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Fenway’s Phoenix

BOSTON — Having a building firecan be as helpful to property valuesas a pig farm opening next door, butsomehow, a blaze at 84 The Fenwaygave suitors little pause when the 22-unit apartment building was put on

THE REAL REPORT

continued on page 17

AUGUST 12, 2013

A COMPENDIUM OF COMMERCIAL PROPERTY & CAPITAL NEWS

THIS WEEK’S ISSUEPro-Life in Lexington. . . . . . . . . . . . . . 2Big Numbers . . . . . . . . . . . . . . . . . . . 4Financing Industry . . . . . . . . . . . . . . . 6Congress Sells Out . . . . . . . . . . . . . . . 6Peabody Pride . . . . . . . . . . . . . . . . . . 7 BY JOE CLEMENTS

BOSTON — Thelandmark disposi-tion of a half-inter-

est stake in One POSquare for a price of$680 per sf did involveEastdil Secured in theprocess, seller EquityOffice is acknowledgingthrough its parent com-pany, Blackstone. “Wecan confirm that Eastdil

C&W Listing 130,000-SF Palomar HQ

84 The Fenway, Boston MA

BY JOE CLEMENTS

BURLINGTON — Start with a majorcompany reverse commuting toInterstate 495 from this Route 128

hotspot, and there is plenty more intrigu-ing news in the listing of a 130,000-sf com-mercial building at 15 Network Dr.through Cushman & Wakefield, a dealexpected to hit the streets this week.Estimates of pricing from $23 million to$25 million were not open to discussion by

BY JOE CLEMENTS

BROOKLINE — In seekingreal estate they can bankon, the Grossman Cos.

has acquired a building othersbank in, last week paying $2.2million for 429 Harvard St. in adeal backed by CambridgeSavings Bank financing of $1.5million. The brick-faced struc-ture houses a top-performingCitizens Bank and the lot of

continued on page 14 One Post Office Square, Boston MA

Blackstone Confirms Eastdil asAdvisor on $275M Trophy Sale

Grossman Buys Again on ‘Main Street’15 Network Dr., Burlington MA continued on page 16

continued on page 15 429 Harvard St., Brookline MA

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2 THE REAL REPORTER August 12, 2013

BY MIKE HOBAN

LEXINGTON — King Street Propertiescontinues to bring tenants to its183,000-sf Lexington Science Campus

on Hartwell Avenue, as the Waltham-baseddeveloper and investorrecently inked Dutchgene therapy companyuniQure to a 10-yeardeal establishing its USheadquarters at the parkwhere it will occupy a53,000-sf mix of labora-tory, manufacturing andoffice space. PrincipalStephen Lynch tells theReal Reporter that thedeal brings the total to80,000 sf of transactionsat the campus in 2013,with uniQure being thesecond internationaltenant to sign on since

January. Sekisui Diagnostics, a subsidiaryof the Tokyo-based Sekisui Chemical Co.,previously signed a 19,000 sf deal at 4

Hartwell Pl. that was announced in March.“I think this is significant because it’s a

reflection of the growing internationalreputation of the science node that’s beingcreated by us and others along HartwellAvenue in Lexington,” says Lynch. “Wehave seven tenants now, and three comefrom Kendall Square (Abpro, Quanterixand T2 Biosystems), and now we’ve gotthe two international companies as well astwo companies that come from elsewherein the US.”

Following a seven-month build out due

to the “ultra-state of the art” requirementsfor the facility, uniQure will move intotheir new facility next spring. The dealwas brokered by Cushman & WakefieldExecutive Directors Mark Winters andRichard Ruggiero. Winters says the deal issignificant for the suburban lab marketbecause “it’s the largest suburban lab dealthat’s been done in the last two years,”even though he insists Cambridge has notlost any of its allure.

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BY JOE CLEMENTS

BETHESDA, MD — Figures of 91 percent loan originationgrowth, 94 percent revenue growth and 65 percent netincome growth over Q2 2012 “are great numbers for the

quarter,” Walker & Dunlop Chairman and CEO Willy Walkerdeclared last week in a press release showing plenty for the bur-

geoning commercial real estate lender to besmiling about heading into Labor Day.Originations of $2.6 billion were not only morethan the total $2.01 billion for the entire firsthalf of 2012, but also exceeded the entire fig-ure recorded in all of 2009, Walker laterrecounted in an earnings conference call.

