Chesapeake Real Estate Group acquires three-building portfolio from Adler Real Estate Partners

BALTIMORE, MD — Chesapeake Real Estate Group, LLC (CREG) has acquired a three-building portfolio in Howard County comprising 43,400 s/f of flex/office space. 10270, 10280 and 10290 Old Columbia Rd., also known as Rivers III, were acquired from Adler Real Estate Partners for $4.8 million. The purchase follows CREG’s recent acquisition of 9900 Franklin Square Dr., a 34,000 s/f single-story office building situated in Baltimore County for $4.2 million.

Cris Abramson and Nick Signor of the Newmark Capital Markets team represented the seller and Chesapeake Real Estate Group was self-represented.

Rivers III, consisting of 10270 Old Columbia Rd. (16,411 s/f), 10280 Old Columbia Rd. (16,623 s/f), and 10290 Old Columbia Rd. (10,372 s/f) was cumulatively 78% leased and occupied at the time of the closing. Tenants include American Health Associates, CARAFAP, G3 Technologies, Keysight Technologies, Maryland Works and Stage Front Trucks.

The portfolio is situated two miles from I-95, 15 miles from Baltimore and BWI Airport and 30 miles from Annapolis and Washington, DC. With a population of nearly 350,000 people and a media household income approaching $130,000, Howard County is ranked as the fifth wealthiest county in the United States.

The Columbia flex/office market, which consists of nearly 6.5 million s/f of space, is currently nearly 95% occupied with a triple net asking rent of $13.56 psf.

Over the past ten years, the overall vacancy rate for flex space in Howard County has dropped by nearly seven percentage points.

“The Rivers III portfolio represents an outstanding in-fill location featuring well-constructed and expertly-maintained assets with minimum capital improvements needed, while also presenting a strong value-add opportunity that can be achieved with additional leasing,” said Jim Lighthizer of CREG. “This acquisition was fueled by our confidence in the enduring fundamentals of the suburban real estate environment, particularly the robust Baltimore-Washington, DC corridor. Companies from a diverse range of industries continue to enter into or expand within Howard County, with many exiting urban locations in exchange for shorter commutes, free parking. and a higher quality of life.

“This latest acquisition, which was also achieved substantially below replacement cost, continues our mission to identify and acquire opportunistic and value-add acquisitions designated for long-term hold. “Leveraging our deep broker, investor, and business relationships throughout the Mid-Atlantic region, we intend to pursue additional opportunities in a range of real estate asset classes to further bolster our portfolio and deliver risk-adjusted yields to our investors.

“CREG continues to demonstrate the strength and effectiveness of our team, and we intend to remain aggressive and thoughtful in our approach to secure additional acquisition opportunities,” Lighthizer added.