Greater Boston has emerged as one the world’s top markets for real estate investment. Buildings in all classes and sizes sold across the landscape last year. This cross-section is evident in three transactions executed by our Capital Markets group in just the last 30 days.
We represented AEW Capital Management and Saracen Properties in the $56.7 million sale of One Washington to The Georgetown Company. The 18-story tower was purchased in 2006 by AEW and Saracen for $33.5 million. Located in the heart of Boston’s transforming city center, the property is 99% occupied, and is anchored by a flagship Staples retail store. It has significant upside potential.
Washington Street is reinvigorating its identity with high end retail, luxury residential, and mixed-use development, all surrounded by transit. “We were able to sell that vision of what is coming very soon,” said JLL Managing Director Frank Petz. “The response was overwhelming.”
We just closed the sale of Five Burlington Woods, a prime Route 128 office building that is 95% leased, on behalf of ELV Associates to Capstone Properties. Investors responded in earnest to the asset’s stable occupancy, and location in a fortress market. Burlington is redefining the suburban tenant experience, with investors and companies planning build-to-suits, expansions and relocations.
201-207 South Street, a boutique building in Boston’s Leather District, was acquired by Meritage Properties. The burgeoning neighborhood’s adjacency to South Station, and its unique mix of brick and beam buildings, retail, residential and commercial space, has made this part of Downtown a haven for innovation tenants.
“Boston is well past the recovery stage and into growth mode,” added JLL’s Jessica Hughes. “It continues to be one of the best metro stories in the nation. That popularity is unlikely to change in 2014. We are still very active, and are going to stay that way. Everybody wants to be here right now.”