Investment Owner Delivers on Reuse Vision

Global Food Properties and Pillar Real Estate Services are delighted to announce the sale of a former 134,000 SF former frozen food production plant in West Chester, PA. Global Foods and Pillar Advisors represented the Owner, New Mill Capital, a leading asset solutions firm; and Bill Sharkey, Green Street Commercial, represented the Buyer. After significant investment, the facility will be repurposed for use in the booming self-storage industry.

Challenge

The brokerage team faced the challenge of packaging a special-purpose food-grade asset for a higher and better use. Value-engineered rooms, a demised interior, and an irregular configuration precluded use for high-volume food production. Hence, the task was to profile the site, building, and infrastructure, leveraging the location in the high-density Pennsylvania-Delaware-New Jersey corridor. Pricing and expectations were calibrated to maximum the Owner’s return, while providing upside value for next-generation occupancy.

Outcome

After dozens of tours within and beyond the food sector, a user interested in redeveloping the site for self-storage emerged as the leading prospect. Armed with expertise from earlier redevelopments in similar sub-markets, the Buyer was able to complete its due diligence and close, allowing time for the significant retrofit to follow. As this sale demonstrates, every property will trade if time is taken to create the necessary market, buttressed by reasonable price, value, and time-on-market expectations. In this case, the Owner’s desire to yoke the expertise of a food occupancy (Global Food Properties), with broad sub-market industrial experience (Pillar Real Estate Services), created the utopian brokerage capability.

For additional details, please contact: Jeffrey J. Counsell, Co-Founder & Managing Broker, Global Food Properties, at +1 312 589 8844 / jeff.counsell@globalfoodproperties.com.