Walker was unavailable to discuss theresults with the Real Reporter, but ChiefFinancial Officer Stephen P. Theobaldacknowledged his inaugural quarter at the firmafter replacing the retiring Deborah Wilsonwas a solid one for a company now ranked thetop Fannie Mae DUS lender in the country for2012 and named 10th largest commerciallender in the country—third largest on multi-family—by the Mortgage Bankers Associationof America. “We’re pleased with the perform-

ance of the quarter . . . and we feel good about the remaining fivemonths,” Theobald says in a phone interview from Walker &Dunlop’s Maryland headquarters. “Our producers are very busyright now and it looks that is going to continue to be the case.”

Total revenues rose to $90.7 million in Q2 versus $46.7 millionfor the same three months in 2012, while adjusted net incomerose 57 percent to $14.5 million. The servicing portfolio of $37.9billion represents a 116 percent gain over midyear 2012, helpingservicing fees reach $22.4 million, up 128 percent from Q2 2012.

About the only tabulations with any negative tinge would beexpenses growing by 112 percent to $66.9 million, and a scalingback of loan origination projections for the year from $10 billion

Walker & Dunlop Crests$2.6B in Q2 Originations



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BY JOE CLEMENTS

EAST BOSTON — At first glance, McClellan Highway hereacross from Suffolk Downs and South Boston in WhiteyBulger’s killing fields appear more likely lined with grease

than gold, but that is not the way lenders are viewing the land-scape there and in other thriving industrialmarkets. Among the most substantial financ-ing deals of their ilk through mid-year,Brookline Bank doled out $19.6 million to refi-nance an air-cargo facility across from SuffolkDowns and People’s United Bank last monthput up $30 million on One Harbor St., a mod-ern 209,000-sf warehouse in the emergingSeaport District, whose glitz and glamour is

largely prohibited by law from invading the gritty neighborhoodeast of D Street in an attempt to preserve Boston’s working portfrom gentrification.

440-480 McClellan Hwy., East Boston MA

Despite Deficit in Cache,Industrial Awash in Cash


PORTSMOUTH, NH—The former Portsmouth Baking Co. con-dominium unit at 121 Congress St. has been sold, listing bro-ker Jody Skaff of the Kane Co. has announced. The buyers,

who plan to open an Asian fusion restaurant inthe prominently located development, wereadvised by Michael LeClaire of Costantino RealEstate. According to Skaff, clients Ed Connollyand Harvey Hosack have relocated out of thearea following the unit’s exchange.

Renovated in 2011, the unit “generated agreat deal of interest during the term of thelisting,” Skaff reports in a press release where

she describes the unit as “one of the premiere retail propertiesavailable for sale in the market.” Especially in the summermonths, Portsmouth is a bustling tourist town that helps bolstera thriving restaurant business. The Kane Co. is one of theSeacoast’s oldest and most established CRE firms, active in retailand other product types. n

Jody Skaff

Skaff Completes NH Sales Assignment

Jay Wagner

August 12, 2013 THE REAL REPORTER 7

BRAINTREE —P e a b o d yProperties Inc. has

announced the promo-tions of two companyprofessionals at the full-service real estate firmthat manages more than10,000 housing units inNew England. LynneSales has been appoint-ed Regional ResidentServices Manager, whileKristen Brophy hasbeen elevated to thepost of ResidentServices Manager.

