Baltimore, MD – A joint venture organized by Alex. Brown Realty (ABR) and Somerset Properties has acquired an office building known as Hickory Pointe in Plymouth Meeting, Pennsylvania. ABR Chesapeake Fund IV, a value-added real estate fund sponsored by ABR, invested $3.9 million in the venture. Financing was provided via a loan from TD Bank.
Hickory Pointe is a 5-story brick and glass office building totaling 83,055 sf with 283 parking spaces. The Class A property was built in 1985 and offers floor plates of approximately 20,000 sf, catering to both small to mid-sized tenants. Occupancy at closing was 87%. Hickory Pointe offers excellent access to Philadelphia and its western suburbs via its convenient access to the Blue Route (I-476) and Pennsylvania Turnpike. The property is located directly across from Plymouth Meeting Mall and is readily accessible to public transportation via SEPTA bus service.
Hickory Pointe was acquired through an off-market transaction negotiated by Somerset Properties. According to Mark White, CIO of Somerset Properties, “The improving market conditions for high quality, well located suburban office properties made this an attractive acquisition target for us.” Somerset will provide property management services, while leasing will be handled by Avison & Young.
“We are pleased that Somerset approached us with this opportunity,” noted Tom Burton, ABR’s CIO and COO. “The market has a long history of attracting a diverse tenant base and Hickory Pointe is a high-quality, well maintained asset. We plan to invest about $650,000 in capital improvements and cosmetic upgrades, which should further enhance the property’s appeal.”
“Somerset is a strong local operator,” commented John Prugh, president and CEO of ABR. “We anticipate that the combination of their expertise and the attractive financing should produce solid returns for our investors.”
The acquisition represents ABR’s first joint venture with Somerset Properties.
Alex. Brown Realty (ABR) is a privately-owned real estate investment manager organized in 1972 and headquartered in Baltimore, Maryland. ABR co-invests with joint venture partners in a broad spectrum of property types located throughout the United States. www.abrealty.com
Somerset Properties, headquartered in Lower Gwynedd, PA, is a full-service real estate company focused on development, investment and property management. Founded in 1996 by Anthony Brady, Somerset Properties currently owns and manages 5.5 million square feet of office, industrial and flex space in 4 regions of the United States. www.somprop.com