Construction Begins On Deptford Bed Bath & Beyond Repurposing: The Philadelphia Deal Sheet
Bed Bath & Beyond’s bankruptcy contributed to the roughly 1M SF of retail space that flooded Greater Philadelphia earlier this year, but some of it is already being repurposed.
Construction on an Aldi set to replace one of the chain’s former South Jersey locations in Deptford Town Center is underway.
Workers are rebuilding the structure’s central unit for Aldi, 42Freeway reported. The discount grocery chain has been expanding rapidly nationwide in recent years.
It is one of five tenants moving into the roughly 100K SF building previously occupied by Bed Bath & Beyond and sister brands, including Buy Buy Baby and Harmon Face Values.
Tractor Supply Co., Nordstrom Rack, Blinds-To-Go and breakfast chain First Watch are moving into four other spaces in the existing building. Aspen Dental and Chase are set to occupy two new sites planned for the property.
MSP Development spent $13.5M to buy the property from an affiliate of New York-based Blue Owl Capital in April, the Philadelphia Business Journal reported.
SALES
Wharton Equity Partners purchased two warehouse properties in suburban Pennsylvania: a 51K SF space at 1296 Adams Road in Bensalem’s Bridgewater Industrial Park and an 84K SF property at 250 Canal Road in Fairless Hills.
Jeff Licht and Jared Licht of NAI Mertz facilitated the Bensalem sale and are responsible for leasing a vacant unit in the property.
A Binswnager team, including Matt Corrigan, Chris Pennington and Tim Pennington, coordinated the Fairless Hills sale and is leasing up the property.
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D2 Organization purchased a 76-acre industrial development site at 965 Harding Highway in Carneys Point. It is fully entitled for the construction of two warehouse buildings totaling more than 476K SF.
Canadian debt fund Rompsen provided a $7.5M bridge loan for the acquisition and predevelopment work. D2 Capital Advisors arranged the financing. An American Dream Realty of South Jersey team that includes Christy Myers and Don Redfield brokered the sale.
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Shopper’s Village, a nearly 43K SF strip center at 2356-2434 Catasauqua Road in Bethlehem, was purchased by New Jersey-based Shoppers Village Plaza LLC, WFMZ reported.
James Balliet Property Group’s Brian Bailey represented the buyer.
CONSTRUCTION AND DEVELOPMENT
Workers are set to break ground on a 105K SF Middletown, Delaware, shopping center in the second quarter of 2026. The project on Route 301 is expected to deliver in Q2 2027, according to a social media post from MSC retail specialist Jake Rosenberg.
He is leasing the property as part of an MSC team that also includes Joe Raniszewski and Kyle Quigley.
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The McDermott, a 20-unit multifamily project at 689 N. Broad St. in West Poplar, is fully constructed and leased up, according to a social media post from PCG Investment principal Mihir Kothari.
FINANCING
CenterSquare provided $10M in gap financing to the owners of a 206-unit, 25-story apartment complex in Rittenhouse Square.
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Pennrose Holdings received a $6.8M loan from CPC Mortgage Co. to fund the construction of 84 affordable units in Imani Village at 1400 Todds Lane in Wilmington. Construction is expected to wrap up in February 2027.
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Bayport Funding provided a $2.2M loan for a nearly 11K SF ground-up construction project bringing 13 apartments to West Girard Avenue in North Philadelphia.
THIS AND THAT
Philadelphia-based FS Investments has changed its name to Future Standard. The shift follows the company’s purchase of Connecticut-based Portfolio Advisors.
The company is also shifting its headquarters from the Philadelphia Navy Yard, where it has been for the past 11 years, to a larger space in Brandywine Realty Trust’s Schuylkill Yards development across from 30th Street Station.
