Terreno Picks Up Alexandria Warehouse for $9M
By Keith Loria November 3, 2021 4:46 pm
reprints
Terreno Realty Corporation has acquired a 28,000-square-foot warehouse building in Alexandria, Va., for $9 million, more than $300 per square foot.
Located on a 1.27-acre site at 619 S. Pickett Street, near the Van Dorn Street Metro station, the warehouse includes a 6,000-square-foot refrigeration area and was unoccupied at the time of the sale, according to a prepared statement.
Lee & Associates represented the seller, DVPP, in the deal.
“DVPP originally purchased the property in 2005 and has been running their food distribution business there since then,” Josh Simon, president of Lee & Associates’ Washington, D.C. branch, told Commercial Observer. “They decided to sell simply because the market conditions for industrial properties are overheated, and they wanted to maximize value on the exit.”
Industrial vacancy rates are at less than 3 percent in Alexandria, so it was simply a supply and demand decision, Simon said.
“There’s not enough space for too many users,” he said. “Additionally, the cold food storage is a unique attribute that other buildings don’t typically have.”
The all-brick building boasts 26-foot ceiling heights, two outside loading docks and one drive-in bay, a truck court and an outdoor yard with parking.
Simon noted there was an “extremely high level of interest” in the building from both residential development companies and industrial users and investors.
Terreno Realty Corporation has engaged Cushman & Wakefield (CWK) to oversee the marketing and leasing activities of the property. The company did not respond to requests for comment.
Per the statement, “the new owner intends to maintain the building’s industrial application based on the continued high demand for this asset class throughout the Northern Virginia region.”
Joining Simon in representing the seller was Pierson Kruetzer, principal at Lee & Associates-Washington, D.C.
Update: This story originally misattributed source material. This has been corrected. We apologize for the error.
Keith Loria can be reached at Kloria@commercialobserver.com.