“The commitmentand diligence demon-strated by Lynne andKristen is remarkable,”Peabody Properties Inc.CEO Karen Fish-Willsays in a press releasewhere she says the pro-motions “reflect the

hard work and dedication” of the pair, aswell as the continued expansion ofPeabody’s resident services practice. Infostering that aim, “we anticipated thecontinued growth and success of these val-

ued members of our team,” says Fish-Will.As Regional Resident Services

Manager, Sales is responsible for manag-ing a staff of nine Resident Services

A E R I A L P H O T O G R A P H Y S E R V I C E S 6 1 7 . 4 3 5 . 9 2 1 4 D E R E K S Z A B O . C O M

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North EndJune 2012

Mishawum Park, Charlestown MA

Peabody Properties Promotes Prized Pair


Kristen Brophy

Lynne Sales

Karen Fish-Wil


A U G 2 N D

BUYER: Fenway Residential Properties LP, man-aged by Jeffrey A. Libert; and 1439 CursonPartners LP, managed by Lucille Hotnog, presidentSELLER: Hall Keen Spring Hill LP, mgd. byAndrew P. Burnes, pres.; and John L. Hall II, treas.PRICE/ADD: $22,250,000; 55 Summer St.,Plymouth MTG: $19,800,000* from Webster BankNOTES: Multifamily property, constructed 1967;24 units; building size is 23,725 sf, lot size is 4.5acres; seller acquired property in Jan. 1997; *mort-gage also covers 2 and 3-5 Edes St., Plymouth

MTG: $11,462,500 from First Niagara BankADDRESS: 1660 Soldiers Field Rd., BostonBWR: Tara 1660 LLC, mgd. by Philip Haughey Jr.

BUYER: HRI Putnam Square LLC, managed byHomeowner’s Rehab Inc.SELLER: Putnam Square Apartments Co. LP,managed by Harvard University HousingPRICE/ADD: $9,285,000; 2 Mt. Auburn St.and 5 and 11 Putnam Ave., CambridgeMTG: $6,000,000 from CommunityEconomic Development Association Corp.NOTES: Multifamily properties; 2 Mount AuburnSt. an 11-story tower const. 1974; 94 units;building size is 71,575 sf, lot size is 14,875 sf

MTG: $8,712,000 from Boston PrivateBank & Trust Co.ADD: 111 Lawrence Ave., Framingham BWR: Bishop 108 Associates LP, mgd. by DonaldA. Levine, president; and Lewis Heafitz, treasurer

MTG: $8,320,000 from Brookline BankADD: 300 Jubilee Dr., PeabodyBWR: Brookwood Jubilee LLC, managed byBrookwood Real Estate Partners

MTG: $3,750,000 from JPMorgan Chase BankADD: 9 and 21-23 Knapp St., BostonBWR: 9 and 21-23 Knapp Street Realty TR,managed by De Luu Chen and Henry G. Chen

MTG: $3,500,000 from TD BankADD: 22 Church St., EverettBWR: Devens Everett LLC, managed byAnthony Cassano and Delia G. Cassano

MTG: $3,000,000 from Walpole Co-Operative BankADD: 1400 Centre St., a/k/a 77 Paul St., Newton BWR: Mark F. Donato, trustee of Paul AtCentre Street Realty TR

MTG: $2,247,484 from Brookline BankADD: 1238 Chestnut St., Newton BWR: Creative Development ManagementLLC, managed by Charlotte F. Maynard

MTG: $1,968,000 from Middlesex Savings BankADD: 53 Church St., Hudson BWR: South Middlesex Non Profit Housing Corp.,managed by James T. Cuddy, Executive Director

MTG: $1,800,000 from Rollstone B&T Co.ADD: 77 Chalmers St., Leominster BWR: Kathleen Hussey, trustee of Town &Country Realty Trust VII & VIII

MTG: $1,600,000 from JPMorgan Chase BankADD: 25-27 Church St., a/k/a 23 Church St.and 25 Church St., Boston BWR: Mitreon Partners LLC, managed by MarkC.K. Lu and Sean Sacks

BUYER: Christian Mission PentecostalTabernacle of Cambridge Inc.SELLER: Grace Vision United MethodistChurch, mgd. by Youngsheen Ahn, president;and Dong Lee, treasurerPRICE/ADD: $1,500,000; 56 Magazine St.,CambridgeNOTES: Church property, constructed 1913;building size 11,450 sf, lot size is 7,750 sf;seller acquired property in Sept. 1882

