Newmark Facilitates $20.4 Million Sale of 8700 Ritchie Drive in Capitol Heights, Maryland

May 31, 2023 9:00 AM

Newmark announces the $20.4 million sale of 8700 Ritchie Drive, a 103,193-square-foot last-mile distribution facility inside Washington DC’s highly-coveted Capital Beltway in Capitol Heights, Maryland. The industrial asset traded from a joint venture comprising The Pinkard Group, a real estate investment and development company, and Principal Asset Management–a leading global financial company –to LBA Realty, a full-service real estate investment and management company.

Newmark Executive Managing Director Cris Abramson and Managing Directors Ben McCarty and Nicholas Signor represented the seller in the sale transaction.

“Despite economic headwinds, institutional interest in the asset was robust,” said McCarty. “A dearth of product on the market, coupled with a limited development pipeline in Prince George’s County continues to drive investor demand for well-located assets in the region.”

The facility is 100 percent leased, with an in-place WALT of 6.64 years, to three tenants–HD Supply, a leading national industrial distributor of maintenance, repair and operations products; REW Materials, the fourth largest distribution company in the US of interior and exterior construction materials, services, and equipment; and The General Services Administration (“GSA”), the independent agency of the US government that manages federal property and provides contracting options for government agencies.

8700 Ritchie Drive sits in the Washington DC industrial market, which encompasses 197 million square feet of product stretching two states and Washington DC. The Washington DC industrial market saw 4.79 million square feet of net absorption in 2022 and is currently showing its lowest vacancy on record at 3.4%. There is currently 6.1 million square feet of industrial product under construction in the market, accounting for only 3% of total inventory.

About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the year ending December 31, 2022, Newmark generated revenues of approximately $2.7 billion. As of March 31, 2023, Newmark’s company-owned offices, together with its business partners, operate from over 170 offices with approximately 7,300 professionals around the world. To learn more, visit nmrk.com or follow @newmark.

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