New Jersey developer of J.G. Petrucci Company and its private equity partner Cabot Properties are teaming up for a third industrial project in the Lehigh Valley.
JLL Capital Markets announced that it arranged the partnership for the development of a 318,440 s/f speculative industrial facility at 600 Male Rd. in Wind Gap, Pennsylvania (rendering top).
Expected to be completed later this year, the facility will feature a 36-foot clear height, 39 dock-high loading positions, two drive-in doors, 54 trailer positions, ESFR fire protection, LED lighting and ample employee parking.
“We are so excited to have helped arrange this significant transaction between two long-term clients of ours,” said Jon Mikula, senior managing director on the JLL Capital Markets team that included John Plower and Mike Lachs.
“The Lehigh Valley is one of the most highly sought-after industrial markets in the country,” added Plower. “As such, opportunities within the market are becoming more and more limited. We’re eager to see this project through completion and excited to have worked on a deal with two, highly regarded groups in the industrial space.”
600 Male Rd. is just off Route 33 and has access to the area’s primary transportation arteries, including Interstates 78 and 476, which are direct routes into major metropolitan areas such as New York City and Philadelphia. Additionally, the Lehigh Valley International Airport and the Bethlehem Intermodal Terminal are both within 22 miles.
In a recent report, JLL Research details that the Eastern and Central Pennsylvania Industrial market has a total vacancy of only 5.1 percent, which comes after a record year of leasing, positive net absorption and rent growth in 2020. Despite 3.4 million square feet of speculative deliveries in the first quarter of 2021, Class A vacancy rates dropped 80 basis points quarter-over-quarter, and direct asking rents have increased to an average of $5.54 per square foot, which increases to $6.34 per square foot within the Lehigh Valley Industrial submarket.
This is the third project this year JLL helped capitalize for J.G. Petrucci Company, Inc. and Cabot Properties, Inc. Earlier this year, JLL announced the acquisition of a 18.31-acre land site and the development of a 225,000-square-foot light/bulk distribution industrial facility at 85 Ben Fairless Dr. in the Bucks County community of Fairless Hills, Pennsylvania, and the development of a 148,960-square-foot, single-tenant speculative industrial facility at 59 Fretz Rd. in the suburban Philadelphia community of Souderton, Pennsylvania. The developers expect those projects to be completed this year also.