EASTON — ShoreGate Partners, an Easton-based commercial real estate investment, management and development company, has acquired 209 Chinquapin Round Road, a 32,000-square foot retail/warehouse building situated in the Annapolis Design District section of Anne Arundel County.
The company purchased the project, which is approximately 63 percent leased, from Annapolis Development, LLC for $5.55 million. Colin Penoyar of JLL represented the buyer in this transaction;, and the purchase was financed by The Peoples Bank in Chestertown.
Fronting Chinquapin Road and situated within close proximity to West Street, the single-story structure is contained on a 2.5-acre parcel of land and is centrally located within the downtown Annapolis area. Significant tenants include Maryland Paint and Loewen Windows.
The acquisition represents the second in the recognized Annapolis Design District for ShoreGate Partners, which also currently owns a showroom/warehouse building at the intersection of Virginia Street and Edgewood Avenue. 209 Chinquapin Round Road is contained within the same city block of this site which; according to the principals of ShoreGate Partners, makes this most recent purchase “an efficient add-on acquisition and will help create synergy between the two projects.”
“The energy that currently exists within the Annapolis Design District, coupled with the ongoing investment intended to create a trendy destination for multiple audiences, captured our attention and motivated us to take ownership positions in this area,” said Eric Zagorsky who, with Justin Nonemaker; co-founded ShoreGate Partners in 2014 and are principals of the company. “The dynamics in the district have changed dramatically in a short period of time; and we intend to upgrade our properties to take full advantage of this positive momentum.”
Defined as the area bound by West Street in the north, Chinquapin Round Road on the west, Legion Avenue on the east and Forest Drive on the south, the Annapolis design district contains an assortment of design, showroom, arts and other innovative entrepreneurial businesses.
ShoreGate Partners intends to immediately initiate an improvement and enhancement program focusing on both the interior and exterior of the building, to elevate the project to a “best-in-class” status in the Annapolis design district. The company expects to invest approximately $1 million in this effort and estimates to complete the package by this summer.
“We envision compelling retail uses for this previously overlooked building. Our aesthetic improvements will complement the already outstanding roadside visibility to provide a significant advantage in the leasing process to separate us from competing product within the immediate marketplace,” said Nonemaker.
ShoreGate Partners invests and manages a real estate portfolio containing a wide range of holdings including commercial and multi-family properties located throughout the Mid-Atlantic region. Representative projects include a medical office building in Bethesda and a flex/industrial project in Columbia.