Fortune 500 Company Leases Warehouse in Baltimore-Washington Corridor
Nash Finch Company, a food distributor to independent grocery stores, has signed a 7-year lease for the entirety of 8024 Telegraph Road, a 363,872-square-foot warehouse in Severn, Md., at a lease consideration of $25.76 million.
David Dannenfelser, a managing director at JLL, and Chris Cummings, a national director at Colliers International, brokered the deal between landlord Provender Partners and the new tenant.
The tri-temperature food campus offers freezer, cooler and ambient temperature warehouse space.
“We have owned the building for nearly three years, and have had various tenants leasing portions of the building and lot,” Neil Johnson, Provender Partners’ founder and CEO, told Commercial Observer. “The building’s size made finding a long-term single tenant more difficult. The single-tenant NNN nature (with its minimal management responsibilities) of the lease makes for a very attractive investment, for us to either hold longterm or sell.”
Johnson noted the freestanding food distribution center was a perfect space for Nash Finch because of the size of the company and its accounts.
The property is ideally positioned near the Baltimore-Washington Corridor.
“The population reach within a few hours’ drive of the building is as good as anywhere in the U.S. and is positioned perfectly to service the mid-Atlantic area,” Johnson said. “A 7-year lease with a company of this size provides further evidence of the need to provide last mile distribution to densely populated areas of the United States. As our country experiences unprecedented food supply challenges, unique solutions are required to prevent further disruptions to both consumers as well as our farmers and food industry workers.”
Nash Finch plans to take occupancy in some portions of the building immediately.