CHERRYVILLE, PA. — Marcus & Millichap has brokered the sale of Cherryville Self Storage, a 404-unit facility located about 10 miles north of Allentown in the Lehigh Valley. Built on five acres in the late 1990s, the property consists of 89 climate-controlled units and 315 non-climate-controlled units across 58,075 net rentable square feet of space. Nathan Coe, Brett Hatcher and Gabriel Coe of Marcus & Millichap represented the undisclosed seller in the transaction. Sean Beuche of Marcus & Millichap assisted in closing the deal as the broker of record. Additional terms of sale were not disclosed.
PHILADELPHIA — Wharton Industrial, an investment arm of New York-based Wharton Equity Partners, has acquired a portfolio of seven industrial properties totaling roughly 450,000 square feet in the Philadelphia area. Four of the properties are located in the Pennsylvania markets of Croydon, Boothwyn and Reading. The other three are located in the Southern New Jersey communities of Marlton, Moorestown and Pennsauken. The seller and sales price were not disclosed.
By Gary Holloway Jr, president, GMH Communities The COVID-19 pandemic served as an accelerator for transforming the Philadelphia multifamily market. Overnight, property owners and managers had to quickly adapt and find new ways to serve their residents while prioritizing their safety and following all of the guidelines from the Centers for Disease Control and Prevention (CDC). As we head into 2022, the pandemic will continue to influence what prospective tenants expect from their apartment communities. Here are three opportunities that multifamily owners should consider as the industry continues to grow and evolve in Philadelphia. WFH is Here to Stay Working from home is not a new trend. However, the pandemic thrust countless residents into remote work situations without warning. This sudden shift in work routines has prompted multifamily developers to rethink which amenities they need to provide now that remote and hybrid work is the norm. At GMH Communities, we are actively growing our amenity offerings to enhance the work-from-home experience. At The Yards at Malvern, one of our newest properties that is located in the suburb of Malvern, residents have access to a robust business center with multiple small and large conference rooms with a Zoom conference room, …
NORTH WALES, PA. — JLL has negotiated the $55 million sale of Montgomery Mall, a 1.1 million-square-foot regional shopping and dining destination in North Wales, a northern suburb of Philadelphia. Wegman’s, Macy’s, J.C. Penney and Dick’s Sporting Goods are the anchor tenants at the 105-acre property, which opened in 1973, was renovated in 2014 and was 73 percent leased at the time of sale. Other tenants include H&M, Forever 21, American Eagle, Bath & Body Works and Outback Steakhouse. David Monahan, Jim Galbally, Chris Munley, Cameron Pittman, Colin Behr and Akhil Patel of JLL represented the seller, an undisclosed CMBS trust, in the transaction. New York-based Kohan Retail Investment Group purchased Montgomery Mall for an undisclosed price.
PHILADELPHIA — Gattuso Development Partners has broken ground on a 130,000-square-foot flex project at The Philadelphia Navy Yard that will be marketed to industrial and life sciences users. Designed by SITIO Architects, the property will feature a clear height of 30 feet, 14 loading bays and 360 parking spaces. Completion is slated for the fourth quarter. Citizens Bank provided construction financing for the project, with Boston-based The Baupost Group contributing joint venture equity. Ryan Ade and Brett Segal arranged and structured the debt and equity financing.
PITTSBURGH — SomeraRoad Inc., a national development and investment firm, has completed The Box Office, a 77,000-square-foot office redevelopment project in Pittsburgh’s Southside neighborhood. HOK Architects designed the project, which converted a former movie theater into a Class A office building. The Box Office features a 7,000-square-foot lobby with a staircase and open verandas, as well as a 1,700-square-foot private outdoor patio. Construction began in summer 2020.
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Cordish to Sell Three East Coast Casinos in $1.8B Deal with Gaming and Leisure Properties
PHILADELPHIA, PITTSBURGH AND HANOVER, MD. — The Cordish Cos., a privately held retail entertainment and hospitality owner and operator based in Baltimore, has reached a sale-leaseback agreement with Gaming and Leisure Properties Inc. (NASDAQ: GLPI) for three of Cordish’s East Coast casinos. The properties include Live! Casino & Hotel Maryland, Live! Casino & Hotel Philadelphia and Live! Casino Pittsburgh. Under terms of the agreement, Cordish will immediately lease back all the properties and continue to own, control and manage all the gaming operations of the facilities. The leases will have an initial term of 39 years, with a maximum term of 60 years inclusive of tenant renewal options. The total price was approximately $1.8 billion, including applicable long-term ground leases. Consideration for the three-property real estate transactions will comprise a mix of qualified debt assumption (to be satisfied by GLPI), cash and $323 million of newly issued operating partnership units. The transaction for the three properties includes a binding partnership on future Cordish casino developments. For seven years post-closing, GLPI will co-invest with Cordish on any new gaming development projects and provide 20 percent of Cordish’s equity on those projects. (This agreement excludes existing Cordish or third-party gaming licensed facilities.) …
ONTELAUNEE, PA. — Crow Holdings Industrial will develop Route 61 Logistics Center, a 652,080-square-foot industrial project in Ontelaunee, located near Reading in the southern part of the state. The property will feature a clear height of 40 feet, 484 car parking spots, 182 trailer parking stalls and 124 loading docks. Crow Holdings acquired the nearly 60-acre site from the economic development arm of the Greater Reading Chamber Alliance (GRCA), which purchased the land in 2019 and subsequently rezoned it for industrial use. Construction will begin before the end of the year. JLL is marketing the property for lease. The project is Crow Holdings’ first in the Lehigh Valley.
UPPER MACUNGIE, PA. — Kushner Real Estate Group (KRE) and The Silverman Group have begun leasing a 273-unit apartment community in the Lehigh Valley community of Upper Macungie. Lehigh Hills features one- and two-bedroom units that are furnished with granite countertops, stainless steel appliances and individual washers and dryers. Amenities include a pool, outdoor grilling and picnic areas, fitness center with a yoga studio, conference room, lounge areas, package lockers, tot lot and a dog park. Rents start at $1,975 per month for a one-bedroom apartment. Move-ins are scheduled to begin in January.
BALA CYNWYD, PA. — Ziegler has arranged $39.4 million in bond financing for Simpson, a nonprofit operator based in Bala Cynwyd, a suburb of Philadelphia. Formerly known as Methodist Episcopal Home for the Aged, the borrower operates three continuing care retirement communities in the region: Simpson House in Philadelphia, Simpson Meadows in Downington and Jenner’s Pond in West Grove. The portfolio totals 482 independent living units, 56 personal care units, 118 assisted living units and 178 skilled nursing units. Proceeds refinance existing bonds from 2015 and fund capital expenditures, among other uses.