Trammell Crow Co., along with development partner Diamond Realty Investments, has secured funding for an upcoming speculative industrial project along the Interstate 95 corridor north of Baltimore, Md. BMO Harris Bank originated the $26 million construction loan. Dubbed North East Commons, the Class A facility is slated for a 2020 completion.
The 716,490-square-foot distribution center will be situated on a 60-acre parcel in North East, in Cecil County. The building will feature 40-foot clear heights, 1 per 7,000-square-foot dock door ratios as well as car and trailer parking with multiple queuing lanes. North East Commons will also feature rail access. The development is located about 45 miles from Baltimore and 60 miles from Philadelphia. The warehouse will feature frontage along Route 272, with I-95 just a mile away.
According to Trammell Crow Vice President Matt Nunn, the I-95 corridor is a growing submarket that continues to attract large tenants. A recent JLL industrial report highlights the same area as having more than 90 percent of all metro Baltimore’s industrial development—more than 3 million square feet. And according to Prologis, industrial vacancy rates dropped to 4.5% nationwide.
The area is designated a Maryland Enterprise Zone, which provides tax incentives both for developers and potential tenants, including a 10-year credit against local property taxes and credits for every new position created that pays at least 150 percent of the federal minimum wage. According to the Maryland Department of Commerce, Cecil County has more than 6,200 acres designated as Enterprise Zones, expiring in 2023.