A two-building industrial complex on Quarry Road in Milford has changed hands for $10 million at a property where current tenants have been paying below-market rates, creating an opportunity to raise rents as leases expire. The buyer, Albany Road Strategic Opportunity Fund LLC, acquired the 85,821-square-foot complex at 260-284 Quarry Road from LM Quarry Road II LLC, an entity tied to a prior owner that bought the property back in 2020.
According to Hartford Business Journal, the fund is managed by Boston-based Albany Road Real Estate Partners, while the seller, LM Quarry Road II LLC, is managed by LM Real Estate Partners. The complex sits on 7.74 acres near Interstate 95 and consists of two shallow-bay industrial buildings, the outlet reports. It is fully leased to multiple tenants, though CBRE, which brokered the sale, says those tenants are paying below-market rents — leaving the new owner room to push rates higher as leases expire.
A fully occupied property with below-market rents gives the new owner an opportunity to raise rates as leases expire, potentially boosting returns.
Who's Renting Space at Quarry Road
Tenants at the complex include Service Source Inc., RCW USA, Onofreo Home Comfort Systems and City Floors of New England, according to Westfair Business. Those businesses now rent from a new ownership group that has an opportunity, according to CBRE, to capture higher rents as current leases run out.
CBRE's Jeff Dunne, Steve Bardsley and Travis Langer, working alongside Matthew O'Hare of the firm's New Haven office, represented the seller and procured the buyer in the deal, the same Hartford Business Journal report notes. CBRE also characterized the Milford complex as well positioned in a historically strong market to maintain high occupancy and benefit from rising rental rates.
A Murky History on Price and Size
Exactly what LM Quarry Road II LLC paid when it bought the property in November 2020 depends on which account you read. Hartford Business Journal, citing Milford assessor records, puts that earlier purchase at $7.425 million, while Westfair, citing city property records, reports the figure as $7.45 million. Either way, the property has appreciated substantially in the six years since, selling now for $10 million.
There's a similar discrepancy over the complex's footprint. Sale coverage from Hartford Business Journal describes the property as 85,821 square feet on 7.74 acres, while an offering memorandum for the complex lists it at 86,720 square feet on 7.77 acres. The gap between those figures isn't addressed in the available records. A 2017 sale of the same property, then known as the Quarry Road Business Park, was reported by the Connecticut Post at $5 million, with the park described at the time as two identical one-story buildings of 43,360 square feet each on 7.7 acres.
Industrial Rents Climbing Across New Haven County
The Quarry Road sale lands amid a New Haven County industrial market that CBRE describes as tight. The firm puts the county's industrial vacancy rate at 7.6% and says rents have climbed 15% since 2022, with limited new construction expected to keep supporting rental growth, according to the same Hartford Business Journal report.
Other market trackers paint a more mixed picture of the broader region. CoStar reported that New Haven's industrial market opened 2025 with more than 500,000 square feet of negative absorption, reversing gains from two consecutive quarters of positive absorption at the end of 2024. By the fourth quarter of 2025, New England Real Estate Journal reported a combined Hartford/New Haven vacancy rate of 4.4%, with western New Haven County alone accounting for 390,000 square feet of negative absorption. More recently, Cushman & Wakefield found Central Connecticut's industrial vacancy rate ticked up to 4.5% in the second quarter of 2026, even as New Haven logged nearly 130,000 square feet of new demand at the midpoint of the year.
Another Big Industrial Deal in Milford
Quarry Road isn't the only industrial property in Milford to change hands for a hefty sum recently. HMC Real Estate Partners paid $16.65 million for an 11.8-acre industrial property at 65-145 Furniture Row, according to Hartford Business Journal's coverage of that deal. The main building there is fully occupied, while a separate outbuilding sits vacant and is expected to be offered for lease in 2027, with HMC planning facade and loading upgrades along with refurbishing the vacant space.
