A pair of warehouses in the Baltimore-Washington corridor sold to High Street Realty Co. for $23.85 million.
Commercial real estate services firm Cushman & Wakefield announced the sale of 8779 Greenwood Place in Savage and 9050 Junction Drive in Annapolis Junction. The properties total 250,000 square feet and were located in the Corridor Industrial Park and Junction Business Park.
“This sale was an extremely competitive process, and underscores the Baltimore-Washington region as a premium market for institutional investors interested in increasing their position in functional industrial properties that service the third-wealthiest consumer market in the country,” said Jonathan M. Carpenter, executive managing director of Cushman & Wakefield’s Baltimore Capital Markets team, in a statement.
Carpenter and Senior Director Graham Savage represented the seller in the deal. In the last 12 months, according to the firm, Carpenter’s team has closed nearly $400 million in industrial volume.
Baltimore’s industrial sector, fueled in-large part for demand from ecommerce firms for last mile distribution facilities, is expected to produce a record year. Baltimore’s port, access to major transportation arteries like Interstate 95, and ability to reach the roughly 10 million people in the Washington and Baltimore metro areas have drawn significant leasing, investment and development activity.
“Logistics-related leasing will continue to benefit from solid economic fundamentals that spur increased consumer spending. Expect further rental rate appreciation throughout 2018. Vacancy should remain stable despite the 1.5 (million square feet) of new speculative construction scheduled for completion in 2018, as 65.2 (percent) of that future product is preleased,” according to Cushman & Wakefield’s report on the Baltimore industrial sector’s performance in the second quarter of this year.