MARCH 2021, SEAFORD, DE- John McClellan and Kelly Jeter with SVN Miller Commercial Real Estate settle on Venture Business Center located at 180 Kent Drive in Seaford, DE. This is the second industrial investment in two years for the buyer- Baltimore based Kraus Development.
In April of 2019, Kraus Development purchased an office/warehouse flex complex on Naylor Mill Rd. Since the sale, they have made extensive renovations to the property including an upgraded parking lot, new roofs, and new landscaping/building facades. In just over a year, Jeter, in cooperation with the brokerage community, has fully leased the property which was purchased with a 97% vacancy rate. With the stabilization of their latest purchase, they were open to the opportunity of pursuing another investment opportunity if the right deal became available.
Venture Business Center, on Venture Drive in Seaford just across the street from the regional FedEx Ground facility, features six 5,000 SF warehouses that are fully leased. Tenants leasing on the property include Brinks, Ditchwitch, Polytechnic, K Supply, and WH Metcalfe. Additionally, there is a vacant parcel that could support another 5,000 SF warehouse, offering a buyer upside. The property was a clean, well kept, industrial investment opportunity that we identified as a valuable asset to grow the Kraus Development real estate portfolio.
The McClellan Team represented Kraus Development in a competitive offer scenario as multiple buyers were interested. The McClellan Team was able to procure a successful outcome and secure the winning bid. Additionally, with one lease nearing expiration, McClellan and Jeter were able to secure a strong tenant replacement and are currently finalizing a lease to once again, achieve 100% occupancy.
The McClellan Team was pleased to represent Kraus Development in the purchase and work with listing agent, Tom Knopp of SVN-Miller, to close the deal. Gail Foltz with Shore United Bank completed the financing of the transaction and Tomasetti Law completed the settlement.
The McClellan Team aims to add value to all of their clients in every facet of real estate. If you are interested in learning more about commercial real estate investing, please don’t hesitate to reach out to the McClellan Team at 410-543-2440 or john.mcclellan@svn.com / kelly.jeter@svn.com .
