16C — May 30 - June 12, 2014 — Industrial / Distribution Centers — M id A tlantic
Real Estate Journal
www.marejournal.com
NAI KLNB
Including top 2013 industrial sales and leases NAI KLNB - industrial market report
emand for industrial space continues its steady pace upward. Recent large distribution warehouse operations, in- cluding Amazon, Sephora America, Clorox and Under Armour , to name a few, are among the companies that have chosen to place their fulfillment centers in the Baltimore Metro Area. This is just the beginning D
of a trend that will see e- commerce expand by over 15% annually. There was approximately six million s/f of warehouse leasing activity at year end in 2013, with more than three mil- lion representing new leas- ing and or build to suits. Institutional sales activity has also been proceeding at a fast pace with cap rates ranging from 5.7% to 6.5%
for class A warehouse, with an average per square foot cost exceeding $75 and class B product ranging between $55 and $65 per s/f. Modern industrial buildings that meet institutional standards relating to ceiling height, truck court depth and park- ing are claiming the highest prices and lowest cap rates. In some cases, vacant well located industrial buildings
Industrial Market Statistics are trading in some cases at a premium to replace- ment cost. The gradual im- provement of the economy and an increased need by corporations for large big box warehouses and distri- bution centers mixed with the lack of any major new construction over the past 5 years will continue to keep vacancy low for large class A facilities and increase rental
rates until supply can reach an appropriate balance with demand. E s t a b l i s h e d i n 1 9 6 8 , KLNB, Inc. is a full-service commercial real estate firm offering sales, leasing, devel- opment, property manage- ment and real estate invest- ment services. The company employs more than 80 real estate professionals, includ- ing 35 principals. n
B ulk , o ffiCe /W arehouse f lex V aCanCy & a Bsorption
Vacancy
Rental Rate
10.6%
$6.10
$6.08
10.4%
$6.06
10.2%
$6.04
$6.02
10.0%
$6.00
9.8%
$5.98
$5.96
9.6%
2013 Q1
2013 Q2
2013 Q3
2013 Q4
2013 Q1
2013 Q2
2013 Q3
2013 Q4
Sale Price
Absorption
800
$54
700
$52
600
$50
500
$48
400
$46
300
$44
Availability Rent Per SF Vacancy Rate
Current
5-Year Avg
Inventory Existing SF
Current
5-
200 Availability Rent Per SF 100 Vacancy Rate
Current
5-Year Avg
Inventory
Current
5-Year Avg 167,931,124
$42 $5.68 11.5% Existing SF 2 Mo. Const. Starts Under Constructio 12 Mo. Deliveries $40
$6.07 9.7%
169,330,678
167
$6.07 9.7%
$5.68 11.5%
169,330,678
12 Mo. Const. Starts Under Construction 12 Mo. Deliveries
776,167
776,167
537,656 401,498 686,548
Vacant SF
16,359,128 24,085,383
$38 27,947,008 2,064,050 19,270,673
3,715,118
Vacant SF
16,359,128 24,085,383
2013 Q4 19,270,673 27,947,008 2,064,050
2013 Q3 In entory Existing SF 469,620 3,715,118
0
Available SF
2013 Q4 Inventory Existing SF 469,620
Available SF
2013 Q1
2013 Q2
2013 Q3
2013 Q1 Current
2013 Q2
Sublet SF
Availability Rent Per SF Vacancy Rate 1,113,180 1,346
Sublet SF
Availability Rent Per SF Vacancy Rate 1,113,180 1,346
5-Year Avg
Current
5-Year Avg
Available Spaces
1,626
Available Spaces
1,626
$6.07 9.7%
$5.68 11.5%
$6.07 9.7%
$5.68 11.5%
1
12 Mo. Const. Starts Under Construction 12 Mo. Deliveries
12 Mo. Const. Starts Under Construction 12 Mo. Deliveries
Current Notable Sales 5-Year Avg Inv tory Available SF Suble SF Current Vacant SF
Current Notable Leases 169,330,678 2,064,050 ,6 6 5-Year Avg 167, 31,124 27,947,008 19,270,673 19,270,673 Past Year
Market Statistics
Vacant SF
