ICE buys $87M warehouse in Pennsylvania as it plots expansion of immigration detention centers across the U.S.

The author of this story is Berks County Spotlight Bureauan independent, nonpartisan newsroom. Subscribe to Good Day, Berks for important local stories every day at Spotlightpa.org/newsletters/gooddayberks.

UPPER BERN — The Trump administration quietly purchased a nearly 520,000-square-foot warehouse in Berks County with plans to convert the facilities into immigration detention centers across the U.S.

The warehouse, located at 3501 Mountain Road in Upper Bern Township, was sold to the U.S. government for $87.4 million on behalf of the Department of Homeland Security and ICE, deed records show. Purchase recorded on February 2nd.

Spotlight PA visited the warehouse about a mile off Interstate 78 on Jan. 15 and witnessed about two dozen people touring the exterior of the building. On the same day, a man who arrived at the scene early claimed to be ICE.

The property was most recently known as the Hamburg Logistics Center and before that was the site of Mountain Springs Arena, a county landmark known for rodeos and demolition derbies. It is adjacent to the Amazon Warehouse and Mountain Springs Camping Resort.

The building is one of at least 23 that ICE plans to convert into immigration detention facilities, according to Bloomberg. The Berks County warehouse can accommodate up to 1,500 beds.

ICE also completed the purchase of a warehouse in nearby Tremont Township in Schuylkill County on Monday, according to a deed. The Tremont property, which is less than 300 meters from a daycare centre, has already faced backlash from residents.

An ICE spokesman did not respond to any questions about the purchase of the Berks County warehouse, instead praising the agency’s operations against “vicious criminals.”

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“Thanks to this big, beautiful bill, ICE has new funding to expand detention space and keep these criminals off America’s streets before they are permanently removed from our communities,” the spokesperson said.

Upper Bern Township attorneys said in an emailed statement that community leaders learned of the sale Monday. They refused to answer questions.

“The town has no involvement in this transfer and has not received any application from the previous or new owners regarding the future use of the property,” the statement read. “The town has no further comment on this matter at this time.”

Republican state Sen. Chris Gebhard and Rep. Jamie Barton, who represent the area, said they have reached out to federal contacts to gather more information about how the Department of Homeland Security plans to use the warehouse.

“Our current concerns include the potential loss of property tax revenue for host cities, counties and school districts, as well as safety and perimeter considerations,” the lawmakers said in a joint statement. “We look forward to engaging directly with the appropriate federal officials to address these concerns. We will provide an update as more information becomes available.”

The property has an assessed value of $22 million and currently pays $198,286 in annual county property taxes, with the current tax rate of $9.013 million. Including Hamburg Area School District and township taxes, the tax loss from the federal purchase is approximately $624,000.

State Sen. Judy Schwank (D., Berks) declined to comment Monday on the warehouse purchase. In an earlier interview with Spotlight PA, she called the potential sale “deeply concerning” at the time, especially given reports of mistreatment of detainees in ICE facilities. On January 27, shortly after federal agents killed Alex Pretti, she released a statement about “ICE actions in Minneapolis.”

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“My concern is, knowing the record of some of the other facilities across the country, it’s not good,” she said. “I wouldn’t necessarily want to see something like this happen in our county.”

The property was sold to ICE by a limited liability company affiliated with national commercial real estate equity firm PCCP, according to a deed finalized Monday. Deed records show the company purchased the warehouse in 2024 for $57.5 million.

Reached by phone Monday afternoon, PCCP partner Greg Eberhardt, the authorized signer of the latest deed for 3501 Mountain Road Owner LLC, denied any knowledge of the property or its sale and declined further comment.

“I don’t know what you’re talking about,” Eberhardt said before hanging up the phone with a Spotlight PA reporter. “I will not be commenting on the company.”

Upper Bern Township is located on the edge of Berks and Schuylkill counties and has a population of approximately 1,600 people. According to the 2020 Census, the community is predominantly white, with only 2.8% of residents belonging to other races.

Bridget Cambria, an attorney with Aldea, a nonprofit that provides pro bono immigration legal services, said the detention center will have a “devastating” and “chilling” impact on Berks County’s immigrant community.

“If someone is living free and in peace, knowing they’re doing the right thing and they can go through immigration or live with their family or figure out a way to legalize their status, then they’re going to be more afraid of having a giant detention center in their backyard,” Cambria said.

A 2022 study by Detention Watch and the Immigration Legal Resource Center found that immigrants were more likely to be arrested by ICE in counties with more detention beds.

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