This Week's Baltimore Deal Sheet
The University of Baltimore named Zahlco as the intended developer for its $158M Midtown Gateway project, which involves the construction of two new buildings and the adaptive reuse of another structure along Maryland Avenue and Oliver Street near Penn Station.
Plans for the development include 585 apartments, 30K SF of street-level retail and parking on more than 2 acres of campus property. The project also involves overhauling an existing building previously used for U.S. Postal Service vehicle maintenance.
The development, as envisioned, contributes to ongoing revitalization efforts in the area centered around the redevelopment of Penn Station and surrounding properties.
"This project, conceptualized by the Zahlco team and vetted by the University’s experts in consultation with the USM, represents a breakthrough in how we think about the center of the city," Kurt L. Schmoke, the president of the University of Baltimore and former mayor of Baltimore, said in a statement.
Naming Baltimore-based Zahlco as the intended developer allows the university to start the design process with Baltimore's Department of Planning. Northern Real Estate Urban Ventures will serve as minority partner. That firm is tasked with providing development services, project management support and ensuring equity in hiring through its Project Community Capital program.
The university expects a ground lease agreement with Zahlco by this fall, pending approval by the University System of Maryland Board of Regents and the Maryland Board of Public Works.
LEASES
Ice Miller LLP has leased nearly 6K SF of office at 100 Light St. in downtown Baltimore, the building's owner, Corporate Office Properties Trust, announced Tuesday. The law firm plans to move into the property's 13th floor later this month. COPT has invested heavily in upgrades to the building as part of a five-year capital plan to breathe new life into the tower.
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Maryland-based home furnishing retailer Tim's Furniture Mart inked a lease with Simon Property Group for more than 67K SF at Hagerstown Premium Outlets. Lee & Associates' Bill Harrison, Steve Weiss and Ben Brooks represented the landlord in the deal. The retailer is slated to open the location this summer.
DEVELOPMENT
MCB Real Estate started constructing a five-story apartment building in Baltimore's Beverly Hills neighborhood to meet the demand for off-campus housing from students at nearby Morgan State University. The 146-unit Flats at the Markley will add new buildings to the longest blighted stretch of Harford Road.
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Baltimore's Board of Estimates approved the sale of the former Patapsco Elementary School building to clear the way for a mixed-use development, including an adult learning center, Baltimore Fishbowl reports. City Council President Nick Mosby was the only board member to vote against selling the property to the Cherry Hill Community Development Corp. His concerns centered on whether the sale represented a "sole source deal" and the fact the buyer hasn't shared schematics for the proposed development.
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New York-based JEN Partners sold a parcel of its James Run mixed-use development in Harford County for an undisclosed amount to developer Park Avenue Lifestyle, which plans to build a 160-unit independent and assisted living facility.
Despite economic headwinds, JEN Partners said its leasing agent, MacKenzie Commercial Real Estate, has signed more than 25K SF of retail leases at the development. Additionally, since 2021, Ryan Homes has sold more than 190 single-family homes at the 108-acre development.
