1788 Holdings Acquires PA Industrial Asset
- Mar 16, 2018
In an $11.7 million deal, an affiliate of 1788 Holdings has acquired Riverside Business Center, a single-story light industrial building in Whitehall, Pa. Located at 1139 Lehigh Ave., the property comprises 423,900 square feet and was 87 percent leased to 11 tenants at the time of sale.
“Riverside Business Center presented us with the unique opportunity to acquire a high-quality Class B light industrial property that is substantially leased with in-place rents significantly below market,” said Larry Goodwin, principal of 1788 Holdings, in a prepared statement. “Supplementing our attraction to this asset was our ability to purchase the property at just over $27 per square foot, a price which is less than 30 percent of the property’s replacement cost.”
Riverside Business Center
Situated on 34 acres, the structure offers an average of 20-foot ceiling heights, automobile and truck parking, dry sprinkler fire protection system and 25,000 square feet of office space, currently not suitable for lease until certain upgrades are performed. Built in 1910, the asset was most recently renovated in 2006, with the investment of more than $9 million to convert the property from a single-user manufacturing facility into a multi-tenant warehouse and light manufacturing facility. The conversion of Riverside included features such as:
- 31 dock doors
- 23 drive-in doors
- modernized HVAC, lighting and plumbing
- new bathrooms in each tenant suite
- complete exterior brick and concrete makeover
- paving of the parking lot
- rehabilitation of the roof
According to Goodwin, the firm plans on implementing a capital investment program to improve the functionality and aesthetics of the property, overhauling the branding and marketing, as well as upgrading the property’s profile within the community.
Lee & Associates of Eastern Pennsylvania has been selected to handle leasing for the property, with Principal Brian Knowles managing the requirement. Summit Management and Realty Co. will serve as management agent for the building.
Image courtesy of 1788 Holdings