5-Year Avg $5.68 11.5% Existing SF 169,330,678 776,167 1,346 894,836 9,836,748 Address 2 Mo. Const. Starts Under Construction 12 Mo. Deliveries 3,715,118 469,620 Cap Rat 12 Mo. Const. Starts Under Construction 12 Mo. Deliveries 776,167 3,715,118 469,620 Cap Rate Baltimore City Chesapeake Commerce Center 5-Year Avg 167,931,124 27,947,008 2,064,050 ,6 6 Sale Price Per SF Asking Price Per SF Sales Volume (Mil.) 537,656 401,498 686,548 Current 1,513,846 7,302,808 2400 Broening Highway Current 5-Year Avg 1,513,846 7,302,808 894,836 9,836,748 Sale Price Per SF Asking Price Per SF Sales Vol me (Mil.) In entory 5-Year Avg Sales 19,270,673 27,947,008 2,064,050 1,626 Inventory Existing SF Current 169,330,678 24,085,383 1,113,180 1,346 Sal s 16,359,128 Cur ent 1,113,180 16,359,128 24,085,383
Current Inv ntory Existing SF Available SF Suble SF Available Spaces Cur ent 1,513,846 $6.07 9.7% 7,302,808 5-Year Avg 19,270,673 27,947,008 2,064,050 Under Construction 12 Mo. Deliveries Demand 279, 00 s/f 12 Mo. Const. Starts SF/Acres 5-Year Avg 894,836 1,346 12 Mo. Absorption SF 12 Mo. Leasing SF 232,318 s/f 1,626 $5.68 11.5% 9,836,748
Availability Rent Per SF Vacancy Rate Current $6.07 9.7% Dema d Available SF 16,359,128 24,085,383 Vacant SF
Availability Rent Per SF Vacancy Rate Current $6.07 9.7% Demand
Past Year
5-Year Avg
5-Year 5-
5-Year Avg 167,931,124 $50
Current
5-Year Avg
$50 $56
$50 $55
12 Mo. Absorption SF 12 Mo. L asing SF Address
$5.68 11.5% 12 Mo. Absorption SF 12 Mo. Leasing SF
16,359,128 24,085,383 1,113,180 $6.07 9.7% Existing SF 12 Mo. Const. Starts Under Construction 12 Mo. Deliveries Available Spaces 1,513,846 7,302,808 Price 1,346 1 Mo. Absorption SF 12 Mo. Leasing SF $8,000,000 $5. 8 11.5% 1,626 Demand $20, 00,000
169,330,678
167,931,
SF/Acres
$ 6
776,167
537,656 401,498 686,548
53 , 56
776,167
537, 401, 686,
$294 7.4%
$294 7.4%
$329 7.4%
16,359,128 24,085,383 1,113,180 2,064,050
3,715,118 401,498
Vacant SF 16,359,128 24,085,383 1,113,180 Baltimore City 4801 Hollins Ferry Available SF Sublet SF
19,270,673 27,947,008
3,715,118
19,270,673 27,947,008 2,064,050
469,620
686,548
469,620
Sublet SF
Sales Sale Price Per SF Asking Price Per SF Sales Volume (Mil.) Cap Rate 1,150,000 s/f 158,441 s/f 128,441 s/f
1,113,180
5-Year Avg
Sales Sale Price Per SF Asking Price Per SF Sales Volume (Mil.) Cap Rate
Available Spaces 1,346
Available Spaces 1,346 3507 Washington Blvd.
1,626
894,836
9,836,748
1820 Portal
$7,181,000
705,379 s/f
1200 S. Newkirk
Demand Baltimore County 10000 Franklin Square 7521 Pulaski Highway Harford/Cecil Counties 4 Center Dr. Current Carroll County 630 Hanover Pike 861 Baltimore Blvd. 1200 Independence Way 12 Mo. Absorption SF 12 Mo. Leasing SF 1,513,846 7,302,808 894,836 9,836,748 5-Year Avg 1601 Clark Rd.
Sales Baltimore County 1413 Tangier Past Year Pa t Year Sale Price Per F Asking Price Per SF Sales Volume (Mi .) $50 $56 $294 8411 Kelso Dr.
Source: Costar Realty Information, Inc. Past Year 5-Year Avg 5-Year Avg Past Year
Demand
Current Sal s
Current Sal s 5-Year Avg 392,500 s/f 105,486 s/f 894,836 Sale Price Per SF Asking Price Per SF Sales Volume (Mil.) 9,836,748
5-Year Avg Sales
5-Year Avg
5-Year
Current
5-Year Avg
1,513,846 7,302,808 Asking Price Per SF Sales Volume (Mil.) $17,000,000 3,270,000 Sale Price Per SF
12 Mo. Absorption SF 12 Mo. Leasing SF 1,513,846 7,302,808
1,513,846 7,302,808 894,836
$50 $56
$50 $55
894,836
Sale Price Per SF Asking Price Per SF Sales Volume (Mil.) $50 $56 $294
$50 $55
$50 $56
$50 $55
449,299 s/f 274,841 s/f 105,486 s/f 945,742 s/f 655,000 s/f 348,768 s/f 233,000 s/f
100 West Road | Suite 505 | Towson, MD 21204 | Main 410 321 0100 | naiklnb.com
9,836,74
9,836,748
$294 7.4%
$329 7.4%
$329 7.4%
$294 7.4%
$ 7
$329 7.4%
Cap Rate
Cap Rate
Cap Rate 7521 Pulaski Highway Harford/Cecil Counties 1467 Perryman 7.4% 7.4%
Cap Rate
$19,250,000 $3,000,000
345,600 s/f 167,270 s/f
531 Chelsea
$44,000,000 $3,500,000 $2,500,000
1,035,249 s/f
400 Old Post Rd.
90,973 s/f 83,527 s/f
This copyrighted report contains research licensed to NAI KLNB - 210379.
This copyrighted report contains r search li e sed to NAI KLNB - 210379.
5 Lovett
This copyrighted report contains research licensed to NAI KLNB - 210379.
This copyrighted report contains res arch licensed to NAI KLNB - 210379.
Made with FlippingBook HTML5