Lower Allen Township-based Smith Land & Improvement Corp. has an agreement in place to buy the former Capital BlueCross office building on State Street in Lemoyne.
The developer has executed a lease with Karns Quality Foods to move the grocery store from the West Shore Plaza to the BlueCross building, said CEO Rick Jordan II.
“It is a natural fit for us,” Jordan said.
Smith developed the neighboring plaza. The adjacent L.B. Smith Ford Inc. also is a Smith subsidiary.
“The new store we will create will be 66,000 square feet,” he said, which more than doubles the current space occupied by Karns.
Karns has eight stores in Cumberland, Dauphin and Perry counties.
The developer will then backfill, or find new tenants, to fill the anchor spot in the retail plaza.
The deal could close by the end of the month, Jordan said. It is being brokered by Lemoyne-based Campbell Commercial Real Estate Inc.
Terms of the pending purchase were not disclosed.
Capital BlueCross moved its Lemoyne operations to its office in the TecPort Business Center in Swatara Township. The Susquehanna Township-based company hasn’t actively used the site in more than a year, spokesman Joe Butera said.