Penzance has expanded its holdings by purchasing a portfolio of six industrial properties in Manassas, Va., and has subsequently engaged JLL to manage the leasing of available space.
The transaction was facilitated by a JLL Capital Markets team consisting of Bill Prutting, Craig Childs and Chris Dale. The $55 million acquisition included Gateway Centre — a 102,277-square-foot industrial flex building constructed in 1988 and located at 7201-7401 Gateway Court — and Linden Business Center, a similarly sized, 109,809-square-foot property at 7245-7795 Coppermine Drive that was built in 2001. The assets total 212,086 square feet and were sold by a partnership between Davin Holdings and The Davis Companies.
Davin Holdings, a Florida-based owner and operator of industrial properties with a presence in both the Washington, D.C. and Florida markets, was founded in 2022 by Hank Dudgeon and Marc Yavinsky. The Davis Companies, based in Boston, is a real estate developer and manager with 49 years of experience. Their combined industrial portfolio comprises 46 buildings.
Penzance has announced its intention to actively lease both existing and forthcoming vacant spaces within the acquired industrial portfolio with available units ranging from 6,000 to 33,000 square feet. Additionally, the company plans to repurpose certain office-heavy suites into more traditional industrial spaces by implementing modifications such as increased ceiling heights and the installation of docking doors.
“In this supply-constrained northern Virginia market, high-quality industrial flex assets like these are becoming increasingly scarce, making this a particularly valuable addition to our portfolio,” said Lauren Kowall, Penzance’s senior vice president of investments.
The location of both business parks is well-suited to support northern Virginia’s data center market. Specifically, Prince William County, which is home to both Gateway Centre and Linden Business Center, contains more than 8.5 million square feet of data center facilities. And, according to JLL, the capacity in that county alone is expected to skyrocket by 80 million square feet in the next decade.
“JLL is tracking over 7 million square feet of industrial tenant displacement driven primarily by data centers,” Prutting said. “Given this trend, the Gateway & Linden portfolio is exceptionally well-positioned. It’s poised to retain current tenants who already supply goods and services to data centers, while also attracting new tenants ready to meet market rental rates in Manassas.”
If you’re looking to get ahead of opportunities in the northern Virginia region, check out the local listings of commercial real estate in Manassas, Va., or visit the CommercialCafe.com homepage to start your search.
