MRP industrial Lease Deals Include 850,000 SF of New Construction
The deals involve more than 600,000 square feet of existing space and 850,000 square feet of new construction, including a 600,000-square-foot distribution facility for retailer The Container Store.
BALTIMORE, MD—Locally-based MRP Industrial has signed lease deals with three tenants that aggregate out to 1.5 million square feet of warehouse/distribution space at two properties in Harford County.
The deals involve more than 600,000 square feet of existing space and 850,000 square feet of new construction, including a 600,000-square-foot distribution facility for retailer The Container Store. The leases for industrial/distribution space are expected to add up to 400 new full-time jobs to the region at the end of the hiring phases, MRP Industrial reports.
Two of the transactions were concluded at Eastgate 95, a 250-acre logistics park on Woodley Road in Aberdeen, MD with the third lease for new space at a site on Advantage Avenue in Perryman, MD. The developer did not provide any financial details of the transactions, including the development cost for the two development projects.
Kuehne + Nagel, one of the world’s leading logistics providers, signed a full building lease for 656,880 square feet of existing warehousing and distribution space at 1100 Woodley Road at Eastgate 95. The facility will be operational in September and will generate approximately 225 jobs, the company stated. With more than 1,300 offices in 100 countries, Kuehne + Nagel provides sea freight, airfreight, contract logistics, and overland transportation solutions to a variety of key industry sectors, including retail, automotive, aerospace, pharmaceutical and more.
On an adjacent 67-acre site, MRP will construct a 600,000-square-foot building that is expandable to 700,000 square feet to serve as the east coast distribution facility for The Container Store. The retailer plans to hire approximately 150 employees as they ramp up in 2019.
The third tenant, PrimeSource, a national building products company that distributes building materials internationally, signed a 250,000-square-foot lease for a new building to be constructed at 505 Advantage Ave. MRP is currently constructing the building that will accommodate the tenant’s requirement for three acres of outside storage and provide loading on two sides of the building. The company intends to relocate from its current location in Aberdeen early next year, MRP Industrial reports.
Lisa A. Goodwin, SVP of MRP Industrial, praised Hartford County officials who she said played a significant role in the approval and permitting process for each tenant and in assisting the firms in their respective labor recruitment.
“The demand for high-quality and strategically-located industrial/distribution space remains at an all-time high throughout the Mid-Atlantic region and the Interstate 95 corridor,” Goodwin says. “These requirements are specifically taking the form of end-users needing one or two-day delivery access to major population centers, including the Baltimore-Washington D.C. market, to support the delivery expectations of the American consumer. With e-commerce retail sales approaching 10% of all retail sales, we expect the continuation of these requirements in the foreseeable future.”
“Sustained activity occurring within the industrial and warehouse sector over the past several years has provided us great confidence to speculatively develop an additional one million square feet of space in Harford County,” states D. Reid Townsend, founding principal of MRP Industrial. “Our philosophy is to remain ahead of the demand curve and maintain a constant availability of inventory to meet emerging real estate requirements. We have designed this site and the buildings to be highly-flexible to satisfy the needs of logistics, manufacturing operations and warehousing uses.”
Construction of the new space is expected to commence in the spring of 2019, with delivery scheduled for late next year.
CBRE is handling marketing and leasing for Eastgate 95 on an exclusive basis with Bill Pellington leading the assignment. Pellington and D. Reid Townsend of MRP Industrial represented the landlord on all three transactions. Mike Elardo and Toby Mink of CBRE, along with Sean Fitzsimmons from Real Estate Advisory Partners and Michael Kimmel of Cushman & Wakefield represented the three tenants.