Ventura completed financing for the $14.6-acquisition of the Equitable Building last week. The 10-story class B office with 193,700 gross sf and 178,992 net rentable sf as well as street level retail, is located in the Center City neighborhood. Built in 1891, the building is recognized as the city's first skyscraper and is registered with the Maryland Historical Trust. The interior was renovated in 2000. The $14.6-million non-recourse, fixed rate mortgage was provided by an institutional lender.

Ventura says the downtown area is experiencing a resurgence of interest by companies that find Washington, DC too expensive and don't have a specific need to remain there. "The city has attracted some DC developers who see Baltimore as a great deal, both in purchase price per sf and in cap rates." Baltimore, he says, is 40% to 50% cheaper compared to the standard rate of $40 to $5 per sf in Washington. "If you can save $20 per sf that can be a significant savings year after year."

Many of the firms that are passing over DC to locate in Baltimore are smaller banking and insurance firms, Ventura adds. "In the 1980s there were a lot of these companies in Baltimore. But with the mergers in these industries a lot disappeared. Now, some are slowly come back."