PepsiCo is vacating the Fulling Mill Road distribution center, which now has a total of 500,000 sf, on March 1, and ProLogis expects to complete a 150,000-sf addition to the facility by this August or September, according to Michael Hess of the Harrisburg office of CB Richard Ellis. Hess, Rob Weber and Mark Pasquella of CBRE represented APC in negotiating the leases at Fulling Mill Road and Capital Business Center, which aggregate slightly more than 1.1 million sf.

"APC occupies space in several buildings where it has operated through a third-party logistics supplier," Hess tells GlobeSt.com. That includes the space in Capital Business Center where the new leases are now under its own signature. Hess says the company expects to phase operations from that location to 201 Fulling Mill Rd. this third quarter.

Hess says the Central Pennsylvania industrial market "continues to grow as a hub for super-regional distribution centers. Tenants like APC have chosen this area because of its close proximity to East Coast population centers, interstate highway systems, and that it provides a lower cost alternative to other regions." He declines to disclose APC's rental rate, but says it is comparable to rates in the area. According to a fourth-quarter 2007 CBRE report, the average minimum asking rate for such facilities in Central Pennsylvania is $4 per sf.