DELAWARE COUNTY, PA — An affiliate of Endurance Real Estate Group, LLC (Endurance) announced the acquisition of Naaman’s Creek Business Center, a five building flex portfolio totaling 190,729 s/f in Upper Chichester Twp., Delaware County (“portfolio”). The buildings, which range in size from 25,000 s/f up to 60,000 s/f, are situated in the larger Naaman’s Creek Center, a 125 acre business park totaling 750,000 s/f with high curb appeal and a campus-like atmosphere.
The Portfolio fronts Rte. 322, providing easy access to I-95 and the Philadelphia Int’l. Airport to the east (15 minutes) as well as Interstate 476, which presents a direct connection from I-95 to the PA Tpke. Endurance acquired the portfolio for $9.75 million ($51.12 PSF), well below replacement cost and providing the new ownership group with flexibility to invest in attracting new tenants to boost the portfolio’s current 50% occupancy level.
The portfolio buildings were constructed from the late 1990’s through the early 2000’s and feature allmasonry facades, 19’ clear ceiling heights, and flexible configurations to accommodate a multitude of tenant requirements. Despite having lost multiple tenants in the last few years, the Portfolio has been institutionally maintained and will benefit from fresh capital to be invested in procuring tenants.
Optimal logistical connections, combined with unique access to Philadelphia Int’l. Airport, Center City Philadelphia, and the affluent consumer base of the Western Philadelphia Suburbs, have attracted a number of employers to Delaware County and Naaman’s Creek Center in particular. A sampling of existing users within the business park includes Apria Healthcare, Patterson Dental, Pentec Health, Huff Paper Company, Office Basics and Flowserve Corporation.
“With our advantageous going-in basis and capital to invest in tenant improvements and base building improvements we feel confident in our ability to stabilize this well-maintained, institutional-quality set of buildings with intrinsic appeal to users due to their curb appeal, location, and flexible tenant suite sizes and configurations” said Benjamin Cohen, president of Endurance. “This Portfolio was historically very well leased up through the late 2000’s, and will certainly benefit from a reset basis and the hands-on asset management plan to be implemented under our new ownership.”
Endurance is also pleased to announce the engagement of the SSH Real Estate team of Brian Mears and Kevin Hagenberg to handle the Portfolio leasing.