The Federal

Former Federal Building 228 Walnut St

$18,000,000 ($72/SF)

251,179 SF
Tax Credit Development Opportunity

Executive Summary

“The Federal” occupies one full block in CBD of Harrisburg, PA and is surrounded by numerous mid- and high-rise office and multi-use buildings. The 251,000 GSF building has eleven occupied floors above grade and is currently occupied by the US Federal Government who will be vacating in the near future. The property presents an ideal residential development opportunity as it is eligible for 10-year tax abatement on any improvements and is located in an Opportunity Zone.

RESIDENTIAL DEVELOPMENT PLANS – SUBJECT TO
ZONING, PLANNING AND CHANGE OF USE

“The Federal,” a development of 200 luxury residential 1 & 2 bed apartments with state of the art facilities complimented with incredible views of the Pennsylvania State Capitol Complex.

The development will be a first for Harrisburg attracting young professionals with modern architecturally designed apartments residences will include high-end finishings with eat-in kitchens, large master suites and dens that can be utilized as walk-in wardrobes or home offices. 

The floor-to-ceiling windows will allow natural light and incredible views of the Pennsylvania State Capitol Complex and Susquehanna River. In house leisure facilities will include Concierge, Movie Theatre, Fitness Centre, Nail and Hair Salon and concierge Lounge. Tenants and visitors can also enjoy the roof terrace with breath taking views of Pennsylvania State Capitol Complex and Susquehanna River, housed inside a modern glass structure proposed to be built on roof level will be two upscale restaurants and “Sky Bar”. 

The Sky Bar will allow guests to enjoy the space day or night. The entire level will be provide 8000 sqft of dining and event space suitable for private functions like Weddings or Corporate Events. A panoramic elevator will take visitors directly to the roof terrace or down to the former court rooms which will house an incredible restaurant and below a bar making use of the current boiler facilities.

Location & Settings

228 Walnut Street, is located in the centralbusiness district (CBD) of Harrisburg, PA. The building occupies one full block and is surrounded on the northeast by N. Third Street, the east by Walnut Street, southwest by N. Court Street, and west by Locus Street. Harrisburg is the capital of Pennsylvania, and Capital Plaza is located across N. Third Street from the Federal Building. Diagonally across from the Federal Building, at the corner of Walnut Street and N. Third Street, is  Strawberry Square, a one-million square foot retail and office complex. It is also located across the street from the grounds of the State Capitol Complex, and is just 50 feet from two public parking garages.

Sale Parcel Description

Constructed in 1966, the building has eleven occupied floors above grade, with a mechanical penthouse and an elevator penthouse set back in two tiers above the eleventh-floor roof. The first floor is set back approximately eight feet on all sides of the building; freestanding columns carry the floors above. Below grade, there is a basement level is containing 55 parking spaces, and below that, a sub-basement level containing mechanical and electrical rooms, building engineering and support spaces. The building is approximately 251,000 GSF situated on 0.695-acre parcel. The Federal Building superstructure is constructed of reinforced concrete columns, girders and floor slabs. The building skin above the first floor is predominantly constructed of aluminum curtain wall, single glazed with spandrel and vision glass.

The setback penthouses are constructed of vertical aluminum louvers and architectural cast stone panels. The setback first floor skin is predominantly veneer marble on concrete masonary unit (CMU) walls, and on concrete columns, planters and foundation walls with glass storefront entrances and doors. The exterior metal panels and glass give the building a modernist look that makes it easily recognizable in the Capitol Plaza area.

All occupied spaces in the building are fully sprinklered. Stairs, switchgears, transformer, and storage areas are not sprinklered. Penthouses are equipped with a dry sprinkler system. The building does not have a lightning protection system.

Finishes of interior core areas of the building contain the highest level finishes including combinations of marble veneer and plaster walls, terrazzo and vinyl tile (VAT) flooring, plaster and acoustic tile ceilings. The highest level finishes are in the first floor and ninth floor lobbies. Doors in those areas are primarily wood, with additional instances of hollow metal and steel. Typical elevator lobbies throughout the building have marble walls, and combinations of acoustic plaster vaults and lay-in acoustic tile ceilings. Typical interior corridors have plaster, gypsum wallboard (GWB) and demountable panel type partitions with acoustic tile ceilings. Typical office suites have carpet floors. Courtrooms have a variety of finish conditions. Courtroom finishes include walls of wood veneer, fabric acoustic panels and acoustic plaster, floors generally carpeted, and ceilings a combination of acoustic plaster and acoustic tile.

Legal Description

ALL THAT CERTAIN lot or parcel of land situate in the City of Harrisburg, County of Dauphin and Commonwealth of Pennsylvania as shown on a plan entitled “Boundary Survey, Ronald Reagan Federal Building”, prepared by Langan Engineering & Environmental Services, Inc. dated 03-24-2020, and being more fully bounded and described as follows:

BEGINNING at the point of intersection of the westerly right-of-way line of North 3rd Street (60‘ wide) and the southerly right-of-way line of Locust Street (52.5’ wide); thence,

1. Along the westerly right-of-way line of North 3rd Street, North 27°48’05” West, a distance of 129.91 feet; thence,

2. Along the northerly right-of-way line of Walnut Street (50’ wide), South 74°54’17” West, a distance of 206.73 feet; thence,

3. Along the easterly right-of-way line of North Court Street (formerly Raspberry Alley) (18’ wide), North 8°14’07” West, a distance of 162.50 feet; thence, 4. Along the southerly right-of-way line of Locust Street, North 83°56’38” East, a distance of 209.29 feet to the first mentioned point and place of BEGINNING. Encompassing an area of 30,270 square feet, or 0.695 acre, more or less.

