Rite Aid HQ Sold to Developers

Philadelphia-area developers have purchased the former Rite Aid headquarters in Cumberland County and plan to redevelop the site.

• Affiliates of Jenkintown-based Goodman Properties and Malvern-based E. Kahn Development paid $4.735 million for the roughly 205,000 square-foot complex, according to county deed records.
• The developers are still working out their plans for the site, which is at 30 Hunter Lane in East Pennsboro Township, according to Adam Goodman, president of Goodman Properties.
• "I would hope that we would be in front of the municipality before the end of the year with our game plan going forward and, hopefully, it is well-received," he said.
• The headquarters -- comprised of a main office and a small annex -- has been largely vacant since Rite Aid moved to Philadelphia in 2022.

Will it stay an office: Only if the developers can find a single user, said Goodman, acknowledging that the likelihood is "very slim."

• More likely is a mixed-use development that would start with demolition of the existing structure, he said.
• "It's a great piece of real estate. It's in a wonderful, growing market," he said.
• "We are excited to partner with Goodman Properties on this redevelopment project," added Eli Kahn, founder and president of E. Kahn Development.
• The nearly 12-acre property, which is off Erford Road, had been listed by real estate firm JLL.
• A Rite Aid spokesperson confirmed the sale but declined to comment further.

The background: While based near Philadelphia, both Goodman Properties and E. Kahn Developmenthave been active in Central Pennsylvania.

• Goodman owns the Chelsea Square shopping center in Manheim Township, Lancaster County, for example, and it is a developer for convenience-store chain Wawa, which has been spreading into Central Pennsylvania.
• E. Kahn bought the former Nationwide building in Susquehanna Township, Dauphin County, in 2021.

The neighborhood: The area around Rite Aid's old HQ is no stranger to redevelopment -- or demolition.

• Harrisburg-area developer Triple Crown Corp. razed an office tower on the other side of Erford Road from Rite Aid and built a retail center, known as Camp Hill Commons.