First Potomac Sells Baltimore Area Office Properties to CSG Partners for $13M
- Oct 31, 2014
CSG Partners LLC is expanding its office portfolio. The Baltimore-based company has recently acquired a 180,000-square-foot business park in Owings Mills.
According to the Baltimore Business Journal, CSG paid $13 million to acquire the four-building complex from First Potomac Realty Trust. It includes the Owings mills Business Center and Owings Mills Corporate Center, and was about 50 percent occupied at the time of the sale.
The Owings Mills Business Center includes the two, single-story office/flex buildings at 11421 and 11425 Cronhill Drive. It offers about 48,000 square feet of space. According to PropertyShark.com, First Potomac purchased the portfolio in 2003, for $8.1 million. Its current market value is set at about $3.7 million.
PropertyShark.com also says that First Potomac paid $16.6 million to buy the Owings Mills Corporate Center, in 2006. It offers about 132,000 square feet of space and includes the two single-story office/flex buildings at 11460 and 11500 Cronridge Drive. The current market value of the Owings Mills Corporate Center is about $11.5 million.
The new owner plans to remove some of the truck loading features to make the buildings more office-focused. It will also add several upgrades, such as renovations to the facades of two of the buildings, to make them more marketable to tenants. CSG has retained Colliers International Baltimore to lease the properties.
According to Cassidy Turley’s latest market report, office vacancy in the Baltimore metro area now stands at 15.7 percent, its lowest point since 2007. In Q3, the region experienced more than 635,000 square feet of positive absorption, pushing the annual total of positive absorption to almost 1.1 million square feet. It has already exceeded the 2013 annual absorption totals and is now on its way to the highest total of demand since 2006.
Photo Credit: First Potomac Realty Trust