DC-Area Industrial Building Trades for $5M
Fortified Property Group has acquired 16001 Industrial Drive, a 28,000-square-foot industrial/office building in Gaithersburg, Md., for $4.575 million.
Edge brokered the sale on behalf of a Maryland-based private entity and also procured the buyer.
“The location is A+ for infill service industrial, is minutes from I-270, and within close proximity to the dense residential population and major employers in close-in Montgomery County, including Rockville, Gaithersburg, Germantown and Bethesda,” Joe Friedman, Edge’s partner of capital markets, told Commercial Observer. “The oversized parking lot and outside storage is extremely valuable for many industrial users such as auto body and HVAC contracting.”
The property was 100 percent leased at the time of the sale to a tenant roster comprised of Shady Grove Auto Care and HVAC services company Seasonair Inc.
According to Friedman, it’s extremely difficult to find excess land area for parking that is zoned for industrial storage in the Montgomery County area.
“The Gaithersburg industrial market off Gaither Road and Shady Grove Road is extremely limited in supply,” he said. “Much of the industrial zoned land has been upzoned for higher density development such as multifamily or redeveloped as self-storage.”
Additionally, he noted the area is highly desirable for the residential population because of its proximity to government employers in Rockville and Bethesda and in recent years has seen several Class A mixed-use developments that have dramatically improved the quality of life in the suburban communities.
The property is also very close to the Shady Grove Red Line Metro station, which directly connects to downtown Washington, D.C.
Joining Friedman on the transaction were the firm’s Crissy Kleine, senior director, and Josh Norwitz, transaction associate.
“This sales transaction began during the pandemic shutdown months ago, but both sides were patient through the process,” Friedman said. “Through diligence and perseverance, a successful transaction was ultimately reached that benefitted both sides.”