Marcus & Millichap Negotiates $9.9 Million Sale of Retail Strip Center Near Washington, D.C.

Why It Matters

The deal underscores strong investor appetite for fully‑leased suburban retail assets near major metros, offering stable cash flow and upside development potential. It also illustrates how anchor tenants and undeveloped parcels can enhance a property's strategic value.

Key Takeaways

• $9.9M transaction for 13,417 sq ft retail center.
• Fully leased to three national tenants at sale.
• Shadow-anchored by Wawa, enhancing foot traffic.
• Undeveloped Lidl pad offers future expansion potential.
• Located 12 mi from Washington, D.C., attractive market.

Pulse Analysis

Suburban retail markets surrounding Washington, D.C. continue to attract capital, driven by limited supply of well‑located, fully‑leased assets. The $9.9 million price tag for a modest 13,417‑square‑foot strip center reflects investors’ willingness to pay a premium for proximity to the capital’s commuter belt, where consumer spending remains resilient. Compared with older, vacancy‑prone malls, newer centers built post‑2020 benefit from modern design, efficient parking, and visibility from major arterials, making them attractive for both institutional and private buyers.

The tenant roster at Andrews Park Town Center provides a textbook example of a balanced, cash‑flow‑stable mix. Advance Auto Parts delivers essential automotive services, Domino’s Pizza offers high‑frequency food sales, and Beyond Dental adds a health‑care component—each with differing lease structures that mitigate sector‑specific risk. The shadow anchor, Wawa, drives consistent foot traffic, effectively supporting the smaller tenants and enhancing overall lease performance. Such a tenant composition often translates to longer lease terms and lower turnover, key metrics that investors scrutinize when assessing yield stability.

Beyond its current income stream, the property holds strategic upside through the undeveloped Lidl pad. As grocery retailers seek suburban footprints, the site could be activated to generate additional rent or be sold as a stand‑alone asset, further boosting the investment’s total return. This blend of immediate cash flow and future development flexibility aligns with broader industry trends where investors prioritize assets that can adapt to evolving consumer habits while delivering reliable yields.