PHILADELPHIA-Pleasantville, NY-based Baker Properties has acquired a 217,560-sf facility at 10814 NE Avenue. It is the branch distribution facility and regional headquarters for St. Louis, MO-based Bunzl USA Inc.
The seller, GC LLC, is a group of retired Bunzl executives, according to Steve Marzullo, SVP of Trammell Crow Co.'s capital market group. Marzullo and Nick Harris of the local TCC office, along with Ron Key, SVP of Trammell Crow Co./Krombach Partners in St. Louis, represented the seller. Dave Iacobucci of Baker spoke for the buyer. The sale price is undisclosed. On condition of anonymity, a local industrial broker tells GlobeSt.com the price was just north of $9.5 million, or nearly $44 per sf.
Marzullo tells GlobeSt.com that six years remain on Bunzl's absolute net lease, which is guaranteed by its parent company. "There was strong interest in the building due to the creditworthiness of the tenant and the fact that a long-term lease was in place," he says. The building was completed in 1978, and Bunzl expanded it in 1984 and again in 1990. Currently, the 11% office space is undergoing significant renovation.
The 13.5-acre site allows for future expansion," according to Marzullo, who estimates zoning could provide for the addition of approximately 20% to 30%. It's in the Somerton Industrial Park, one of six industrial parks within a two-mile radius. Facilities for Comcast, TJ Maxx, Pepsi-Cola Bottling Group and other companies are in the area. "It's a well-maintained property in a land-constrained industrial market, and the healthy market conditions were right for selling. Numerous investors, including pension fund advisors, REITs and private investors, have recently gained a foothold in the Northeast Philadelphia industrial market."
Bunzl USA is the US subsidiary the London-based Bunzl plc, a holding company with annual revenues in excess of $4 billion. It is a primary supplier of plastic and paper packaging for the food industries and others. The US arm operates approximately 80 distribution facilities serving the US, Canada, Mexico and the Caribbean.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.
