KKR Pays $115M for Baltimore-Area Industrial Assets
The two properties changed hands for more than double their last sale.
KKR has acquired two Class A industrial assets spanning 455,904 square feet in Hanover, Md., from Clarion Partners, according to Yardi Research Data.
The property duo changed hands for $115.4 million, more than double their previous sale price. Clarion had acquired them for a combined $56.2 million in 2017, the same source shows.
Located on 38 acres at 1020 and 1025 Airport 100 Way, the two warehouses are 5 miles from Baltimore/Washington International Airport. Downtown Baltimore is about 14 miles northeast, while thoroughfares such as interstates 97 and 195, as well as U.S. Route 1, are about 5 miles away.
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The two facilities, spanning 321,504 and 134,400 square feet, debuted in 2001. Features include 30-foot clear heights, as well as a total of 88 dock doors and four drive-in doors.
Tenants at the two buildings include landscaping company Global Syn-Turf Maryland, wholesaler GL International Corp., manufacturer Intralox, as well as industrial equipment firm HD Supply.
Despite a turbulent start to 2025, KKR maintains a positive perspective going forward, according to its mid-year outlook. The company suggests that attractive financial conditions, ongoing productivity gains and a lack of net issuance, as well as compelling investment themes, will drive the current cycle further and longer than expected.
KKR’s latest capital movements
Earlier this year, KKR closed its Opportunistic Real Estate Credit Fund II with commitments reaching approximately $850 million. The firm will provide senior loans and securities throughout the U.S. and Western Europe.
The company has had a busy industrial investment year as well. KKR kicked off 2025 with a 415,400-square-foot purchase in Nashville, Tenn., according to Yardi Research Data. Cabot Properties sold the asset for $63 million.
In April, the company purchased a 631,033-square-foot collection throughout Raleigh-Durham, N.C., from Beacon Partners, the same source shows. The three buildings came online between 2022 and 2023.
Baltimore assets fetch top dollar
Baltimore’s industrial transaction volume amounted to $375 million in the first five months of 2025, according to a recent Yardi Matrix report. Assets changed hands for $176 per square foot on average in May, above the national figure of $133.
The metro’s average asking industrial rent clocked in at $8.51 per square foot that month, up 6.2 percent year-over-year but still below the national average of $8.54, the report also shows. Meanwhile, Baltimore’s vacancy rate reached 8.9 percent, above the 8.5 percent U.S. index.
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