Central Pennsylvania distribution facility sells for $24.4M
JLL Capital Markets closed the sale of the fully leased property in Harrisburg
PHILADELPHIA, Dec. 21, 2021 – JLL Capital Markets announced today that it has closed the $24.4 million sale of a fully leased, 254,449-square-foot, multi-tenant distribution warehouse at 301 Railroad Ave. in the West Shore of Harrisburg, Pennsylvania.
JLL marketed the property on behalf of the seller, a wholly-owned subsidiary of a private real estate investment fund managed by Penwood Real Estate Investment Management. Brickman acquired the asset and retained JLL for the leasing and property management.
Home to four tenants, the building features a 24-foot clear height, 27 dock-high doors, two drive-in doors, ESFR fire protection and ample parking. The building was originally constructed in 1963 and expanded in 1972, with recent upgrades and renovations occurring between 2018 and 2020 to modernize the facility.
301 Railroad Ave. benefits from an infill location on the West Shore of Harrisburg in the Cumberland County submarket within the Central Pennsylvania industrial market. According to JLL Research, the submarket boasts a low 2.4 percent vacancy rate at the end of the third quarter of 2021 demonstrating the strength of the region. The property has access to region’s logistics hubs, including Harrisburg International Airport and Norfolk Southern intermodal terminals.
The JLL Capital Markets Investment Sales and Advisory team that represented the seller was led by Senior Managing Director John Plower, Director Ryan Cottone and Analyst Zach Maguire.
“The location, functionality and in-place cash flow attracted strong interest from a variety of investors,” Plower said. “The property is well situated within the coveted West Shore pocket of Harrisburg providing access to an abundant labor force and impressive distribution network.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.
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JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.6 billion in 2020, operations in over 80 countries and a global workforce of more than 95,000 as of September 30, 2021. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About Penwood Real Estate Investment Management
Penwood is an entrepreneurial real estate investment advisory firm dedicated to managing value-added real estate investments for the institutional market. Formed in 2003, the firm is a Registered Investment Adviser based in West Hartford, Connecticut. Penwood combines experienced investment management with the local-market expertise of established strategic relationships and a disciplined management process to optimize value for investors. Penwood’s investment focus remains on value-add investment opportunities in the global gateway markets of Southern California and New York/New Jersey due to the diverse demand generators, inherent supply constraints, dominant seaports, and unparalleled transportation infrastructure.
Brickman is a New York-based real estate investor and operator. It is a vertically integrated investment management platform that has invested over $1.5 billion of equity, primarily through seven commingled private funds, on behalf of institutional and high net worth investors. Brickman has managed funds investing in value-add, and core-plus strategies through a mix of both equity and debt product utilizing its in-house property management, leasing and project management teams. The company has owned, operated, leased and asset-managed over 8.7 million square feet of office property, with a current office portfolio of 2.5 million square feet in eight markets across the United States.