Credit: Boston Business Journal
The old parking garage — once, apparently, the largest parking garage in the United States — is getting more than just a makeover. CIM Group, of Los Angeles, is proposing a 17-Story residential tower on top of the existing structure.
According to the BBJ, “CIM Group intends to build a 233,500-square-foot residential tower, with 280 apartment and condominium units, that would rise up to 278 feet to the “top of the highest occupiable floor,” the March 1 letter of intent states…The development would also involve redeveloping 205,000 square feet of the existing Motor Mart Garage “to integrate the structural core of the new tower” and create 106,000 square feet of residential and retail space.”
Additional information is available on the Bizjournals website.
Your office rents in Boston are directly impacted by the distance to the nearest MBTA stop. Simply put, expect to pay more the closer you are.
Banker and Tradesman notes, “despite the departure of several large office tenants for the Financial District and Seaport, Back Bay still has Boston’s highest-priced office space. Buildings within a 5-minute walk of Hynes Convention Center station on the Green Line average $66.69 per square foot, partly reflecting the completion of Boston Properties’ 888 Boylston tower anchored by Natixis Global Asset Management.
You can read additional analysis on the impact of the MBTA on Boston office prices on B&T.
Security is changing in our office and retail centers with the introduction of Robots. Boston Properties is a leader with the introduction of their robot at the Prudential Center in May.
Credit: Boston Globe
From the Boston Globe:
Dennis Crowley, senior vice president with Allied’s integrated technology group, said a similar robot in California recently used its thermal imaging technology to identify a hair curler someone had left on at a boutique kiosk after closing for the night.
The robot alerted security guards at the nearby command center.
“So they were able to prevent a fire,” Crowley said.
Rood Deck, parking and a newly renovated lobby can all be found at 116 Huntington Avenue in Boston’s Back Bay. The 275,000-square-foot, 14-story building is situated directly across the street from 101 and 111 Huntington Avenue at the intersection of Ring Road and Huntington Avenue.
“We were drawn to its location in Boston’s most vibrant neighborhood and to the opportunity to reimagine it as a best-in-class office destination,” said Adam Popper, Columbia’s senior vice president for the Eastern region, in a statement. “We believe the penthouse space, with its wrap-around terraces, high ceilings, modern amenities and incredible views, will soon be recognized as one of Boston’s premier corporate environments, and we’re already seeing significant interest from prospects as we seek to fill the building’s remaining availability.”
Shawmut Design and Construction, the third-largest general contractor in Massachusetts, completed the $10 million renovation, which was designed by Dyer Brown. Work included upgrades to the building’s lobby, installing a glass facade and bronze panels along the building’s exterior, and adding close to 1,500 square feet of private outdoor terrace space for a future tenant for the 25,366-square-foot penthouse space.
745 Boylston Street in Boston’s Back Bay
Boston Realty Advisors has been retained by Upland Capital to exclusively represent 745 Boston Street in Boston’s Back Bay. The building is a 112,000 square foot 8 story building with Verizon and Max Brenner as the retail tenants.
The building currently has just over 18,000 square feet available and can accommodate tenants from 1,700 – 12,000.
• 745 Boylston Street Back Bay
• Property Brochure
• Floor plan
Image Credit: Boston Globe
The value option in Boston office leasing, the Financial District, holds the single largest concentration of office space and workers. Submarkets like the Seaport, Kendall Square, and Back Bay are pushing numbers in excess of the pre-2008 crash.
From the Boston Globe:
Data from the Boston office of Colliers International show that vacancy rates for the upper reaches of buildings in the Financial District — floors 20 and above — are at their highest in nearly a decade. And as a whole, the Financial District lost more tenants per square foot in 2016 than any other area in the city, ending up with nearly 850,000 more square feet of vacant space than in 2015…The Seaport District remains the new “it” address, with companies leasing an additional 400,000 feet of office space in 2016.
The air rights over the Turnpike might soon see the way forward for two new Back Bay Towers. The current plan for both buildings is residential with street-level retail.
According Curbed’s Boston vertical, “the whole affair hinges on building a 23,000-square-foot platform over the Turnpike…On that podium would go a six- to seven-story base for both towers. That base would contain 33,000 square feet of retail, amenities, and lobbies as well as 303 parking spaces.”
Additional info on 1000 Boylston is available on Curbed.
Credit: Boston Business Journal
The Boston office market is tight, with vacancy rates among the lowest in the nation; Boston shared the 5th spot nationally with Portland, OR.
The BBJ notes, “the percentage of office space that’s vacant in greater Boston is lower than all but six other major U.S. cities…Boston recorded an 11.9 percent office vacancy rate in the third quarter, down 0.9 percent from the year-ago period, according to the third-quarter office report from commercial real estate research service Reis Inc. That vacancy rate ties Boston with Portland, Oregon as the fifth-lowest in the U.S., behind New York (9.2 percent), Washington, D.C. (9.3 percent), San Francisco (10 percent) and Seattle (10.8 percent).”
You can read more on the Bizjournals website.
Image Credit: BankerandTradesman
Back Bay has options, many options due to the movement and relocation of various large tenants and the opening of 888 Boylston Street by Boston Properties.
You can go back two decades and we’ve never had a spike in vacancy of any sort in the Back Bay,” said Brendan Carroll, director of intelligence for Boston-based Encompass Real Estate Strategy. “Now all of a sudden, we’re starting to see some options.”
As of Sept. 30, Back Bay had the highest availability rate of any Boston submarket, according to Colliers International’s Market Viewpoint report. Including 434,419 square feet of sublease space, some 14.8 percent of the 13.3 million-square-foot inventory is now available.
Other factors include competition from build-to-suit projects such as Boston Properties’ 888 Boylston St. tower, where Natixis will relocate. Wells Fargo and Houghton Mifflin are moving to the Financial District, taking space vacated by tenants that in turn committed to brand-new towers in the sought-after Seaport.
75 Arlington Street in Back Bay
Liberty Mutual Insurance is looking to take some cash off the table with their announcement that they will be selling 10 St. James Ave. and 75 Arlington St. in Back Bay.
10 St James Avenue
• 565,758 RSF
• 19,606 RSF/Floor
• 20 Stories
• Built in 2001
• 400 Parking Spaces
• Last sale was $342,700,287 in January of 2006
75 Arlington Street
• 244,000 RSF
• 25,000 RSF/Floor
• 00 Stories
• Built in 1914
• Last sale was $147,799,713 in January of 2006
From the BBJ:
The Boston-based insurer occupies about 40 percent of the 825,000 square feet of space in the two buildings, it said. In recent years, Liberty Mutual has moved some employees from the buildings into its new 22-story headquarters at 157 Berkeley St. that opened in 2013.
“We’re selling now because we fully occupy our new building,” spokesman John Cusolito said in an email. “The (St. James Avenue and Arlington Street) buildings are 96 percent occupied; however, owning and operating investment properties is not our primary business.”