Bethesda, MD, November 10, 2021 –
Galloway Group, Inc. announced its initial foray into the flex industrial space with the off-market acquisition of Spring Street Business Park, a three-building 53,268 square foot industrial portfolio in Fairfax, Virginia. Phillips Realty Capital’s Malcolm Shaw and Bill Wrench secured $7.5 million in debt financing from FVCbank as part of a $11 million capitalization, with funds raised from multiple equity investors, with a major portion of the equity provided by the recently formed Audeo Partners. Next-Realty Mid-Atlantic served as agent for the Galloway Group.
“After having slugged it out in the retail world for 5 decades, we are excited to add a flex/ industrial asset to our portfolio,” said George Galloway. “We think this is the right time to enter this growing market, and we are looking for additional opportunities to invest in well-situated industrial properties like Spring Street in the Mid-Atlantic region.”
The 100% leased Spring Street Business Park is comprised of three adjacent buildings on a 2.88-acre parcel situated in a hyper-infill and accessible location in Fairfax, VA. The masonry constructed properties were built in 1988 and encompass a mix of industrial uses including warehouse, light industrial and service industrial. The typical bay is approximately 2,180 square feet, 18’ to 22’ high ceilings with 12’ x 12’ overhead insulated roll-up garage doors, tempered glass paneled entrance doors, and tempered fixed windows.
“The acquisition represented a rare off-market opportunity to purchase such a well-located, fully occupied portfolio in one of the most supply constrained industrial markets in the country,” said Shaw. “This will be a natural fit for Galloway as he brings several decades of experience from the retail sector into such a in-high-demand asset class. Capital sources recognized this deal as a strong sponsor seizing a value-add opportunity, so we were able to structure favorable terms and close quickly.”
About Galloway Group, Inc.
George Galloway, sole owner of Galloway Group, has been in the commercial/retail real estate industry since 1984. He has been directly involved in the identification, pursuit, acquisition, development, redevelopment and disposition of hundreds of commercial properties in Texas, Virginia, District of Columbia, Maryland, West Virginia, Pennsylvania, New Jersey, and other states. George Galloway is also Managing Principal of Next Realty Mid-Atlantic, LLC (“NRMA”), a boutique consulting and brokerage firm based in Arlington, Virginia where he has been an integral part in strategic planning and implementation of expansion plans for dozens of retail and restaurant companies in 52 markets and 28 states.
FVCbank is a wholly-owned subsidiary of FVCBankcorp, Inc. (NASDAQ: FVCB) that commenced operations in November 2007. FVCbank is a $1.98 billion asset-sized Virginia-chartered community bank serving the banking needs of commercial businesses, nonprofit organizations, professional service entities, their owners and employees located in the greater Baltimore and Washington D.C. metropolitan areas. FVCbank is based in Fairfax, Virginia, and has 9 full-service offices in Arlington, Fairfax, Manassas, Reston and Springfield, Virginia, Washington D.C., and Baltimore, Bethesda, and Rockville, Maryland. For more information, please visit the Investor Relations page of FVCBankcorp, Inc.’s website, www.fvcbank.com.
About Audeo Partners
Audeo Partners is a real estate development and advisory firm formed earlier in 2021 by industry professionals Madi Ford and Michael Meers. Based in in Washington, D.C., Audeo is a collective of highly skilled and diversified real estate professionals offering unique value add development and real estate investment opportunities to our partners while providing clients with trusted real estate guidance and solutions. Our team is small enough to be entrepreneurial and nimble with skillsets developed in large companies working on complex, transformative projects. Audeo’s partners have access to pools of capital, extensive relationships in the Mid-Atlantic region, and have worked for national institutional real estate firms as well as local family owned and operated real estate businesses. For more information, visit www.audeopartners.com.
About Next Realty Mid-Atlantic, LLC
Next Realty Mid-Atlantic is one of Washington-Baltimore’s premier commercial real estate brokerage firms. With an office in Arlington, Virginia, Next Realty Mid-Atlantic serves the DC, Maryland and Virginia region with tenant and landlord representation services, consulting, strategic planning and a host of other services.