First Potomac Realty Trust Signs 75,000 Square Foot Lease with FedEx ...

Tag : Square Wire

BETHESDA, Md.--(BUSINESS WIRE)--
First Potomac Realty Trust (NYSE:FPO) announced today that it has signed a five-year leasewith Fedex Ground, a subsidiary of FedEx Corporation (NYSE: FDX), forapproximately 75,000 square feet at 1920 Campostella Road in FirstPotomac's Diamond Hill Distribution Center in Chesapeake, Va. Thefacility will house the company's residential delivery service,FedEx Home Delivery.
Diamond Hill is a four-building industrial park, totaling 712,500square feet on 37.43 acres of land, located adjacent to Route 64.
"We are very excited to have FedEx Home Delivery as a tenant in ourSouthern Virginia portfolio," said Tony Beck, First Potomac'sregional vice president for Southern Virginia. "This lease helpscontinue the momentum at our Diamond Hill Distribution facility,which was 60% leased at the end of 2007 and is now 81% leased."
Scheduled renovations to the space are underway with FedEx HomeDelivery operations expected to occupy the space in the fourthquarter of 2008.
FedEx Ground will relocate its local FedEx Home Delivery operationsfrom a 32,000 square foot facility in Norfolk to the new DiamondHill location. The move is part of FedEx Ground's nationwidenetwork expansion plan which calls for the addition of seven newhubs, the expansion of 21 existing hubs and the expansion orrelocation of more than 230 local facilities by 2013. The expansionwill boost the daily package volume capacity of the FedEx Groundnetwork, which includes FedEx Home Delivery, from the current 3.8million to 5.6 million packages by the end of its 2013 fiscal year.
About FedEx Ground and FedEx Home Delivery
FedEx Home Delivery, a service of FedEx Ground, specializes inconvenient residential ground delivery service. With a network of500 distribution hubs and local pickup-and-delivery terminals,FedEx Ground has a workforce of more than 70,000 employees andindependent contractors and 20,000 motorized vehicles deliveringover 3.8 million packages daily throughout the United States,Canada and Puerto Rico. The company reported annual revenue of $6.7billion in fiscal year 2008.
About First Potomac Realty Trust
First Potomac Realty Trust is a self-administered, self-managedreal estate investment trust that focuses on owning and operatingindustrial properties and business parks in the Washington, D.C.metropolitan area and other major markets in Virginia and Maryland.The Company's portfolio totals approximately 11.4 million squarefeet. The Company's largest tenant is the U.S. Government.
Source: First Potomac Realty Trust