By Keith Loria, Contributing Editor
Tradepoint Atlantic has received $135 million in financing for two new, build-to-suit, Class A industrial buildings within the Tradepoint Atlantic multimodal industrial project in the Baltimore-area community of Sparrows Point, Md.
HFF worked on behalf of Tradepoint Atlantic to arrange two separate, non-recourse loans with Allianz Real Estate.
“The buildings’ locations, access to various modes of transportation and long-term leases are very appealing,” Christoph Donner, Allianz Real Estate of America’s CEO, told Commercial Property Executive. “In addition, Tradepoint Atlantic’s experienced leadership with a proven track record make them an excellent long-term partner for us.”
The two buildings, which total 2.2 million square feet, will be fully leased to Under Armour and Amazon. The Under Armour facility has a $71.8 million, 18-year, fixed-rate loan, while the Amazon facility was given a $63.2 million, 17-year, fixed-rate loan.
“Well-located new industrial product, particularly with long-term leases with tenants like Amazon and Under Armour, is very desirable,” Donner said. “The long-term in-place leases to Amazon and Under Armour provide stable and growing cash flow over the life of the loans.”
At nearly 1.4 million square feet, the Under Armour building was completed in 2018 and is expected to open for business in early 2019. The cross-dock building boasts 35 total dock-door positions, two drive-in doors and 38-foot clear heights.
The 857,514-square-foot building leased to Amazon was also completed last year and has a cross-dock design with 63 dock doors, two drive-in doors and 41-foot clear heights.
Premier industrial gateway
The Tradepoint Atlantic site consists of 3,250 acres situated on the Sparrows Point peninsula, along the Patapsco River at the gateway to the Port of Baltimore, just 5 miles from the city’s CBD.
The site is also home to the largest privately owned rail interchange yard on the East Coast and has a privately owned and operated short-line railroad, with more than 60 miles of track and connections to two Class I railroads, CSX Transportation and Norfolk Southern Railway.
The property offers immediate access to major interstate and regional road networks via Interstate 695, which bifurcates the site and encircles the city of Baltimore, connecting the project to Interstates 95, 895, 97, 70 and 83, as well as Route 295.
“The location serves as a gateway to markets across the eastern United States with tremendous access to highways, rail and deep-water berths,” Donner said.
Tradepoint Atlantic also owns and operates a marine terminal within the Port of Baltimore and offers significant deep-water frontage with deep-water berths.
HFF’s Managing Director Cary Abod, Director Rob Carey and Associate Kevin Byrd handled financing for the borrower.
In December, Allianz’s U.S. expansion plan continued with the acquisition of 53 State St., a 1.2 million-square-foot office property in downtown Boston, which sold for $845 million.
Image courtesy of Allianz Real Estate