Keystone Grabs Former Aamco HQ for $19M

BALA CYNWYD, PA-Conshohocken-based Keystone Property Group has acquired One Presidential Blvd., the former Aamco Transmission Inc. headquarters, for $19 million, or $146.15 per sf. The four-story, 130,000-sf building went to market in May at an asking price of $27 million.

“The difference is because it was originally marketed for a user/buyer,” Scott Gabrielsen, senior vice president of Philadelphia-based Binswanger, tells GlobeSt.com. “Keystone plans to redevelop it into a class A, multi-tenant office building.” Gabrielsen represented the seller, Morgan Family Trust, which owned Aamco, and sold the company earlier this year merging it into Horsham-based Cottman Transmission. Aamco is exiting to relocate to Cottman’s headquarters.

The building was completed in 1956. Before Aamco moved in, it was the headquarters for Gulf Oil. With Aamco’s departure, the building will be 20% occupied. Bala Cynwyd is the nearest and priciest of the Philadelphia suburban office submarkets. “We see this opportunity as a chance to capitalize on the best location in the Western suburbs,” says Bill Glazer, Keystone’s president, in a statement in which he also says it will be turned into “a trophy class asset.” A call to Glazer was not returned by deadline.

According to Gabrielsen, Keystone will invest $10 million in renovations, including new windows, facade and lobby. The new owner has assigned the lease-up to Gabrielsen. Following redevelopment, he says the asking rent will be $35 per sf, plus electric.