This Week's Philadelphia Deal Sheet
A nearly 100-year-old apartment building, gutted by fire four years ago, is on the cusp of its second life.
On Sept. 30, local developer Odin Properties will cut the ribbon on Overbrook Lofts, its redevelopment of the former Overbrook Gardens apartment complex that was devastated by a five-alarm fire in 2018. At least 50 residents were displaced when the building was rendered uninhabitable, but move-ins will start for the 69-unit, five-story building Oct. 1.
Founded in 2009 by former Tower Investments Director of Acquisitions and Finance Philip Balderston, Odin included amenities such as a dog park and bike storage in its redevelopment, but exercised some restraint to keep rents closer to average for Overbrook, a majority Black neighborhood near the western border of Philadelphia.
SALES
A joint venture of NewcrestImage and Hospitality Capital Partners has agreed to acquire two Marriott-branded hotels in Montgomery County: a Courtyard by Marriott in Willow Grove and a Residence Inn by Marriott in Horsham, the Philadelphia Business Journal reports. The properties are to be included in a 16-property portfolio acquired by an affiliate of Services Properties Trust expected to close in December.
The two properties share similarities beyond ownership: The 149-room Courtyard in Willow Grove was built in 1989 and sits on 4.5 acres, while the 118-room Residence in Horsham was built in 1990 and sits on 4.3 acres, PBJ reports. The two hotels sit less than 2 miles apart.
LEASES
First Industrial Realty Trust has leased the 180K SF distribution center at 2801 Red Lion Road in Northeast Philadelphia to International Vitamin Corp., a manufacturer of private-label vitamins and supplements for wellness brands. International Vitamin will move into the property in early 2023, after it is vacated by TJX Cos., which is moving to a larger, build-to-suit facility nearby at 9800 Blue Grass Road. A Colliers team led by Richard and Adam Gorodesky represented First Industrial in the transaction.
PEOPLE
Velocity Ventures Partners named John Ahle as its new chief operating officer, promoting him from his position as senior vice president of asset management of operations. Ahle joined the Bala Cynwyd-based Velocity in 2021 after over five years at Blue Bell-based The Goldenberg Group, with stops at CBRE and mall giant Simon Property Group before that. Ahle will now run the day-to-day operations for Velocity, which focuses on industrial real estate development and acquisition, on behalf of principals Tony Grelli and Zach Moore.
THIS AND THAT
Officials from the city of Camden and the New Jersey Department of Environmental Protection on Monday seized a plot of land at the corner of Seventh and Chestnut streets where a mound of landfill material and industrial garbage had grown to around 45 feet tall, the Philadelphia Inquirer reports.
Foreclosure proceedings and a lawsuit DEP filed against owner Weyhill Realty Holdings are both still ongoing, but the active nature and size of the problem prompted action ahead of legal resolution, city and state officials said at a press conference reported by the Inquirer. Assessment of the extent of environmental contamination on the lot will begin immediately, but removal likely won't begin until the summer.