BUYER: The Reserve At Merrimack Valley GolfClub LLC, managed by Thomas E. NeveSELLER: Neve Holdings Inc., mgd. by Thomas Neve PRICE/ADD: $1,400,000; Lots 61A, 63, 64,66A, 67A, 69A and 74 The Village atMerrimack Greens, Howe Street, Methuen MTG: $900,000 and $1,000,000 from EastBoston Savings BankNOTES: Land parcels; lot size totals 1.7 acres

A U G 1 S T

BUYER: DSF IV Tewksbury Owner LLC, man-aged by The DSF GroupSELLER: GRE Tewksbury Property LLC, mgd. bythe Dolben Cos. and Guggenheim Real Estate

PRICE/ADD: $46,750,000; 7 Archstone Ave.and 11 Old Boston Rd., Tewksbury NOTES: Multifamily community, constructed1990; 245 units; seven residential buildings andone clubhouse; lot size is 41.2 acres; sellersacquired property for $42,000,000 in Dec. 2006

MTG: $17,000,0000 and $45,000,000 from ThePrudential Life Insurance Co. of AmericaADD: 5, 74 and 130 Turner St., Waltham BWR: Stony Brook Holding LLC, managed byStephen J. Spey

MTG: $25,000,000 from Boston Private B&T Co.ADD: 1440 Beacon St., BrooklineBWR: 1440 N8 Owner LLC

MTG: $10,550,000 from Cambridge Trust Co.ADD: 48 and 52 Lake Ave., WoburnBWR: Horn Pond Apartments LLC, managed byTrue North Capital Partners

MTG: $10,500,000 from Blue Hills BankADD: 260 Needham St., Newton BWR: Northland 260 Needham LLC, mgd. bySteven P. Rosenthal, president and CEO,Northland Residential

BUYER: Ronit Hospitality LLC, managed byNational Safe Harbor Exchanges, CaliforniaSELLER: Wedge Hotels Trustee Corp., man-aged by Brian C. Stage, presidentPRICE/ADD: $8,000,000; 10 IndependenceDr., ChelmsfordMTG: $6,400,000 from Northern B&T Co.NOTES: Hotel property; first building con-structed 1992; building size is 78,025 sf, lotsize is 6.8 acres; second building constructed1987; building size is 42,975 sf; third buildingconstructed 1987; building size is 64,875 sf;last sold for $6,000,000 in Dec. 1992

Commercial DealsMILLION DOLLAR MORTGAGES/SALES JULY 29 - AUGUST 2, 2013

continued on page 9

Baystate Medical Center has scooped up a 38,725-sf medical office building at 3400 Main St. in Springfield,paying $6,500,000 to Stutz Realty LLC, an entity managed by George W. Holman. The seller paid $130,968for 3400 Main St. in May 1988, the same year the building that sits on a 2.3-acre parcel first came on line.


MTG: $6,944,000 from Berkshire BankADD: 60 Evans Dr., Stoughton BWR: J. Edward Downes III, a/k/a James Downes,and Roderick Reader, trustees R and D Realty TR

BUYER: 99 Erdman Way Holdings LLC, man-aged by CWCapital Asset ManagementSELLER: Driftwood Hospitality Management IILLC, receiver-in-possession of the Four Pointsby Sheraton Leominster HotelPRICE/ADD: $5,100,000; 99 Erdman Way,LeominsterNOTES: Hotel property; 187 rooms; buildingsize is 45,000 sf, lot size is seven acres

MTG: $4,350,000 from Avidia Bank ADD: 353 John Fitch Highway, FitchburgBWR: Peace and Grace Realty LLC, managedby Emil K. KhalilBWR: LCW 108 Newbury LLC

BUYER: Reardon Realty MA Inc., managed byJason J. Reardon, presidentSELLER: 1 Lewiston Street LLC, managed byVincent J. Geoffroy PRICE/ADD: $2,200,000; 343 DillinghamAve., Falmouth MTG: $2,132,000 from Bristol County SBNOTES: Retail property, constructed 1967; autodealership; building size is 10,075 sf, lot size is1.7 acres; last sold for $1,150,000 in Nov. 2008

