Overview
Cushman & Wakefield’s Mid-Atlantic Industrial Advisory Group is pleased to present exclusively for sale 8511 Pepco Place, Upper Marlboro, MD, a highly functional core asset totaling 202,976 SF featuring premium site attributes including full circulation, 190’ truck court, 218 parking spaces, and 75 trailer drops. The property is located directly adjacent to I-495 / I-95 allowing immediate access to the entire D.C. Metro region.
The property is fully leased to a single tenant, Harris Company, one of the nation’s largest mechanical contractors strategically tied to data center construction in the region. Harris, a preferred provider to data center hyperscalers, recently expanded into the balance of the building at 8511 Pepco Place and also fully occupies 75,000 SF at the neighboring warehouse (8520 Pepco Place) through 2031. Both properties serve as a key manufacturing and assembly hub for their data center contracting work in Northern Virginia.
8511 Pepco Place offers new ownership the opportunity to own a Class A asset in a premium location within Prince George’s County providing a 20-minute drive to downtown Washington DC and Northern Virginia with last mile access to 10.1 million consumers throughout the region (4th largest MSA in the country). 8511 Pepco Place represents the ideal core deal profile with 5 years of remaining lease term, 3.50% annual escalations, and 15% below market rents.
Investment Highlights
Core Plus Profile
- Class A product with core Washington DC Beltway location
- 100% leased to Harris Company with 5 years of WALT and 3.50% escalations
- In-place rents currently 15% below market
- Ability to achieve enhanced returns on a core asset acquisition in a primary market
Irreplaceable Infill DC Location
- Immediate access to the Capital Beltway (1-495/I-95) and Route 4 (Pennsylvania Ave)
- 10.1 million people in the broader DC Metro, 4th largest MSA in the US
- Extremely limited new supply, high barrier to entry location
- Replacement cost in PG County is over $300 PSF
Credit Tenancy & Data Center Growth
- Tenant is a national mechanical contractor specifically using the building to service data center projects in NOVA
- Regional data center development pipeline creates a long-term contracting runway
- Harris Company - Estimated $1.9B of annual revenue and preferred provider to data center hyperscalers
Prince George’s County Market Surge
- ±2 MSF of pending LOI’s, leases, and active tenants in the market for Class A buildings - potential to elimate the entirety of Class A vacancy in the market
- Explosive data center growth - 2.8M SF leased by data center vendors across the Mid-Atlantic in 2025 — nearly 3x the 1.0M SF leased in 2022
- 5.3M SF of data center vendor industrial demand across the DC Metro projected for 2026 based on MW delivery pipeline; potential 14.4M SF by 2027
Class A Asset With Premium Site Attributes
- 202,976 SF footprint with 27’6” clear height, 26 dock doors, and 2 drive ins
- 190’ truck court creating extra storage space for trailers
- Full circulation with 218 parking spaces (1.1 per 1,000 SF) - ±75 trailer drops
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