June 15 2015
Allegiancy sells commercial property in Reading, Pa., to create more value for owner
Asset manager executes on proactive strategy.
RICHMOND, VA. – Allegiancy has sold 645 Penn Street, a commercial office building in Reading, Pa., on behalf of its owner, the REVA Catalyst Fund.
The building was sold for $2.6 million to an affiliate of Shuman Development Group, a Reading-based real estate firm.
645 Penn Street is a five-story office building in downtown Reading with approximately 105,499 square feet of rentable space. Built in 1978, the property houses multiple tenants with space for retail use on the ground floor.
Allegiancy’s Chief Operating Officer David Starowicz explained that the sale was consistent with Allegiancy’s strategic business plan for the property.
Starowicz said: “Allegiancy’s analysis of the asset indicated limited upside potential, due in part to weak market fundamentals and the age of the property. Further, one tenant’s lease (representing 25 percent of the rentable square feet) was scheduled to expire within seven months.”
“By selling the property at this time, Allegiancy was able to protect investors from the capital risks of retaining this tenant and future building improvements,” said Starowicz.
Allegiancy President Chris Sadler said: “Very simply, our strategy for 645 Penn was to undertake an aggressive leasing plan to boost occupancy and cash flows in order to make the property attractive for a sale. We are pleased to have executed on this strategy because it fits within our proactive approach to delivering value for owners.”
Sadler added, “Our work with 645 Penn provides further proof of Allegiancy’s philosophy that hands-on asset management and care for investors pay off.”
Allegiancy is changing the business of asset management for commercial real estate owners and investors. With an advanced technology platform and singular focus on serving as the owners’ advocate, the company brings fresh vigor to an often poorly understood business. Combining its proactive Value Assurance? operational rigor with an intense focus on cash flow and profitability, Allegiancy is expanding on a track record of more than four decades of success.
Headquartered in Richmond, Va., and led by a team of seasoned professionals and more than 100 years of experience, Allegiancy manages properties that have outperformed their peers by 45 percent since 2006. Since 2014, the company has more than doubled its assets under management (AUM), delivering clients attractive returns and profitable, hassle-free investments in commercial real estate.
More information about Allegiancy may be found at www.allegiancy.us.
To schedule an interview with Allegiancy’s leadership, contact Audrey Bevel at email@example.com or 866.842.7545 ext. 204 or (804)201-7161.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward-looking statements are based upon the Allegiancy, LLC’s (the “Company”) present expectations, but these statements are not guaranteed to occur. Furthermore, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. Investors should not place undue reliance upon forward-looking statements. For further discussion of the factors that could affect outcomes, please refer to the “Risk Factors” section of the offering circular dated January 14, 2014 and filed by the Company with the U.S. Securities and Exchange Commission on January 15, 2014. The offering circular, and any supplements or updates thereto, is available on the EDGAR system located on www.sec.gov.
March 07 2017