MTG: $1,968,000 from Middlesex SBADD: 25 Catherine St., 21-23 Ives St., 141Providence St., 54 Queen St., 7-9 WoodlandSt. and 6 Wyman St., Hudson BWR: South Middlesex Non-Profit HousingCorp., managed by James T. Cuddy

MTG: $1,660,000 from Bank of CantonADD: 243-245 Willard St., QuincyBWR: Galvin Commercial Holdings LLC, man-aged by Sean W. Galvin

MTG: $1,594,012 from Northmark BankADD: 18A and 18B Blueberry Ln., Lots 1 and 2;and Mulberry Lane, Parcels A and B, LexingtonBWR: Winning Estates LLC, mgd. by Gary Ruping

MTG: $1,500,000 from First Ipswich BankADD: 55 Berkshire St., SwampscottNOTES: Milton Tariq,, trustee of 55 BerkshireStreet Realty TR

BUYER: Route 53: 1255 Washington StreetLLC, managed by Steven R. LameirasSELLER: Albert R. Schofield Jr., trustee ofWoodrock 30 Nominee TRPRICE/ADD: $1,350,000; 30 Woodrock Rd.,Weymouth

MTG: $1,120,000 from Rockland Federal CUNOTES: Industrial property, constructed 1975;building size is 15,000 sf, lot size is 1.3 acres;seller acquired property for $56,000 in Oct. 1969

MTG: $1,300,000 from Enterprise B&T Co.ADD: 150 Industrial Rd., Leominster BWR: 150 Industrial Road LLC, managed byJohn Clermenti

MTG: $1,200,000 from Watertown Savings BankADD: 126 Harvard St., BrooklineBWR: Harvard Brookline Series LLC, managedby Frank A. Stasiowski

BUYER: Sheridan Development LLC, managedby Paul CammarataSELLER: William W. CovellPRICE/ADD: $1,025,000; 9-11 Sheridan St,CambridgeNOTES: Multifamily property, const. 1910; fourunits; building size is 4,025 f, lot size is 3,825 sf;seller acquired property for $30,000 in Dec. 1973

BUYER: 192-194 Franklin Street LLC, man-aged by Stephan Dubouloz, James T. Orfanosand Terry E. OrfanosSELLER: Chandraleela Harrington and MelvinP. Holmes, trustees of Marsat Realty TRPRICE/ADD: $1,000,000; 192-194 FranklinSt., CambridgeMTG: $1,777,000* from Bank of CantonNOTES: Pair of residential properties; 192 FranklinSt. const. 1873; house size is 2,375 sf, lot size is3,800 sf; eight bedrooms and two baths; 194Franklin St. const. 1902; house size is 1,075 sf; twobedrooms and one bath; sellers’ ownership in prop-erty dates to April 1985; *construction mortgage

J U LY 3 1 S T

MTG: $7,500,000 from Leader BankADD: 20 Englewood Ave., BostonBWR: Green Eyes Environmental LLC, man-aged by Jeffrey M. Feuerman

MTG: $3,250,000 from Boston Private B&T Co.ADD: 752 Tremont St., Units A, C, 8, 10 and11, Boston BWR: Paul G. Roiff, trustee of 752 TremontStreet TR

MTG: $2,280,000 from United BankADD: 21 Fruit St. and 267 Mill St., WorcesterBWR: 21 Fruit Street Realty TR, managed byMinh Mailoux and Robert Mailioux

MTG: $2,265,509 from Bank of AmericaADD: 146 South Main St., #B, Milford BWR: So. Main Plaza LLC, managed by GlennFinkelstein

MTG: $1,500,000 from Eastern BankADD: 681-683 Washington St., BostonBWR: Hayden Building LLC, managed by KathyKottaridis, executive director, Historic Boston Inc.

