201 North Charles Ground Lease Position_Property for Sale

201 N Charles St, Baltimore, MD, 21201-4102, US

201 North Charles Ground Lease Position

Description

JLL's Mid-Atlantic Capital Markets group is pleased to present a rare opportunity to acquire the leased fee interest in a property improved with a 268,645-square-foot, energy-efficient office tower located in Baltimore's CBD. The offering comprises approximately 0.304 acres subject to a long-term ground leased with ~87 years remaining (expiration 2112).

The leased fee position generates $348,047 of passive annual income, which will increase by 12.5% in 2028 and every five years thereafter. In addition, the lessor holds a purchase option on an adjacent land parcel, the rent for which, once the purchase option is exercised, will be incorporated into - and enhanced by approximately 25% - the stream of passive income.

The improvements were recently acquired on an all-cash basis by an entity controlled by a high-net-worth family that is directly engaged in the management of the Property.

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Attributes

Parcel Size:

13,241 SF / 0.304 acres

Lease Expiration:

August 31, 2112

Annual Payment:

$348,047

Escalations:

12.5% every five years, with the next adjustment to occur on September 1, 2028

Media

Investment Highlights

Rare Leased Fee Opportunity: Long-term leased fee interest under a 268,645 RSF, energy efficient (former LEED Gold-certified) office tower in Baltimore's Central Business District.
Long-Term Income Security: Ground lease with approximately 87 years remaining (expires 2112) provides durable and predictable cash flow.
Attractive and Growing Cash Flow: Current annual rent of $348,047, with scheduled 12.5% increases in 2028 and every five years thereafter.
Option to Purchase the Adjacent Land Parcel: Lessor holds a purchase option on an adjacent land parcel. Once exercised, the rent of the adjacent land parcel will be paid by Lessee to Lessor, providing to Lessor an additional increment of NNN income.
Quality Counterparty: The improvements were recently acquired in an all-cash transaction by an entity controlled by a high-net-worth family that is directly engaged in the management of the Property.
Premier Location: Positioned on Charles Street with unmatched access to I-83, I-95, light rail, metro, and bus stops. Just blocks away from the Inner Harbor and surrounded by Baltimore's major business, residential, and labor markets. Proximity to both of the Baltimore City circuit courthouses is an important differentiator.
Transforming Neighborhood: Downtown Balitmore is undergoing significant revitalization, with 2.7M+ SF of obsolete office inventory having been removed via conversions to residential use. Already, 5,300 new residential units have been delivered into the CBD, with 560 more under construction.