COLUMBIA, MD-Industrial markets along the Baltimore-Washington Corridor quietly reached a milestone in the third quarter for 2010: it was the first quarter in the past 10 quarters that didn’t post negative absorption, according to NAI KLNB’s internal calculations, J. Allan Riorda, tells GlobeSt.com. “We are also seeing rental rates rise at least for class A product,” he says. “In class B and C space there is still a bit of uncertainty.” Class A industrial space is trending at the upper
$5 per square foot, Riorda says, on a triple net basis. Meanwhile, class B and C are ranging from $3.50 per square foot to $4.75 per square foot, triple net.

NAI KLNB rode this trend well, totaling some 345,000 square feet of leases inked in the past seven months on behalf of AMB Property Corp. Riorda and colleague John Boote handled the transactions for the company. They included the Room Store, which signed a 113,000-square-foot lease at State Drive; an 8,100-square-foot lease at 8301 Patuxent Range Rd. signed by EIFS; PCA, which inked a lease for 75,000
square feet of space at 8301 Sherwick Ct.; and ATI Group, which signed a deal at 8301 Patuxent Range Rd. for 16,300 square feet of space, all in Jessup, MD. Meanwhile, Locust Industries inked a
53,600-square-foot lease at Larkin Road and ABBCO Refrigeration leased 27,000 square feet of space at 8325
Patuxent Range Rd., both in Savage, MD. In addition, Corporate Rentals leased 53,000
square feet of space in Savage at 8840 Greenwood Pl.

Transwestern also reports a revitalizing industrial market here, Gerald P. Trainor, executive managing director of Transwestern’s Institutional Commercial Group, tells GlobeSt.com. “The whole Washington market is coming back strong and we are seeing vacancy rates falling on industrial side,” he says. Pricing for the few investment sales in this asset class is looking strong as well, he adds. Transwestern is currently marketing Steeple Chase in Capital Heights in the District. Bids are due next Friday and Trainor reports that the response has been overwhelming thus far.

 

NOT FOR REPRINT

© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.