BUYER: Ninety-Four Wells Avenue InvestorLLC, managed by Bruce LevineSELLER: Rosemary Office Associates LP, man-aged by Donald A. Levine, presidentPRICE/ADD: $1,756,810; 145 Rosemary St.,NeedhamNOTES: Office property, constructed 1954;building size is 61,100 sf, lot size is five acres;last sold for $6,050,000 in Nov. 1995



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BUYER: Dana Hall Schools, mgd. by Caroline ErismanSELLER: Catherine Solter and Steven SolterPRICE/ADD: $1,601,000; 9-11 Hampden St.,Wellesley NOTES: Single-family Tudor, const. 1920; house sizeis 5,550 sf, lot size is; eight bedrooms, four baths andtwo half-baths; last sold for $166,500 in Aug. 1979

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MTG: $107,566,045* from Wells Fargo BankADD: 300 Harrison Ave., Boston BWR: Ink Block LLC, mgd. by National DevelopmentNOTES: *Construction mortgage

MTG: $29,000,000 from Nationwide LifeInsurance Co.ADD: 130-158 Congress St., BostonBWR: Post Office Square Redevelopment Corp.,managed by William F. McCall Jr., president

MTG: $11,340,000 from Rockland Trust Co.ADD: 640-6 50 Concord Ave., CambridgeBWR: Neville Communities Home Inc., man-aged by Michael Haran, president

BUYER: AVB Maple Leaf Apartments LP, man-aged by AvalonBay Communities Inc.SELLER: ASN Maple Leaf (Office) LLC, man-aged by AvalonBay Communities Inc.PRICE/ADD: $9,950,000; 23 East St., a/ka/10 Glassworks Ave., CambridgeNOTES: Multifamily property, constructed 1929;104 units; building size is 60,950 sf, lot size is31,850 sf; last sold for $7,279,210 in April 2002

MTG: $8,020,000 from East Boston SBADD: 28 Cedar St., and 335 Washington St., WoburnBWR: 335 Washington Street LLC, managedby George T. Albrecht

BUYER: Baystate Medical Center Inc.SELLER: Stutz Realty LLC, mgd. by George HolmanPRICE/ADD: $6,500,000; 3400 Main St., SpringfieldNOTES: Medical office property, constructed 1988;building size is 38,725 sf, lot size is 2.3 acres; selleracquired property for $130,968 in May 1988

MTG: $6,500,000* from Red MortgageCapital LLCADD: 2251-2311 Washington St., Newton BWR: New Falls Associates LP, managed byJohn R. Barkan, treasurer of Mel A. Barkan Inc.NOTES: *HUD multifamily mortgage; NewFalls Apartments

MTG: $6,300,000 from Walpole Coop BankADD: 1833-1853 Massachusetts Ave., LexingtonBWR: The Giroux Building LP, managed byJames A. Manganello, president and treasurer

BUYER: Wells Avenue Business Center LLC,managed by Andrian ShapiroSELLER: 145 Wells Partners LLC, managed byDavid M. RosenbergPRICE/ADD: $3,700,000; 145 Wells Ave., NewtonMTG: $1,540,000 and $2,200,000 fromBrookline BankNOTES: Office/flex prop.; building size is17,725 sf, lot size is 2.1 acres; last sold for$3,200,000 in April 2013

MTG: $3,400,000 from Cambridge Trust Co.ADD: 27 Cambridge St., and 6 Lincoln KnollLn., Burlington BWR: Robert W. Murray, trustee of Lincoln Knoll TR

MTG: $2,600,000 from Farm Credit East ACAADD: 71 and 89 High Rd., NewburyBWR: Matt Kozazcki, trustee of M&GFarmland Realty TR

BUYER: Blue Bird MHC LLC, mgd. by Matthew UdellSELLER: GL Realty LLC, managed by Mark P.Grochmal and Stanley R. Grochmal Jr.PRICE/ADD: $2,137,000; Fuller Road andLombard Road, Parcels 1 and 2, ChicopeeMTG: $325,000 and $1,925,000 from GLRealty LLCNOTES: Mobile home park; 168 units; lot size is29 acres; sellers inherited property in July 1983

MTG: $2,100,000 from Monumental LifeInsurance Co.ADD: New York Avenue, Lot 56-C-1, Framingham BWR: Framingham Express LP, managed byJohn F. Jaeger, president and treasurer

MTG: $1,800,000 from Century B&T Co.ADD: 17 and 17R Holton St., and 34 HoltonSt., Woburn

