Stockbridge buys Maryland industrial asset at TA Realty's 2022 basis

Stockbridge bought a 203,000-square-foot industrial building in Upper Marlboro, Maryland for $56.6 million, a price that lands within $400,000 of what seller TA Realty paid for the same asset in 2022, according to Commercial Observer, with CoStar first reporting the deal and Cushman & Wakefield, which represented TA Realty, confirming the sale. For a four-year hold across a period when industrial values in most markets were marked up and then marked down, the flat exit is the number worth reading closely.

The 13-acre property at 8511 Pepco Place, built in 2008 half a mile east of the Capital Beltway near Joint Base Andrews, has a 190-foot truck court, 26 dock doors, two drive-in doors, 218 parking spaces, and roughly 75 trailer positions. Stockbridge, a San Francisco-based investment manager, is buying Class A space with the physical plant already in place; TA Realty had acquired it from an affiliate of electrical distributor Sonepar in 2022 for $56.2 million.

The tenant now occupying the building is Harris Company, a mechanical contractor that has become a major service provider to hyperscale data center operators, first taking about 34 percent of the space and recently expanding to fill the entire property. Stockbridge is paying for that lease-up to a single credit. Whether the price is justified depends on the rent the expansion was signed at, which the coverage does not disclose: the gap between a sponsor's entry basis and its exit is only half the story when the rent roll has been rebuilt in between.

Harris is the kind of tenant Greater Washington's data center buildout keeps producing: as the region's digital infrastructure pipeline pulls demand for construction, infrastructure, and operations space, contractors positioned inside that supply chain need yards, dock doors, and trailer parking close to the work. This building delivers precisely that specification. That dynamic explains why industrial product tied to data center construction has drawn institutional attention even as broader industrial leasing cools.

Cushman & Wakefield's Jonathan Carpenter, Graham Savage, Dawes Milchling, and James Check handled the transaction. The brokerage's own data has tracked the spillover before; in September, data obtained by Bisnow showed Lyft, Uber, Waymo and Zoox leased nearly 1 million square feet of robotaxi industrial space this year, more than the 830,000 square feet the four signed from 2022 through 2025 combined. Contractors, fleets, and service providers are competing for the same yard-and-dock inventory, and the landlord that owns it can price on proximity.

For allocators, the trade reads as a basis question: Stockbridge is buying a stabilized single-tenant asset in a supply-constrained corridor at a mark that says the seller was content to exit flat rather than hold for appreciation. TA Realty has been active on the disposition side this month, with other closings reported in the $105 million and $47 million range. The Maryland deal is small against those, but it points the same way: private industrial capital is still clearing, and it is clearing on the income rather than on the hope of cap-rate compression.