Investcorp Buys 638,626-SF O'Neill Portfolio

The price for the five buildings is undisclosed. On condition of anonymity, an area broker familiar with the O'Neill properties, tells GlobeSt.com the price for the five buildings was probably in the $50-million range. The portfolio includes four offices with an aggregate 310,626 sf and the Otis Elevator Building, which is a 328,260-sf industrial property in Hatfield.

The office buildings are Horizon One, a 128,309-sf asset in Trevose, which, according to the O'Neill website, is 98.6% leased and has an asking rental rate of $24.50 per sf; Rittenhouse II, a 43,519-sf building in Trooper near Valley Forge, which is 95% leased and has a published rental rate of $22.50 per sf. Also included is the Malvern Executive Center A, a new 89,912-sf building that is 47% leased and has a published rental rate of $22.50 per sf, and the 48,626-sf PNC Bank Building in Norristown, which is 79% leased and has a published asking rental rate of $18.50 per sf. The broker that provided GlobeSt.com with an estimated price tag says the office properties "probably went for a little over $150 per sf, and the Otis building, for a bit under $25 per sf."

O'Neill will continue to manage and lease all five of the properties. The Investcorp spokesman said this is the company's first foray into greater Philadelphia. He says Mark Delillo of Rockwood Realty Associates in New York City represented the buyer. Calls to Delillo and to O'Neill were not returned by deadline.