent years. While the region’s overall rent performance has since normalized toward pre-pandemic levels in recent quarters, the industrial sector in Philadelphia stands out as an exception with its annual rent… Read more »
Alliance HP has sold three industrial buildings in Eastwick near the Philadelphia International Airport for a combined $24.7 million, or 86% more than it paid two years ago. The buildings total 122,373 square feet. A buyer could not be determined and the sale has not yet been recorded in public records. The three Philadelphia buildings… Read more »
New York-based DH Property Holdings has secured $135 million in construction financing for a two-building, 760,000-square-foot warehouse distribution complex in Northeast Philadelphia at 5000 Richmond St. Barings, a subsidiary of MassMutual, provided the construction loan. The developer also secured $40 million in limited partner equity. *Article courtesy of Philadelphia Business Journal Wolf Commercial Real Estate,… Read more »
Wharton Industrial and Walton Street Capital have sold a 1.3 million-square-foot portfolio in New Jersey outside of Philadelphia for $194.5 million to DRA Advisors. Twinbridge Industrial Park, which has 37 properties and is in Pennsauken, traded hands, divested by Wharton and its joint venture partner, Walton, the sellers said in a press release. PGIM Real… Read more »
The Philadelphia region’s industrial market has experienced a significant shift in leasing trends. Historically, about five industrial leases exceeding 500,000 square feet were signed each year since 2015. But halfway into 2023, no industrial leases of that size cohort have been recorded. Over the past six years, top retailers such as Amazon, Walmart and Burlington… Read more »
Amazon plans to open its new distribution center in Southwest Philadelphia early this fall following a lengthy delay. The facility at 6901 Elmwood Ave. will be Amazon’s largest in Philadelphia in terms of volume and employee headcount. The company said “several hundred” people will be employed at the 140,000-square-foot warehouse and it will initially handle… Read more »
