HARRISBURG, Pa. (WHTM) –The recent $4.75 million sale of the former D&H Distributing headquarters handled by Lemoyne-based RSR, REALTORS will become home of a modern, new, energy-efficient Commonwealth office building.
The 2525 North Seventh Street site, where D&H had operated since 1952, is expected to house approximately 850 employees from the Departments of General Services, Human Services, and Office of Administration.
RSR founder Bill Rothman and his son, Garrett Rothman, RSR’s Broker of Record and a partner in the firm, handled the sale.
D&H moved its headquarters to Lower Paxton Township last year.
“This sale allows for the further centralization of a state workforce that is currently scattered throughout several buildings and holds the promise of advancing the ongoing revitalization of uptown Harrisburg,’’ said Garrett Rothman.’’ “We are excited to have played a role in this special opportunity to bring new vibrancy to both the state and the city.”
When the new building is completed, state workers will relocate from the DGS Annex, the former Harrisburg State Hospital grounds, and state offices on Herr Street and the Office of Medical Assistance Programs space in Camp Hill. The move is expected to occur in the first quarter of 2021.
“This sale clears the path for a new energy-efficient building,” said Bill Rothman. “Through a build-to-suit lease, Hudson Companies, of Mercer County in Hermitage, Pennsylvania, will demolish the old structure and build a 120,000 square-feet, three-story building, with more than 1,000 employee and visitor parking spots.”
The office space will house employees from the Office of Administration’s Office of Information Technology and the Pennsylvania Department of Human Services, including staff from the offices of Medical Assistance programs, income maintenance, administration, and children, youth and families and its 24/7 ChildLine operations.
“Our move into the newly renovated headquarters on Tech Drive was a monumental event in D&H’s history,” said D&H Co-President Dan Schwab. “It allowed us to provide room for future growth, while creating a campus designed specifically with our co-owner employees and family-oriented company culture in mind, including walking trails, outdoor WiFi, expanded and creatively themed collaborative spaces, and areas to help team members de-stress. The build-out rose to our expectations.”
Both Dan Schwab and fellow Co-President Michael Schwab said they were happy to see their former headquarters site would continue to benefit Harrisburg.
“We’re happy to know that close to a thousand state workers, and thousands more Pennsylvania citizens, will have a parallel experience in transitioning to a new and re-imagined workplace, constructed for them from the ground up,” Dan Schwab said.
“We’re nostalgic about our former Seventh Street home, but we’re also encouraged to see that the property will similarly provide updated spaces for workers serving this community,’’ Michael Schwab said.
“Harrisburg is part of D&H,’’ Michael Schwab said. “We have been part of the fabric of this wonderful community for decades, so we were thrilled to see our old location be modernized and likely have a very positive impact on the local residents and business owners.”
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