In a separate transaction, AMC sold the Exton Professional Building, a 30,000-sf office property, now deemed non-core, which it acquired in 1997. The buyer, J&K Partnership, paid just under $2.5 million, or about $82 per sf.
Michael Wachs, AMC's VP of acquisitions, says of the sale, "despite the entire market's high vacancy rates," his company "was able to take advantage of an extremely low cap rate of 8.1%, providing the buyer with low interest rates and the opportunity for expansion."
The price paid for the 100%-leased Lehigh property is undisclosed. Brokers operating in the Lehigh Valley industrial market tell GlobeSt.com the building would command about $40 per sf and estimate that AMC paid between $9.5 million and $11 million.
Kenneth P. Balin, AMC's president and CEO, says the Macungie property "is another example of our desire to continue our expansion plans in the region," and adds that his firm appointed a regional director for industrial properties for its central Pennsylvania portfolio. "He'll be working to identify new opportunities as wells as assure that our overall investment is profitable," Balin says.
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