REO | Penn Plaza Power Center Opportunity

Investment Highlights

• Lease Up Vacancy:   Penn Plaza has three inline space vacancies 14,392 square feet and a 1,500 square foot outparcel (with drive-thru).
• Subdivide and Monetize Outparcels:  The Property features four owned outparcels, three currently occupied by long term tenants – Monro Muffler, Fulton Bank and First National Bank. 
• Mark up to Market Leases:  Inline tenant is paying below market rent presenting an opportunity to significantly increase the rent on this space through a negotiated extension or a new tenant. 

Offering Summary

TSCG, in conjunction with RealInsight Marketplace, is proud to offer for sale Penn Plaza (the “Property”) in Muhlenberg (Reading), Berks County, Pennsylvania.   Penn Plaza is located along N. 5th Street (Business Highway 222) just north of Reading.  The Property totals 179,629 square feet of gross leasable area (“GLA”) and is 91.2% leased to a diverse assortment of national, regional and beloved local tenants.  The Property comprises a renovated anchor building with Restaurant Depot and Nova Trampoline on new long-term leases; a multi-tenant inline building with a high performing Dollar Tree, and four outparcels.  The Property benefits from strong shadow anchors including Burlington, dense infill demographics, strong traffic counts, a signalized main entrance and multiple access points.  Penn Plaza is an opportunity to acquire a well-positioned retail center in southeastern Pennsylvania with dense, infill demographics and upside potential.

RENOVATED ANCHOR BOX – NEW LONG-TERM TENANCY:  The anchor building (former Kmart), totaling 109,685 square feet, was recently leased to Restaurant Depot for 10-years and Nova Trampoline for 11-years commencing in 2024.   The building was renovated in 2023/2024 to include a new roof and HVAC minimizing near-term capital repairs.  

WELL SEASONED TENANT ROSTER:  Penn Plaza is 91.2% leased with a diverse assortment of retail and service tenants.   The three outparcel tenants along with Dollar Tree, Sally Beauty and Domino’s Pizza, have been in occupancy for over 20 years each exercising one or more renewals.   Dollar Tree and Domino’s recently extended for 10 years.   Dollar Tree has been a tenant since 1999 and is the #2 visited Dollar Tree in a 30-mile radius with 404,475 annual visits (Placer.ai).

HIGHLY TRAFFICKED CORRIDOR: Penn Plaza benefits from its premiere location along highly trafficked N. 5th Street (Business Highway 222) with 31,211 AADT and State Route 12, a major east-west corridor ½ mile south, with 67,604 AADT.

DENSE INFILL DEMOGRAPHICS:  The three-mile radius boasts a population of 93,080 residents and 32,457 households and the ten-minute drive time has 88,841 residents and 32,311 households with average household incomes exceeding $77,000.   Nearby drivers include Muhlenberg High School and Junior High School along with an Amazon fulfillment facility with 3,500 employees.