Premier Last Mile, Infill Location & Redevelopment Potential Attracted Widespread Market Interest
The Capital Markets Group, headed by Bob Yoshimura and Joe Hill, from Lee & Associates of Eastern Pennsylvania orchestrated the $110.5 million sale of a 116.8-acre site located at 1900 River Road in Burlington, NJ. A joint venture between Clarion Partners and MRP Industrial purchased the site from STAG Industrial. At the time of sale, the site was encumbered by a vacant 1,050,266 square foot warehouse building that was previously occupied by the U.S. General Services Administration. Clarion and MRP plan to decommission the existing structure and build two (2) state of the art, Class A distribution facilities on a speculative basis.
The Capital Markets Group consisting of Bob Yoshimura, Joe Hill, Eric Mattson and Joe Hill, Jr. represented STAG Industrial in this sale, and also worked with STAG on their earlier acquisition of this asset in 2015.
“The site’s last mile, infill location combined with its redevelopment potential attracted widespread interest in the marketplace. The outcome was an extremely competitive marketing process where we were able to attract the top institutional investors in the country to the opportunity,” said Yoshimura.
The site offers convenient accessibility to U.S. Route 130, the New Jersey Turnpike and I-295. This excellent location within the Southern New Jersey industrial market provides last mile delivery capabilities throughout the Northeast Corridor. Burlington County has historically been considered the strongest industrial submarket within Southern New Jersey, consisting of over 31.0 million square feet of inventory as of third quarter 2020. Vacancy in Burlington County has hovered at or below 5.0% over the last three (3) years, even with approximately 5.5 million square feet of new construction delivering throughout that time frame.
“Burlington County is one of the most desirable locations for industrial development throughout the Northeast Corridor due to its proximity to both the New York City and Philadelphia metropolitan areas. The need for Class A distribution space that can conveniently service large consumer bases has been significantly magnified as shopping habits have shifted and online spending has considerably increased,” added Hill.
In March of this year, the Capital Markets Group arranged the sale of a 30.8-acre site in Florence Township, NJ, which is also located in the rapidly growing Burlington County industrial submarket. The site is fully entitled and the construction of a 300,700 square foot warehouse building is currently underway by Black Creek Group, with delivery expected in the 3rd quarter of 2021. Tony Rod is leading the leasing effort for the LAEP team.
About Lee & Associates of Eastern Pennsylvania
Lee & Associates of Eastern Pennsylvania began operations in May 2015 under the leadership of Principals Brian Knowles, CCIM, SIOR, and John Van Buskirk, SIOR. Long recognized individually as national leaders in the industrial real estate business, they have chosen to take their over 45 years of combined real estate experience in a new direction – as broker-owners of this new initiative. Lee & Associates of Eastern Pennsylvania is committed to providing market-leading research and support while remaining grounded in exceptional client service. For the latest news from Lee & Associates of Eastern Pennsylvania, follow us on Facebook, LinkedIn, Instagram and Twitter or visit us on the web at http://www.lee-associates.com/pennsylvania
About Lee & Associates
Lee & Associates offers an array of real estate services tailored to meet the needs of the company’s clients, including commercial real estate brokerage, integrated services, and construction services. Established in 1979, Lee & Associates is now an international firm with offices throughout the United States and Canada. Our professionals regularly collaborate to make sure they are providing their clients with the most advanced, up-to-date market technology and information. For the latest news from Lee & Associates, visit lee-associates.com or follow us on Facebook, LinkedIn, Twitter and Link, our company blog.
