Report: Nearly 2.6M SF of industrial space leased in greater Baltimore in Q1  

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Nearly 2.6 million square feet of industrial/warehouse space was leased in the greater Baltimore metropolitan region in first quarter 2022, according to a report released by Lee & Associates | Maryland, adding to the 15 million square feet of industrial/warehouse space leased in the region during last year.

The fully integrated commercial real estate brokerage and management firm headquartered in Columbia also published data that indicates a net absorption of about930,000 square feet of space and a current vacancy rate of approximately 3.7% for the first quarter. In fourth quarter 2021, these figures were 4.4 million square feet of space leased, net absorption of 3.7 million square feet and a vacancy rate of 3.4%. Consistent with the previous quarter, about 12.2 million square feet of space is presently under construction locally.

Nearly 2 million square feet of space was delivered in the past three months and asking rents have decreased from $7.46 per square foot to $7.28 per square foot. Twenty-five sales transactions were completed at a cumulative value of more than $380 million. Approximately 9.7 million square feet of industrial/warehouse space is available for lease locally.

Significant industrial sales included CBRE Investment Management’s purchase of 511 Chelsea Road, a 672,000-square-foot project in Aberdeen for $94.3 million. In addition, Strata Equity Group acquired 1200 E. Patapsco Ave. in Baltimore for $24 million.

The area’s largest leases were the 737,000-square-foot lease signed by United Safety Technology at 6301 New Cold Mill Road in Baltimore, the 430,000-square-foot-lease executed by Life Science Logistics at 1940 Reservoir Road in Baltimore County and the 307,000 square foot leased signed by Hitachi Rail at 11903 Greencastle Pike in Hagerstown.

The largest construction projects underway in the greater Baltimore metropolitan region include a 1.8 million square foot building at Tradepoint Atlantic that will be delivered in June, an 800,000-square-foot building in Williamsport that was expected to be completed in May and a 1.2-million-square-foot project in Hagerstown that is slated for delivery in the near future.

This article has been updated to correct the amount that Strata Equity Group paid to acquire 1200 E. Patapsco Ave. in Baltimore.