The booming commercial real estate (CRE) business in Bucks County shows no signs of abating, if the sale of a Bensalem warehouse is any indicator. Natalie Kostelni, of the Philadelphia Business Journal, reported on the recent transaction that illustrates the current CRE frenzy.
A 430,373 square-foot industrial building in Bensalem, purchased in 2018 for $23.7 million, sold anew for $41.97 million. The deal netted the owners a profit of $18.27 million in a mere 32 months.
Market demand is the main driver of the increase in value.
A partnership, comprising ASB Real Estate Investments (Bethesda, Md.) and Endurance Real Estate Group (Radnor), owned the site. The purchaser is EQT Exeter (Conshohocken).
Three tenants lease the property at 450 Winks Lane, contributing to its 97 percent occupancy:
- Brenner Aerostructures
- National Refrigeration & Air Conditioning Products
- Rolled Metal Products
These businesses operated out of the same facility during its 2018 purchase.
“We were the beneficiaries of the increasing demand by institutional investors for functional, infill industrial assets during our relatively short ownership period,” said Albert J. Corr, Endurance senior vice president.
The Winks Lane building dates to 1973 and is located in the Expressway 95 Business Park. It has access to several major arteries including the Pennsylvania Turnpike and the New Jersey Turnpike.
More on the sale of this Bensalem warehouse is at the Philadelphia Business Journal.