Newberry Commons in northern York County sold for $17M
A New York-based real estate investment firm has added to its midstate holdings with the purchase of the Newberry Commons shopping center in northern York County.
KLNB Retail Investment Sales Group announced today that it brokered a $17 million sale of the 246,000-square-foot retail center, which is anchored by a Darrenkamp's Market.
Vastgood Properties LLC, led by investor Leo Ullman, is the buyer. Ullman is the founder and former chairman and CEO of Cedar Realty Trust, which owns several retail properties in the midstate.
With the purchase, Vastgood now owns 10 retail properties in Pennsylvania, including four in Cumberland, Lebanon and York counties.
"We feel very good about supermarket-anchored properties in that part of Pennsylvania," Ullman said.
The center, built in 1987, was 95 percent leased at the time of the sale, which occurred last week. That includes about 130,000 square feet of space leased by Rite Aid, which maintains an operations center with more than 700 employees.
Those Rite Aid employees manage divisions including information technology, human resources, payroll and computer systems testing.
Rite Aid remains the biggest question mark for the center, Ullman said, citing the chain's pending merger with Walgreens Boots Alliance. But Rite Aid has a lease until 2025, he said.
Ullman said his company is planning some center improvements, including parking lot and landscaping upgrades, as well as new signage. There also is potential to redevelop part of the center and maybe expand it in the future, he added.
The center has direct visibility to about 62,000 vehicles passing it on a daily basis.
Darrenkamp's helped revive the center in 2014 after Super Fresh left.