Council aids real estate partnership

November 21, 1995|By Shirley Leung | Shirley Leung,SUN STAFF

The County Council helped out a real estate partnership last night by approving a resolution allowing a state agency to take over a $2.8 million bond the county issued more than a decade ago to finance warehouse construction in Linthicum Heights.

The move will allow the Patapsco Associates Limited Partnership, which runs the 99,900-square-foot warehouse, to refinance its bond at a lower rate through the Maryland Industrial Development Financing Authority (MIDFA).

Attorneys for the real estate partnership said the owners hope to decrease their interest rate by one to two percentage points with new bonds -- a fiscal retooling that a county development agency said should help stimulate economic growth in Anne Arundel.

"Any time you can reduce costs like that it'll make them a strong competitor in the real estate market," said Michael S. Lofton, executive vice president of the Anne Arundel Economic Development Corp., a nonprofit agency that recruits businesses the county.

In 1982 and 1984, the county issued bonds totaling $2.87 million to finance the partnership's purchase of 5.8 acres in the 800 block of Barkwood Court and the construction of two warehouse buildings.

Since then, the partnership has paid off $365,000, leaving a balance of $2.5 million that will be refinanced through MIDFA.

The warehouse buildings are 91 percent leased and have 14 tenants.

The tenants include Associated Catholic Charities; Preferred Transport; Macedonia Marble; and BDP International, an import-export company, according to Steve Endres, the partnership's controller.

The warehouse operations employ 105 people, he said.

In other business, the council also voted unanimously to urge the state transportation secretary to make the upgrade of Route 32 a top priority.

State officials have said they do not plan to improve a 1.5-mile stretch along the boundaries of the National Security Agency and Fort Meade for at least six years. State highway officials have said the project, at $70 million, is too costly.

The upgrade would be the final link in making Route 32 an expressway between Annapolis and Columbia.

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