Real Estate Journal — Financial Digest — Appraisal — September 14 - 27, 2018— 11A
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ndustrial developers seek- ing a high quality, afford- able site in an emerg- By Carlo L. Batts, MAI, Rittenhouse Appraisals RittenhouseAppraisals assistsGSA indisposition of a former military installation in Oldmans Twp., NJ I for the area is $56,805, which is 86% of that for the overall region, which is $65,368. within planned industrial parks, which are about 75% developed. the subject market area only accounts for 0.55% of indus- trial space on the market, the area has captured 3.66% of all new absorption.
velopment Zone, has good frontage and visibility from Rte. 130, and excellent access, as the entrance is wide with a turning lane. It was previously operated as Sievers Sandberg Reserve Center for the U.S Army Reserve training instal- lation. The installation was originally utilized as an Army Air Defense Command Post. It closed in 2012. The site is generally flat at street grade. The site is improved with 18 buildings, totaling 101,283 gross s/f of building area. However the continued on page 22A
Over the last 20 years, the immediate area has transi- tioned into a primary area for warehouse distribution, due to location and access to primary interstates. Newly developed warehouses in this area includes regional distri- bution warehouses for Jet. com, Home Depot, Five Be- low, Goya Foods, UPS Supply Chain, Albert Organics, Unit- ed Natural Foods, and Tech Data Distribution Center. These warehouses are located
The market area represents only a small portion of the re- gional industrial market. The 5.94 million s/f of industrial space in the county only ac- counts for 0.55% of all space in the region. Currently, there is no new industrial space under construction and no new industrial space has been delivered year to date. Vacancy within the County is currently indicated to be 4%, which is 109 basis points below the region as a whole. Though
ing market might want to take a look at an aging former mili- tary installa- tion in Old- mans Town- ship, NJ. The Siev-
The average rental rate within the Philadelphia indus- trial market is $4.85 psf. The average rental rate in Salem County is $3.15 psf This dif- ferential is likely due to the Salem being on the suburban fringe in an area that is tran- sitioning from an agricultural use into a warehouse market. Our Analysis of the Site The Sievers-Sandberg site, located in an Industrial De-
Carlo L. Batts
ers-Sandberg U.S. Army Re- serve Center was closed in 2012, and the federal govern- ment is looking to sell the land for private development. Rittenhouse Appraisals, LLCwas recently retained and tasked with determining the value of the 35-acre site, and making a recommendation for its highest and best use. Though the condition of the site and some environmental issues made this process a challenge, Rittenhouse be- lieves this parcel could serve as a catalyst for the industrial market in Salem County. The Location Salem County is located on the suburban fringe of the Philadelphia Market Area. The county’s western portion is more densely populated and serves as a bedroom com- munity to the employment centers to the north and south. The eastern portion is largely agricultural, with the major- ity of the land area actively in production. As the population of the region has grown south- ward over the last decade, agricultural uses have steadily given way for suburban de- velopment pushing further southeast into the county. This trend is anticipated to continue into the future, but at a lower rate, due to a desire to live closer to the urban core. The subject property is lo- cated along Rte. 130, an 83- mile highway that runs north- south through New Jersey and was once the primary artery for traversing the state. The highway allows easy access to Interstate 295 and the NJ Tpke., and convenient access to Baltimore, Washington, DC and NYC. Philadelphia is easily reached by Interstate 295 by crossing either the Commodore Barry or the Walt Whitman Bridge. This trans- portation network provides access to 6.1 million people within a 90-minute drive, and more than 210,000 businesses. The median household income
When it comes to getting deals done in today's fast-paced market, time is more important than ever. We think waiting 4-5 weeks for an appraisal is unconscionable
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