Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, today announced the sale of a 1.5 acre parcel of land, located in Bethesda, Maryland. The buyer plans to redevelop the site with a class-A self-storage facility, according to Bryn D. Merrey, senior vice-president/division manager of the firm’s Mid-Atlantic and Southeastern offices. The land sold for $11,000,000, approximately $7.3 million per acre.
Robert Bloch and Michael A. Mele, investment specialists in Marcus & Millichap’s D.C. and Tampa offices, had the exclusive listing to market the property on behalf of the seller, a single asset corporation. The buyer, 1784 Capital Partners, was also secured by Bloch and Mele.
“1784 Capital Partners immediately recognized the special attributes of this site and were able to navigate the difficult requirements of the seller, its creditors and the bankruptcy court,” says Bloch. “They mobilized very quickly to get this complicated deal done in a very short timeframe, and secure the site”.
The Bethesda Self Storage site is located at 5204 River Road in Bethesda, Md. in the Washington, D.C. Metropolitan Statistical Area. The building currently on the property is used as an automotive body shop. The parcel represented a rare opportunity to secure one of the final remaining self-storage development parcels in Bethesda, one of the country’s most affluent, high barrier-to-entry communities, boasting historically high occupancies and rental rates for storage. The surrounding demographic profile is among the best in the United States with further high-density residential development occurring within two miles of the site.
“Very rarely does a development opportunity of this quality come to market,” Bloch explains. “The unprecedented price per acre is a testament to the nature of the opportunity, and the buyer had a clear vision that enabled them to compress their due diligence and win the deal in a very competitive process”.
About Marcus & Millichap (NYSE: MMI)
With over 1,600 investment sales and financing professionals located throughout the United States and Canada, Marcus & Millichap is a leading specialist in commercial real estate investment sales, financing, research and advisory services. Founded in 1971, the firm closed over 8,700 transactions in 2015 with a value of approximately $37.8 billion. The company has perfected a powerful system for marketing properties that combines investment specialization, local market expertise, the industry’s most comprehensive research, state-of-the-art technology, and relationships with the largest pool of qualified investors. To learn more, please visit: www.MarcusMillichap.com
