594 KSF Pennsylvania Industrial Asset Sold, to Become Sports ...

By Barbra Murray, Contributing Editor

A notable change in use is in store for the 594,000-square-foot industrial building at 2913 Spooky Nook Rd., in Lancaster, Pa., now that the onetime home of Armstrong Industries has changed hands. An entity spearheaded by Samuel Beiler, former owner of the Auntie Anne?s Pretzels chain, acquired the vacant distribution center, and will redevelop it into a regional sports complex.

Located approximately 30 miles southeast of the state capital of Harrisburg, 2913 Spooky Nook made its original debut in 1976. Commercial real estate services firm Cushman & Wakefield Inc. orchestrated the disposition of the industrial facility on behalf of the seller. Cushman has not disclosed the identity of its client; however, a report by Real Capital Analytics indicates that Random Properties Acquisition Corp. was the previous owner, having taken the asset off the hands of S-J Management in 2007 in a transaction valued at $21 million.

This time around, the sales price is not quite as clear. Cushman is remaining mum on the money Sports Complex shelled out for the property, but a recently released document produced by real estate appraisal and consulting firm Weinstein Realty Advisors notes that Sports Complex acquired 2913 Spooky Nook for nearly $11.3 million. The assumption of debt may very well have been part of the deal, as Lancaster County records show a sale price of a paltry $10.00.

?We were able to secure the highest and best use buyer, a local investor, after negotiating with several parties who had also expressed interest in redeveloping this asset,? said Gerard Blinebury, a senior director with Cushman.

Sports Complex, which was represented by Prudential H.S.G. Real Estate in the transaction, is wasting precious little time moving forward with the repositioning of the building. The company has filed a petition with the Board of Supervisors of the Township of East Hempfield to rezone the property from the general industrial zone to the highway commercial zone. As per the petition, the proposed sports complex will feature both indoor and outdoor recreational facilities.

Should Sports Complex have decided invest in upgrades and maintain 2913 Spooky Nook as an industrial property, the company may not have had much of a problem filling the tenant roster. Presently, large segments of Class A space are highly coveted in the Central Pennsylvania industrial market. Big lease transactions during the first quarter of 2012 included Henry Schein?s commitment to 623,700 square feet at 41 Weaver Rd. in Denver; Ceva Logistics US Inc.?s deal for 387,500 square feet at 600 Industrial Dr. in York; and Uline Inc.?s lease of 363,000 square feet at 400 Boulder Dr. in Allentown.

?While deal size generally stays in the [20,000 to 40,000-square-foot] size, these larger deals are affecting the already constrained market of large contiguous blocks in the region,? commercial real estate services firm CBRE Group Inc. noted in a first-quarter 2012 report.

Related Posts:

pennsylvania primary jerome simpson hand sanitizer obama on jimmy fallon google drive apple stock pilar sanders