Formerly known as a crime-ridden, decaying urban area, Baltimore has worked hard to clean up its image and is now thought of as one of the best places to live on the East Coast. With a diverse population, proximity to DC and plenty of amusements and attractions for both residents and visitors alike, Baltimore is the only stop in Maryland for many people.

Part of Baltimore's renaissance is the redevelopment of its blighted industrial waterfront. City development agents are working on acquiring the 23-acre parcel of land and auctioning it off in smaller parcels to private industrial companies and investors. City officials expect a good return once the area is cleaned up and investors are more easily able to appreciate the industrial area's perks such as proximity to the water and transportation. Private developers are planning to construct about 300,000 square feet of warehouse space and some other heavy industrial space. Development is proceeding even though demand is slightly down because industrial space in Baltimore is scarce due to the limited availability of land.


The Baltimore retail market is benefiting from the same mixed use development trend that is sweeping the nation. Increasingly, residents of Baltimore are demanding housing options that feature services like dry cleaning, small scale retail and dining, transportation and concierge services. Baltimore developers are just beginning to create housing that meets this demand. Other parts of Baltimore are seeing a hurting retail market. It's not that there isn't demand, and it's not that there isn't supply. The problem is that the current supply of retail property, particularly in some of Baltimore's more depressed areas, is inadequate to meet the needs of the retailers who want to move into the area. There are many mid-sized and larger retailers who want to move into some of Baltimore's overlooked depressed neighborhoods, but who can't because they can't find the appropriate real estate. As of yet, developers have not jumped on this opportunity and Baltimore's poorer areas are ripe for retail development.

While mixed use developments and condos may be hot in Baltimore, they are less so in Annapolis, Maryland's other major city. Indeed, the condo market has tanked in Maryland, as it has in many places across the country. Developers are trying to save themselves in a crisis by converting condo units to apartments and affordable housing developments. Across the state, there is about three and half years of condo inventory currently on the market or about to come onto the market.