The facility was sized and equipped to handle rotational moldingprocessing, a key factor in the company's decision. Still, though,the tenant needed to make several million dollars worth ofrenovations to fully accommodate its manufacturing needs. Theserenovations include raising a section of the roof, installing someplastic silos and bringing rail siding into the facility, which isowned by Jamble Enterprises. According to marketing materials bylisting agent Summit Management & Realty on the web, the askingrate for the building at been $4.3 triple net. The building has a22-foot ceiling height, 10 docks with levelers, and two drive-indoors.

According to Zerbe the location in Pennsylvania was not adriving factor--or a hindrance--behind the decision, despite theanecdotal rush by New Jersey firms to locate in Pennsylvania thesedays. "Some of the employees already live on the Pennsylvania sideof the river," Zerbe says, "which was convenient." But ICO talkedas much about finding the right property as it did about thePennsylvania versus New Jersey site selection issue, he adds.

In fact Zerbe thinks that the traditional pull Pennsylvania hasfor New Jersey based firms may be weakening as the area continuesto develop. "Lehigh Valley is running out of developable land. Yes,New Jersey is still challenging to go through the developmentprocess and yes, Pennsylvania's labor efficiencies are in itsfavor. But I think more and more developers will be forced to lookin other areas of Pennsylvania, along the I-80 Corridor."

Continue Reading for Free

Register and gain access to:

  • Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.