Real Estate Journal — Southeastern Pennsylvania — March 15 - 28, 2019 — 11C
www.marejournal.com
M id A tlantic
S outheastern P ennsylvania Himmelreich and Dolan of Stockton Real Estate Advisors reps. owner, Cross Properties Kriz of CBRE secures lease for coworking company, Spaces, second Philadelphia location
HILADELPHIA, PA — CBRE announced that it has arranged a 48,069 s/f lease for Spaces, a coworking brand of IWG that originated in Amsterdam, at 1626 Locust St. in Center City, Philadelphia. CBRE first vice president Stephen Kriz represent- ed Spaces during the lease negotiations, while Doug Himmelreich and Mike Dolan of Stockton Real Estate Advisors represented the building’s owner, Cross Properties. Spaces’ first Philadelphia location is located at the Hale Building, where it occupies 37,735 s/f. Kriz also represent- ed Spaces in that transaction. “Rittenhouse Square is an ideal place for Spaces to open their second Philadelphia location,” said Kriz. “Their unique coworking environ- ment provides a strong col- laborative workplace for the many entrepreneurs and cor- porate users in Center City.” “Our community of achiev- ers are looking for a unique and inspiring workplace that fosters work-life integration,” said Michael Berretta, vice president of Network Devel- opment for IWG, which owns Spaces. “Our expansion in Philadelphia is yet another example of the rising demand from businesses of all sizes for flexible workspaces.” According to CBRE Re- search, over the past two years, 550,000 s/f of new co- working and incubator spaces have been added to the Center City market. Spaces’ new lease will bring the city of Philadelphia’s total coworking footprint up to over 900,000 s/f, spread between 22 differ- ent providers. Yet coworking space still only represents less than 2.0 percent of the total Center City office inventory, indicating great opportunity for continued growth. Spaces will occupy the en- tirety of 1626 Locust and is expected to move into the new location at the end of 2019. In other news, E-commerce and logi st i cs companies claimed a larger share of the 100 largest industrial-and- logistics leases signed in 2018 than they did a year earlier, underscoring the growing in- fluence of those companies on U.S. warehouse construction, according to a new report from CBRE. P
CBRE’s analysis of last year’s industrial-leasing ac- tivity in the U.S. found that 61 of the largest 100 leases were signed by e-commerce companies and logistics firms for a total of 61.5 million s/f In the previous year, those two sectors claimed 52 of the largest leases for a cumulative 43.2 million s/f. The two are related in that many logistics companies, specifically third-party lo- gistics providers, handle e- commerce distribution for their clients. “The Pennsylvania I-78/I-81
corridor has been a benefi- ciary of the surging demand for e-commerce and logistics space,” said Vincent Ranalli , senior vice president, CBRE. “In 2018, our region was one of the leaders in the U.S. in large format leases signed by e-commerce companies. To accommodate the demand, several parcel hubs and last mile delivery facilities came online along the corridor. We expect this trend to continue as consumers shift to e-com- merce and demand immediate delivery”. Regardless of industry, the
largest industrial leases got even larger last year. The larg- est 100 from last year – span- ning uses such as e-commerce, logistics, manufacturing, food and beverage, technology and retailing – totaled 19 percent more space than the largest of 2017. Last year’s largest industri- al leases were spread across 32 markets, with many clus- tering in leading logistics hubs including Pennsylva- nia’s I-78/I-81 corridor, which had 11 of the nation’s largest deals, totaling more than 11.8 million s/f.
1626 Locust St.
Moving Forward Together ®
Providing transportation engineering and related services throughout the eastern United States
Services: » Transportation Planning & Permitting » Transportation Systems Management & Operations » Multimodal, Complete Streets & Trail Design » Bridge Design & Inspection » Highway Design » Traffic Signal & System Design » Construction Management & Inspection » Environmental Services & Permitting » Expert Witness Support for Crash Investigations
Offices located in PA, NJ, MD and NC
www.TrafficPD.com
Made with FlippingBook - Online Brochure Maker