Penzance Adds First DC Industrial Development to Portfolio for $8M
Penzance has acquired a 53-acre industrial development site in Williamsport, Md., from Washco Management for $8 million.
Located at 16220 Wright Road, the Washington County site has been approved for an 825,000-square-foot, Class A warehouse with 495 parking spaces and 217 trailer drops.
For Penzance, an owner, operator and developer in the Washington metropolitan region, this marks the first industrial development within its portfolio and the first acquisition through its second private-equity fund, with total equity commitments of $255 million.
“This is a strategy we’ve been pursuing for quite some time, and this was the first deal that fit our underwriting profile,” Cristopher White, Penzance’s managing director of investments, told Commercial Observer. “Given the exceptional location, the fact that you can reach one-third of the country’s population in a single-day’s drive, and the business-friendly environment, this was an ideal fit for us.”
Additionally, the site’s large size made it attractive, he said, and, due to existing approvals, it’ll be available fairly fast. The project is expected to deliver in the spring of 2022.
According to White, the company will continue exploring more opportunities in the industrial development sector going forward.
“We have been seeking the right opportunity for our entry into this market, as we have watched the national demand for e-commerce continue to increase, and as Penzance looks to expand our role in the evolving retail landscape,” he said.
The JLL Capital Markets team of Jay Wellschlager, Bruce Strasburg, Craig Childs and Elizabeth Runge facilitated the deal. JLL will handle leasing of the property as well.