Q3 2013 Pittsburgh Industrial Market Highlights
Pittsburgh Earns Reputation of Conservative Market
The third quarter continued the trend established in the last several quarters. Slow and steady growth with a continuing decline in the vacancy rate – particularly among class A and B inventory. Deal activity witnessed a marginal increase resulting in a drop in overall vacancy from 8% to 7.9%.
Deals of significance include BFG Supply’s lease of 185,00 SF at 460 Nixon Road in the Northeast market and Gordon Food Service’s announcement that they will break ground on a 420,000 SF distribution center at the Findlay Industrial Park in the West. These larger transactions were supplemented by an uptick in 30,000 to 50,000 SF lease commitments – another positive sign.
Colliers International | Pittsburgh Announces the Sale of 109 Pleasant Drive, Aliquippa, PA
-Two buildings encompass approximately 19,500 SF-
Colliers International | Pittsburgh is proud to announce the sale of the former corporate headquarters for Iron City Constructors located at 109 Pleasant Drive. The property was sold by MV Holdings for $1,300,000 to an undisclosed buyer.
Anthony Pantoni, Vice President | Industrial Brokerage, and Luke Hingson, Investment Services Specialist at Colliers International | Pittsburgh, represented the owner.
The 3-story building was built in 2001 and is located just off of the I-376 exit, minutes from the Pittsburgh International Airport and Beaver Valley Mall.
“This is a significant transaction for the Beaver County market. There just are not many non industrial sites that will sell for such a significant number,” said Anthony Pantoni a Beaver County native. “We have always considered Beaver County to be an area of growth for commercial real estate. I am pleased to be able to continue to work in an area I know so well. With the continued increase in demand created by the Marcellus and Utica Shale gas supply, we see nothing but great things for this entire market.”
Q2 2013 Industrial Market Report
Market Remains Sluggish Through Q2
Pent Up Demand Should Make For An Active Q3 & Q4
Although there continues to be activity in the market the actual deals are few and far between. This makes two consecutive quarters where the Pittsburgh Market has yielded few transactions of significance. In fact, if you strip away the lease renewals by Genco Supply and Wire Co. the picture gets even bleaker.
The Greater Pittsburgh vacancy rate remained at 7.9% over Q1 2013. Q2 did yield a positive net absorption of 115,000 SF so the news is not entirely grim. Continuing the thread of viewing the market through rose colored lenses, the activity in the market while not brisk, is consistent. This bodes well for the remainder of the year with several large transactions pending and soon to be inked.
The unfortunate side effect to the anticipated up tick in activity is that the few remaining blocks of quality space will be gone. Unless additional Class A inventory is added this could result in Pittsburgh being passed over by companies not able to wait on build-to-suits.
Read the full Q2 2013 Pittsburgh Industrial Market Report
“On behalf of the Colliers International | Pittsburgh Industrial team I am pleased to present the Q2 2013 Pittsburgh Market Report.” said John Bilyak SIOR, CCIM, Principal at Colliers International | Pittsburgh. “Enjoy, and as always, in the event you have any questions don’t hesitate to call us at 412-321-4200.”
Colliers International | Pittsburgh Assigned as Exclusive Listing Agent for 102 Park Road
-Warehouse totaling 25,995 SF available in Cranberry Township–
Colliers International | Pittsburgh is pleased to announce that it has been assigned as the exclusive listing agent for the sale of 102 Park Road in Cranberry Township.
Patrick Tracy SIOR, Vice President of Industrial Brokerage and Anthony Pantoni, Industrial Services Specialist at Colliers International | Pittsburgh are representing the property.
The property was owned by and is the former location of Thyssen Krupp Copper & Brass Sales.
The 25,995 SF warehouse is situated on 3.5 acres in Cranberry Township, and is in close proximity to the PA Turnpike and Interstate 79. The warehouse has 20’ clear ceiling height and two (2) internal docks with levelers. Additionally, it is equipped with two (2) three (3) ton cranes and a locker room. Included in the square footage is 3,200 SF office space.
“It is always a difficult situation when companies merge, downsize or even shut their doors,” said Patrick Tracy SIOR, Vice President of Industrial Brokerage at Colliers International | Pittsburgh. “The reorganization of Thyssen Krupp has created a vacancy in a very tight Cranberry Market that we feel fits many clients needs. As a result we don’t feel the property will be vacant for long.”