New York firm pays $3.5M for Philadelphia truck terminal as it scours market for more opportunities

Imperium Capital’s IG Logistics bought 3200 S. 70th St., a four-acre property that had been owned and used by XTL Inc., a transportation company that continues to lease the site. The off- market transaction was arranged by Larry Bergen of Colliers.

Nearly five years ago, Imperium, which has accumulated a portfolio of retail, office and apartment properties, branched out into buying industrial real estate and established its IG Logistics division to pursue deals. Outdoor storage and transportation-related properties located in urban markets with a high barrier to entry, where e-commerce is driving demand for industrial and last-mile real estate, is of particular focus. 

The firm wants to buy more than $250 million of that property type in markets across the country
including Philadelphia, Denver, Dallas, Savannah, South Florida, Central Florida, Nashville, Phoenix and the Baltimore-Washington area.

“Our bet is on e-commerce and infill land that are irreplaceable and crucial to supply chain,” said Sam Schneider, managing partner at Imperium, which he formed a decade ago with Daniel Glaser.

The 70th Street property is ideal, Schneider said. “They don’t come up for sale that often especially in urban areas like this,” he said. "We're bullish on Philadelphia."

Competition for this type of real estate has increased over the last couple of years. In early 2020, Philadelphia-based Alterra Property Group formed a partnership with JPMorgan Chase & Co. to spend $300 million to buy industrial outside storage sites across the country.

“We’re used to competition,” Schneider said. “We’re willing to pay up for things we believe in.”
The company has two more properties in Philadelphia under contract, one of which is another truck terminal. 

SOURCE:  https://www.bizjournals.com/philadelphia/news/2021/09/09/new-york-firm-pays.html