News
SPEC-TACULAR
January 21, 2011
| Who told you not to build spec? It wasn't Corporate Office Properties Trust CEO Rand Griffin—he's starting 1.5M SF of new office construction nationwide this year. |
 |
| Yesterday, he told ushis company has four spec projects under construction in the Baltimore metro: two 110k SF projects at The National Business Park in Anne Arundel County (410 & 430 NBP) and two buildings totaling 160k SF at North Gate in Aberdeen, slated to deliver late this year or early 2012. |
 |
| Rand says he sees the projects as a way to keep up with demand from BRAC activity and Cyber Command's move to Ft. Meade; in his experience, "contractors need space immediately, so we think ahead for them." NBP has used 3M SF of its 5M SF development potential. COPT has around 2M SF on tap across the road at Arundel Preserve. |
 |
| Development costs usually run around $220/SF, with another $40/SF for build out. Asset Management SVP Jud Williams tells us some tenants spend up to $80/SF on space due to security requirements. Rand says every major defense contractor working at Ft. Meade is represented at NBP (asking rent $36.50/SF), and North Gate aims for the same crowd. |
