Thank you for sharing!

Your article was successfully shared with the contacts you provided.

CARLISLE, PA-Trammell Crow Co. and US Real Estate Limited Partnership, an affiliate of San Antonio-based USAA Real Estate Co., joined forces to develop a 960,000-sf industrial building here. The site is approximately a quarter-mile from Exit 44 of I-81 and includes parking for up to 215 truck trailers.

TCC put the property under contract and procured all the required entitlements for development of the site. US Real Estate is acquiring the property, and TCC will be responsible for implementation of the development and for leasing. This is the first JV of this kind between the two companies. The construction cost is undisclosed. A Central Pennsylvania real estate executive tells GlobeSt.com, on condition of anonymity, “the value of the building will be in excess of $30 million.”

“On a relative basis, the Central Pennsylvania region remains extremely viable for tenants and investors alike,” according to Frank Petkunas, who is TCC’s SVP of development based in its Conshohocken office. “Tenants benefit from proximity to efficient and lightly traveled infrastructure, as well as operating costs significantly lower than many other northeastern locations. Investors, on the other hand, benefit from higher risk adjusted returns driven by the abundance of local high-credit tenants as well as lower volatility in property values not apparent in other comparable markets,” he says.

T. Patrick Duncan, USAA’s SVP of real estate development, says the combination of his company’s financial strength and TCC’s local expertise creates the “foundation for a well capitalized and nimble relationship. Our belief is that we’ll collectively possess the ability to react quickly to changes in both general economic conditions as well as local market demand.” Both men refer to a “wave of development” that has occurred throughout the central Pennsylvania region over the past five years.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.