ASB, Endurance Pay $91M for Pennsylvania Industrial Asset

York Business Center. Image courtesy of Endurance Real Estate Group

A joint venture between ASB Real Estate Investments and Endurance Real Estate Group has purchased a 1.5 million-square-foot industrial center in York, Pa., marking the duo’s fourth investment together. Equity Industrial Partners pocketed $91 million for the three-building property.

ASB purchased York Business Center on behalf of its $7.4 billion core vehicle dubbed Allegiance Real Estate Fund. The seller acquired the 119-acre property back in 2008, according to CommercialEdge.

The buildings are near Interstate 83, adjacent to Route 30 and York Mall Shopping Center. The two largest structures have 787,600 and 686,000 square feet, along with 32-foot clear heights and an average ratio of one dock per 7,000 square feet. On-site parking is available for 1,600 cars and 400 trailers.

The facility is primarily occupied by Harley-Davidson, which conducts just-in-time manufacturing and pre-assembly operations at the site, due to its proximity to the motorcycle company’s York plant. Other tenants include LSC Communications and non-profit health-care delivery company WellSpan. The latter utilizes the property’s 53,670-square-foot office space for its mission critical operations center.

Investing in Pennsylvania

The deal is Endurance’s largest purchase to date, according to President Benjamin Cohen. The Pennsylvania-based group is currently constructing another logistics center in the Harrisburg area. Rising at 2070 N. Union St. in Middletown, Pa. on a 110-acre site, the 251,200-square-foot facility is slated for completion in spring 2022.

ASB’s U.S. industrial portfolio includes some 10 million square feet and is 99 percent leased. In September, the partnership sold a 430,373-square-foot industrial asset in Bensalem, Pa. to EQT Exeter, which picked up the property for $42 million. ASB and Endurance paid $23.7 million for the facility in late 2018.