Tax Parcel ID

APN: 04-011-001

Harrisburg, Dauphin County, Pennsylvania

Easments, Encroachments & Resrevations

Subject to the conditions, restrictions, easements and notes as set forth on the Plan of Town of Harrisburg recorded in Deed Book Y-1, page 339.

Utilities & Service Providers

Electric- PPL Electric- 1-888-220-9991Steam- NRG Energy Services- 717-234-4600 Water- Capital Region Water- 1-888-510-0606 “The Federal” has an assessed value of $17,387,600 and is currently occupied by the US Federal Government who will be vacating soon.
The property presents an ideal residential development opportunity as it is eligible for 10-year tax abatement on any improvements and is located in an Opportunity Zone.

About Global Ocean Investments

Global Ocean Investments traces its roots back to the Seychelles, under Businessman Justin Etzins leadership and vision, today the company’s investment portfolio includes projects across the United States, Europe, Caribbean and Indian Ocean.

Current projects in the United States include developing a seven story 100,000 Sqft Building in Columbia, South Carolina, In the CBD of Harrisburg, Pensilvania an eleven story 250,000 Sqft Building and in the heart of Bemidji, Minnesota a five story 50,000 Sqft Building into a mix use of residential apartments, commercial units and roof top hospitality space.

In New York state GOI is developing various residential sites and a commercial development. In the Bahamas, Caribbean GOI is developing Finley Cay Private Island. This incredibly environmental project is a world first for eco developments using cutting edge new technologies. In the Seychelles GOI has land banks of over 50 Acres of Prime real estate and is looking for development partners.

Financial Summary
(ACTUAL-2022)

ANNUAL ANNUAL PER SF
Gross Rental Income $5,525,938 $22.46
Other Income - -
Vacancy Loss - -
Effective Gross Income $5,525,938 $22.46
Taxes $440,000 $1.79
Operating Expenses $1,255,895 $5.11
Total Expenses $1,695,895 $6.89
Net Operating Income $3,830,043 $15.57

Property Facts

Property Type Office Property Subtype Office/Residential Building Size 251,179 SF
Building Class B LoopNet Rating 4 Star Year Built 1996
Tenancy Single Building Height 11 Stories Typical Floor Size 20,933 SE
Building FAR 8.30 Land Acres 0.96 AC
Zoning DC - Downtown center
Business district
Parking 55 Spaces (0.22 Spaces
per 1,000 SF Leased)
Opportunity Zone No
AMENITIES • 24 Hour Access

• Central Heating
• Accent Lighting

• Partitioned Offices
• Basement

• Air Conditioning

Property Taxes

Parcel Number 04-011-001 Improvements Assessment $16,079,400
Land Assessment $1,308,200 Totel Assessment $17,387,600

Transportation

AIRPORT
Harrisburg International Airport 19 min drive 11.2 mi

About Justin Etzin

The CEO and founder of Global Ocean Investments Justin Etzin is a leading international entrepreneur tuned into turning ideas into reality, his portfolio of successful businesses includes, Commercial Construction, Historic preservation of US Federal Buildings, Seychelles Travel DMC, Seychelles Medical Services and Healthcare Diagnostics. He is the Founder of One Ocean One Future and Seychelles Diplomat & Special Envoy.

Justin became a diplomat in December 2009 when he was appointed by The Seychelles Government as the first ever Consul General of The Seychelles for The United States of America. He is the founder of the One Ocean, One Future Foundation and is an avid environmentalist and wishes to protect the wildlife for future generations to come.

Justin Etzin lives between the Seychelles, & Europe and is also actively involved and manages a self-funded charitable foundation, The Etzin Foundation, which provides special experiences for the terminally ill as well as funds life-saving medical equipment for hospitals that are in need of funding.

TAX CREDITS OVERVIEW

This building is eligible for the following:

Federal Historic Tax credit – 20% of uncapped construction costs

State Historic Tax credit – 10% of uncapped construction costs (or 25% of capped construction costs)

These tax credits stack and you can use a tax credit syndication to raise finance at the start of the development and receive some of these tax credit benefits early.

Photos & Videos

Latest News

Take a look at Harrisburg courthouse’s proposed luxury apartment makeover

Global Ocean Investments has unveiled artistic renderings of what the current U.S. Federal Courthouse on Walnut Street 

Iconic Federal Building in Harrisburg, PA, to Be Converted to a Luxury Residential Development

Justin Etzin, CEO of Global Ocean, announced detailed plans for the 258,000-sq-ft federal building.

Will globetrotting developer bring bling to downtown Harrisburg?

Justin Etzin, founder and CEO of Global Ocean Investments, is a Paris-based diplomat who has dated supermodels, 

Former Federal Building in Harrisburg, PA to be Converted to 288 Luxury

Global Ocean Investments are excited to announce the purchase of the Ronald Reagan Federal Building which will be converted 

More public record information on 228 Walnut St, Harrisburg, PA 17101

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