September 4, 2019 – JLL announced today that it has closed the sale of two regional retail properties totaling 522,100 square feet in the Washington, D.C. suburb of Frederick, Maryland, and a regionally dominant power center in the northern Maryland community of Hagerstown.
JLL marketed the property on behalf of the seller, WashREIT. DLC Management Corporation and Acadia Realty Trust purchased two assets, Frederick Crossing and Frederick County Square, and Baltimore-based Continental Realty Corporation (CRC) purchased Centre at Hagerstown.
The Frederick, Maryland, portfolio comprises the 294,718-square-foot Frederick Crossing and the 227,382-square-foot Frederick County Square. The fully leased Frederick Crossing is a regional power center that is home to a variety of tenants, including Kohl’s, Best Buy, Ross Dress for Less, Off Broadway, Ulta Beauty, Chuck E. Cheese’s, Regency Furniture, Dress Barn and Dollar Tree. The property also is shadow anchored by the region’s only Walmart and adjacent to a 60,000-square-foot office park. It’s situated in an expansive trade area with more than 110,000 residents within a five-mile radius of the property.
Frederick County Square is 92.9% leased to major tenants such as Kmart, JoAnn Fabric & Craft and Advance Auto. Situated on 17.63 acres at 1003 W. Patrick Street, the center is surrounded by more than 78,600 residents earning an average annual household income of nearly $70,000 within a three-mile radius of the property.
The 331,833-square-foot Centre at Hagerstown was completed in 2000 and is 93% leased to a variety of tenants, including Books-A-Million, Marshalls, A.C. Moore, Office Depot, Bed Bath & Beyond, PetSmart, Ulta Beauty and Regency Furniture, and is shadow anchored by the region’s only Walmart and The Home Depot. Additionally, the center features 10 outparcel pads occupied by nationally recognized restaurant and retail tenants such as Panera Bread, Wendy’s, IHOP, TGI Friday’s and Arby’s. Situated at 17850 Garland Groh Boulevard, Centre at Hagerstown has excellent visibility from Interstate 81 (Maryland Veterans Memorial Highway).
The JLL Retail Capital Markets team that represented the seller included Senior Managing Director and Co-Head of JLL’s Capital Markets Retail Practice Daniel Finkle, Executive Managing Director Stephen Conley, Managing Director John Owendoff, Director Jordan Lex and Senior Associate Kim Flores.
“The sale of these three assets continues with Washington REIT’s strategic plan to transform its existing portfolio,” Finkle said. “It was a pleasure working with all three groups on the successful execution of these three dominant centers in Frederick and Hagerstown, Maryland.”
This portfolio sale comes on the heels of the recently announced $485M sale of five retail assets in Northern Virginia and Maryland that JLL arranged for WashREIT.