0 Cambridge Office Space Consumed by Tech Companies

Office space at Two Cambridge Place in Cambridge, MACurrently the East Cambridge/Kendall Square office market continues to see tight vacancies with increased rents. Of the 27 Class A buildings that list availability the average asking prices is $58.17 PSF this includes direct and sublets.  The rumblings are these prices will continue to march North squeezing those with limited financial capacity. The squeeze is due, in large part, to an influx of technology companies consuming clusters of prime commercial real estate in Cambridge.

According to a recent BBJ editorial, “the list of companies swallowing chunks of new space and driving up rents in the process reads like a Who’s Who of Silicon Valley. Amazon.com just locked in 100,000 square feet at 101 Main St., while Oracle Corp. and Twitter Inc. recently rolled up a flurry of acquisitions to bring their local footprints to 82,000 square feet and 30,000 square feet, respectively. Facebook is on the prowl for a local 5,000-to-10,000-square-foot toehold, while Google Inc. remains Boston Properties’ best friend as it incrementally adds to the 300,000-plus already under contract at 4 and 5 Cambridge Center.”

Follow the link to read the full Boston Business Journal article, Cambridge tenants get whipsawed by big tech

Cambridge Office Space for Lease
Commercial Real Estate in Kendall Sq.

0 East Cambridge Office Market One of Hottest in the Country

The office market in East Cambridge is one of the hottest in the country. Rental rates have increase by 15 – 20 percent in the last twelve months alone and don’t show any sign of letting up.

East Cambridge office vacancy and market stats graph

Photo Credit: SquarefeetJournalDotCom

At the CBA Event; Cambridge Looking Behind the Deals a question was asked, “Why don’t tenants look in alternate submarkets?”  The answer, “Because that’s where Harvard and MIT are.”  Truth be told, groups like Twitter, Microsoft and Google want to be there and can afford to be.  Those that get squeezed out are the real startups.