Penwood Select Industrial Partners II, L.P.
Location: Allentown, PA
- 80,084 square foot industrial building located on a 10.6-acre site in Allentown, PA.
- Located at the intersection of S.R. 100 and I-78 within the Iron Run Corporate Center.
- The site has rail service and significant excess land for expansion, trailer storage, or outside storage of goods.
Rationale for Acquisition:
The highly functional property is well located within an established industrial park. The property’s excess land provided the potential for expansion and/or additional outdoor storage. The location within Allentown off I-78 provides excellent regional, super-regional and national distribution potential. Penwood believed the location and site layout allowed the possibility to entertain multiple exit strategies and provided the opportunity to create value.
Penwood acquired the property at a discount to replacement cost. The investment plan was to expand the building footprint by enclosing a covered storage area, implement a capital improvement program, and lease the property. In addition to increasing the rentable square footage, Penwood added nine dock-high loading positions, upgraded to energy-efficient T-5 lighting, installed an ESFR sprinkler system, and replaced the HVAC systems.
The investment strategy was executed, and the building was subsequently leased to an investment-grade water bottling tenant. The property was sold to an investor.
*Please note that past performance is not a guarantee of future results.