A 1.2 million-square-foot warehouse in Cecil County leased to Restoration Hardware sold last month between $74 million and $75 million, the latest sign of strength in the area's industrial market, Cushman & Wakefield of Maryland said Monday.
In Harford and Cecil counties, the vacancy rate for industrial and flex space was 3.1 percent at the end of 2013, compared to 16.7 percent at the beginning of 2011, according to an end-of-year report by Colliers International. The vacancy rate in the Baltimore region as a whole closed the year at 9.7 percent.Industrial spaces in the Cecil and Harford counties submarket also take less time to lease than those in the Baltimore-Washington market, eight months compared to 15, according to a CBRE analysis of industrial space released Jan. 6.
The property at 4000 Principio Parkway in North East last sold in 2011 to Weeks Robinson, which doubled the warehouse in size and secured the long-term lease with Restoration Hardware, said Cris Abramson, executive director for capital markets for Cushman & Wakefield, which represented Weeks Robinson on the deal.
It is the upscale furnishing store's largest distribution center in the world."They've made their money, put Restoration in there and now they're looking to sell," Abramson said. "They did the heavy lifting."Cole Real Estate Investments, an Arizona-based real estate investment trust with more than 1,000 properties, was the buyer last month.In November, French cosmetics giant Sephora announced it would open a tailor-made 655,800 square feet distribution hub in Perryman in Harford County.Abramson said the area benefited from access to the port, as well as highways leading to major cities."Supply and demand constraints are driving pricing from a tenant standpoint and an investor standpoint," he said.