Despite economic conditions due to COVID-19, the Baltimore industrial market continued the positive momentum from the previous quarter, with more than 2.5 million sq. ft. of leasing activity in Q2 2020. Activity was driven by three Amazon leases, expanding the e-commerce giant’s footprint by more than 1.1 MSF in the second quarter alone. In Hagerstown, Amazon also leased a 1.2 MSF speculative building, which reinforces the strength of the industrial market in the Mid-Atlantic region.
More than 2.2 million sq. ft. remains under construction. Tradepoint Atlantic increased its footprint by 400,000 sq. ft., with the groundbreaking of 1800 Sparrows Point Blvd. With strong tenant demand across all size ranges driving vacancy rates to all-time lows, developers continue to introduce speculative assets across the market. The current pipeline consists of all speculative product which is currently 0% preleased, illustrating immense investor confidence in the Baltimore industrial market.