GlaxoSmithKline’s West Campus in Upper Merion has been put under agreement by developer O’Neill Properties Group, write Natalie Kostelni and John George for Philadelphia Business Journal.

The forty-three buildings that cover close to 2.2 million-square-feet of office, lab, and warehouse space are at 709 Swedeland Road.

Three years ago GSK announced that it was planning to sell its West Campus while leasing back the section that houses its sterile clinical manufacturing pilot plant.

However, the task of repositioning two million-square-feet of space is not straightforward. While there is clear demand for lab space, they are highly expensive to build and equip.

This is one of the key factors that make this property’s ready-made, move-in condition very appealing to prospective tenants.

In addition, there is also significant demand for office space as well-located and abundant office space in the suburbs is hard to find.

This is creating an opportunity for developers to create a newly renovated and amenity-rich environment that would appeal to tenants.

The purchase would be a logical move for O’Neill. It has already completed several office and multifamily projects in the region and has its headquarters close to the GSK campus.

At this time, neither GSK nor O’Neill Properties commented on the deal.

Read more about the development possibilities at Philadelphia Business Journal by clicking here.