18B — January 2026 — Pennsylvania — M id A tlantic Real Estate Journal
www.marej.com
P ennsylvania
Federal Realty leasing update 3 new tenants join Bala Cynwyd on City Avenue
Sgagias and Corbo orchestrate Central PA deals NAI CIR brokers sale/lease in Harrisburg & Mechanicsburg
collection cistern, and lighting. Work begins January 30, 2026, and is expected to be com- pleted by June 2026, ahead of Philadelphia’s major 2026 events, including the 250th anniversary of American in- dependence, the FIFA World Cup, and the MLB All-Star Game. LF Driscoll is handling the construction. Aegis is the owner’s representative man- aging the project execution. The sidewalk phase will begin in 2027 and is expected to take one year to complete. It will extend the public realm into the existing drop-off lane and include curved raised planting beds, public art, seat- ing, wayfinding, and artist- designed banners. A new artist banner program, featuring work by Philadelphia- based artists selected through an open call, will be unveiled upon completion of the median, celebrating both the city’s artis- tic soul and its founding spirit of freedom and expression. As blocks are completed, the Avenue will evolve into a con- tinuous, immersive cultural landscape — enhancing its appeal as one of Philadelphia’s most photographed locations and where arts, innovation, and civic life converge in a dynamic public space. “This project is about op- timism and confidence in Philadelphia’s future,” said Desaree Jones, executive di- rector of Avenue of the Arts, Inc. “AveArts 2.0 shows what’s possible when a city believes in its creative power and in- vests in shared public spaces. We’re building a center stage for civic life.” MAREJ Naya to Bala Cynwyd on City Avenue,” said Kari Glinski , vice president, asset manage- ment at Federal Realty. “With Blayr residents beginning to move in this March, we’re creating a vibrant, walkable neighborhood that extends far beyond our property lines. This development represents our commitment to enhancing the broader City Avenue corridor and delivering the quality din- ing and lifestyle amenities that both our residential commu- nity and surrounding neighbor- hoods have been looking for.” The strategic location offers immediate access to SEPTA train service to Center City Philadelphia via the Cynwyd line. MAREJ
the theater walls. “By prioritizing people, this transformation turns infra- structure into experience,” said Oliver Schaper, principal at Gensler and lead designer for the project. “It’s a model for how cultural corridors can support climate resilience, eco- nomic vitality, and everyday life in a 21st-century city.” An independent economic impact analysis by Econsult Solutions found that invest- ment along the Avenue of the Arts has already gener- ated more than $1 billion in economic activity, and that AveArts 2.0 will deliver sig- nificant additional returns through job creation, increased tax revenue, and long-term economic growth. For every $1 dollar spent by AAI, $226 in economic output is created. The project’s emphasis on ur- ban greening is also expected to improve air quality, reduce urban heat, manage stormwa- ter, and enhance public health and pedestrian safety. First Block Work begins on the block between Spruce and Pine streets, in front of the Kim- mel Center. The estimated cost is $15 million, supported by a $1 million maintenance endowment. Funders include the City of Philadelphia, Com- monwealth of Pennsylvania, and private donors including several Avenue of the Arts, Inc. board members. Construction will occur in two phases. The first phase includes a raised, landscaped median with native trees and plantings, a rainwater- BALA CYNWYD, PA — Federal Realty Investment Trust announced three new tenants joining Bala Cynwyd on City Avenue. Chopt, Ham- mer & Nails Grooming Shop, and Naya will bring dining and lifestyle options to complement the recently announced Blayr residential building, creating an enhanced neighborhood destination at the gateway to the Main Line. The new tenants will occupy 7,000 s/f on the street level of the development and are ex- pected to open in summer 2026. These additions bring dining and lifestyle services steps from Blayr residents. “We’re thrilled to welcome Chopt, Hammer & Nails, and
H
ARRISBURG, PA — The investment prop- erty located at 201
N. 2nd St. in Harrisburg has been sold to RMN Group LLC. The 20,000 s/f building features a ground-floor bar and restaurant space, for- merly Aroo- ga’s, with ad- ditional office suites across three upper levels. Nik Sga- gias of NAI CIR represented the seller in the transaction. An office suite located at 4702 Carlisle Pike in Me- chanicsburg has been leased to Kirat Religion Organi- zation of PA Inc. (KROP). KROP is a PA-based non- profit organization. Amber Corbo of NAI CIR represented the landlord in this transaction. MAREJ Nik Sgagias Amber Corbo
201 N. 2nd St. in Harrisburg
continued from page 12B AveArts 2.0 launches . . .
4702 Carlisle Pike in Mechanicsburg
SCOPE executes sale of newly built 42-unit multifamily asset in Central Pennsylvania
STEELTON, PA — SCOPE Commercial Real Estate Services, LLC (SCOPE), a middle-market multifam- ily investment sales firm, an- nounced that it has arranged the $6.25 million sale of Steel Works Apartments, a newly constructed 42-unit multifamily community located in Steelton. SCOPE represented the sell- er, Integrated Development Partners . The transaction was led by senior director Craig Dunkle and director Mher Vartanian . The $6.25 million sale reflects a 7.48% capital- ization rate, or $148,809 per residential unit, excluding the commercial space. Completed in 2023, Steel Works features a mix of stu- dio and one-bedroom units averaging 787 s/f, along with 1,000 s/f of ground-floor retail space. Unit interiors include granite countertops, stain- less steel appliances, in-unit washers and dryers, and luxury vinyl flooring. “Steel Works represented a compelling opportunity to acquire a new construction as- set within an affordable sub-
Steel Works Apartments
market,” said Dunkle. “With exceptional leasing velocity, achieving 88% occupancy pri- or to the transaction closing, the property is well positioned for future rental increases.” “The Steelton submarket ben- efits from low vacancy, strong year-over-year rent growth, and limited supply,” added Vartanian. “With no projects currently in the pipeline and neighboring regions saturated with supply, we saw strong out- of-market interest from a wide range of capital sources.”
Steel Works Apartments is strategically located along North Front Street in Steelton, providing residents convenient access to major employment and amenities throughout the Harrisburg region. Situ- ated along the Susquehanna River, the area offers ample outdoor recreation options and is within a few hours' drive of Pittsburgh, Philadelphia, Bal- timore, Washington, D.C., and New York City, supporting both commuting and corporate connectivity. MAREJ
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