LANCASTER, PA. — Global engineering firm Parsons Brinckerhoff has signed a 15-year lease for 80,000 square feet of office space at 4139 Oregon Pike in Lancaster. The firm plans to relocate 150 employees from its current New York location at One Penn Plaza. Occupancy is set for April 2013. Tom McDermott and John Thiry of NAI Commercial Partners represented the building owner, Oak Tree Development Group, in the transaction.
Like many metro areas across the U.S., Boston’s 494 million-square-foot industrial market slowed as we approached elections and the end of 2012. Despite mixed signals, the situation isn’t entirely dour, and there are signs of optimism in terms of demand and activity, evidenced by a slight decrease in vacancy and 475,000 square feet of net absorption in the first half of 2012, according to CoStar Group. At a more macro level, the Boston area’s thriving technology sector has led to job growth and declining unemployment, which ultimately increases consumer demand and benefits the industrial property market. The Boston industrial market has been flat for more than three years now, but that’s created opportunities for end users to lease higher-quality properties than they previously inhabited while reducing occupancy costs, which is the prevalent trend both in Boston and nationwide. Tenants seek to improve efficiency by consolidating warehouse and distribution into more modern properties with higher clear-height ceilings and other features. While users demand more efficient and flexible industrial space, they also demand more flexible — and generally shorter — lease terms. If tenants can achieve both operational efficiency and lower costs through outsourcing to third-party logistics providers (3PLs), even better. End …
PHILADELPHIA — Winthrop Realty Trust has paid $57 million to take over the non-performing $70 million mortgage on 1515 Market St., a 514,000-square-foot office building in Philadelphia. Tenants of the property include Citizens Bank and Temple University.
NEW YORK CITY — Ariel Property Advisors has arranged the $6 million sale of a five-story, mixed-use building at 172-174 East 106th St. in East Harlem. The 21,500-square-foot building was fully renovated in recent years and includes 24 apartments and two ground-floor retail units. The retailers are Sweet Jane's restaurant and a florist. Michael Tortorici, Victor Sozio, Daniel Tropp and Jesse Deutch of Ariel Property Advisors represented the seller, a private operator. Jeffrey Tanenbaum of Halstead Property represented the buyers, a family of private investors.
SECAUCUS, N.J. — Housing and data center services company Internap Network Services Corp. has signed a lease expansion at 1 North Enterprises Ave. in Secaucus where it will occupy 100,000 square feet. The facility, owned by Prologis, will be Internap's 12th company-controlled data center across eight North American markets. The company expects to be fully operational by the fourth quarter of 2013. Jon Mayeske and Sean Brady of Cushman & Wakefield represented the tenant in the transaction.
NEW YORK CITY — Imperium Capital and Bronstein Properties have acquired 309 West 57th Street, a 102-unit apartment building in Midtown Manhattan, for $42.5 million. The 75,000-square-foot building is adjacent to Columbus Circle and across from Hearst Tower. The property also contains the 13,700-square-foot Providence NYC club, which is leased for another seven years.
NEW YORK CITY — Eastern Union Funding recently secured approximately $30 million in financing for two multifamily properties and one retail asset in Queens. The firm arranged a $14 million loan for the refinancing of a 50-unit multifamily property in Ridgewood. Investors Bank financed the seven-year loan. Eastern Union also arranged an $11 million, 25-year loan for the acquisition of a multifamily property in Long Island City. Arbor Commercial Mortgage was the lender. In the third transaction, the firm arranged a $4.6 million refinancing loan for Rite Aid property in Belle Harbor. Amalgamated Bank provided the five-year loan, which amortizes over 30 years.
NEW YORK CITY — Co-developers Taconic Investment Partners and Thor Equities have broken ground on a 55,000-square-foot office and retail property at 837 Washington Street. The office section will include 40,000 square feet. There will also be exterior terraces: 500 square feet on the second floor, 3,500 square feet on the floor above and 3,000 square feet on the rooftop. Occupancy is slated for the fall of 2013.
NEW YORK CITY — An office and warehouse building at 60-62 John St. in Brooklyn's DUMBO neighborhood has sold for $7 million. The 34,200-square-foot property is located between Jay and Bridge streets. Stephen Palmese and Winfield Clifford of Massey Knakal represented both parties in the transaction.
QUINCY, MASS. — Three new tenants will join One Adams Place in Quincy, after leasing a total of 31,325 square feet. Ricoh Americas Corp. signed a lease for 10,380 square feet, H.T. Bailey Insurance Group leased 15,572 square feet and South Shore Mental Health will take 15,572 square feet. Sean Teague, Jon Teague, Jon Vacca and Kate McGovern of Cassidy Turley represented the landlord, Commonwealth REIT, in the transaction. CBRE Group represented Ricoh Americas, DTZ represented H.T. Bailey and The Congrad Group represented SSMH. Reit Management & Research LLC manages the property.
