Newmark Knight Frank has announced that its Philadelphia Capital Markets team has successfully completed the sale of 100 Deerfield Lane in Malvern, PA. The team comprising Mike Margolis, Dave Dolan and Dave Garonzik, along with local market expert Jim Dugan, represented the seller, PNL Companies, in the $15.5 million trade of the property.
The 91,190-square-foot, Class A office building was 73 percent occupied at the time of the sale to ten existing tenants with a weighted average lease term of five years and one month. Long-term tenants, Fox & Roach occupies 16 percent, and USA Technologies, occupies 25 percent of the building. The property’s Malvern location is convenient to the Great Valley Corporate Center and the many popular amenities along Route 30 (Lancaster Avenue).
The Malvern Executive Center provides a private campus setting, with abundant parking and a state-of-the-art fiber-optic cabling system, as well as excellent access to major roadways such as U.S. Route 202,401,422, I-476 and I-76.
The property provides both a current, stable cash flow and substantial value-add opportunity through the lease-up of existing vacancy. The asset provides the investor the ability to enter the highly sought out Malvern submarket. The Malvern Submarket has experienced a 120-basis point drop in vacancy year-over-year, with levels reaching 11 percent—amongstthe lowest in the suburban submarkets. Amidst the vacancy drop, rental rates have increased year-over-year, with the weighted average rental rate increasing $1.00 to $26.79.
About Newmark Knight Frank
Newmark Knight Frank, operated by Newmark Group, Inc. (NASDAQ: NMRK), is one of the world's leading and most trusted commercial real estate advisory firms, offering a complete suite of services and products for both owners and occupiers. Together with London-based partner Knight Frank and independently-owned offices, NKF's 16,000 professionals operate from approximately 430 offices on six continents. NKF’s investor/owner services and products include investment sales, agency leasing, property management, valuation and advisory, diligence, underwriting, government-sponsored enterprise lending, loan servicing, debt and structured finance and loan sales. Occupier services and products include tenant representation, real estate management technology systems, workplace and occupancy strategy, global corporate services consulting, project management, lease administration and facilities management. For further information, visit www.ngkf.com.
