E. Kahn Development has sold a 120,000-square-foot building leased to Amazon in Conshohocken to an undisclosed Korean pension fund for $97 million, writes Natalie Kostelni for the Philadelphia Business Journal.
The price at just over $808 a square foot sets another high-water market on a per-square-foot basis for the sale of industrial real estate in the region.
E. Kahn Development bought the property at 1113 W. Ridge for $6.85 million in 2020.
The developer demolished the 1959 building on the property and, after securing Amazon as a tenant, developed a facility for last-mile distribution for the online retailer.
The structure is well situated at the conflux of several major arteries including I-476. It has an expansive canopy area for the Amazon delivery trucks to pull under while they are loaded with packages.
Institutional investors have been incorporating Amazon leased buildings into their portfolios at an increasing rate, which has partly helped push the prices up. In recent years, securing Amazon as a tenant on a long-term basis has caused the value of properties to skyrocket for developers and property owners, like a buying the 260,000 sq. ft. King of Prussia building from E. Kahn Development for over $26 million.
Read more about the sale in the Philadelphia Business Journal.