BWR: Richard Maggio and Robert Maggio,trustees of Lorraine Realty TR

MTG: $1,520,000 from East Boston SBADD: Norma Lane, Lot 7, Middleton BWR: John Zirpolo, trustee of MZX3 Realty TR

BUYER: 65-73 Essex Avenue LLC, managed byKenneth H. BlackSELLER: A&T Holdings LLC and Faye HoldingsLLC, managed by Anthony TaliadorosPRICE/ADD: $1,500,000; 65-73 Essex Ave.,GloucesterNOTES: Retail property; first building const. 1920;first building size is 3,650 sf, lot size is 14,000 sf;seller acq. property in May 1973; second buildingconst. 1989; building size is 3,200 sf

J U LY 2 9 T H

MTG: $6,600,000 from Middlesex SBADD: 28 Goodhue St., Salem BWR: North River Canal LLC, managed byLouie Roberto and Rita M. Roberto

BUYER: 34 N. Pearl Street LLC, mgd. by Avi LipschutzSELLER: Braemoor Rehabilitation and NursingCenter Inc., f/k/a Braemoor Nursing Home Inc.,managed by Michael J. Roland, presidentPRICE/ADD: $6,000,000; 34 North Pearl St.,Brockton NOTES: Healthcare facility, constructed 1973;nursing home; 120 units; building size is56,575 sf, lot size is 3.6 acres; seller’s owner-ship in property dates to Dec. 1967

MTG: $5,844,000 from East Boston SBADD: 821-833 Beacon St., and 1261-1263Centre St., Newton


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to $12 billion to between $9 billion and$11 billion. Walker & Dunlop had initiallypegged the range from $8 billion to $10billion, but had such a robust launch to2013 that it ratcheted them upwards inlate January.

The X factors that prompted the latestadjustment came in the US Housing &Urban Development being forced to scaleback its healthcare and housing loan pro-grams when Congress short-funded theirallocations for both the first half of FY2013 and the second half that wraps up onOctober 1st. Meanwhile, GSE-lendersFannie Mae and Freddie Mac were told toreduce their annual allocations by 10 per-cent.

Theobald says there was an interrup-tion in commitments during the first halfbut HUD is still funding for the second halfeven though there remain fears the wellwill again run dry after Congresseschewed a $5 billion increase sought byindustry trade groups such as the MBAA.

Fannie Mae and Freddie Mac are alsostill in business—as evidenced in a 26 per-cent gain in Walker & Dunlop’s secondquarter originations with Fannie Mae and176 percent surge with Freddie Mac to$616 million. One result has been in FannieMae being more selective in where it lendsand what products to concentrate on,explains Theobald. “We do think we are get-ting a better handle on that,” he says,adding, “They have been great partners and

we want to get back to a place where we arecomfortable with those things that are driv-ing their decisions . . . and we do feel weare headed in the right direction to makesure we continue to grow that partnership.”

The expense aspect was largely aresult of Walker & Dunlop’s aggressiveexpansion program whose centerpiecewas last autumn’s purchase of CWCapital.The integration has gone smoothly overall,reports Theobald, with the culture andsystems both melding together over thepast year since the deal was announced.The expense jump was reflective of thefirm successfully tying up the producersthat came with purchase of the Needham-based operation. “This is a business that is

all about relationships, and we have addedsome of the best brokers up (in NewEngland), and we need to make sure thattalent stays on board,” he says. Personnelexpense was 41 percent of revenues inQ2, up from 37 percent in that same peri-od in 2012.

The plus side of the formula includes a66 percent rise in adjusted income fromoperations to $25.1 million in Q2. GAAPincome from operations was up 58 per-cent to $23.8 million. The servicing portfo-lio of $37.9 billion at midyear representeda 116 percent increase from $17.6 billionone year earlier. That helped servicingfees grow from $9.8 million in Q2 2012 to$22.4 million this year. n

Walker & Dunlopcontinued from page 4

Pho

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BWR: Centre Realty LLC, managed by Betsy L.Dangel, president

MTG: $3,400,000 from Georgetown BankADD: 10-20 Main St., 66 Nason St. and 6-8Parker St., Maynard BWR: James G. MacDonald, trustee ofMaynard Commons Realty TR, Maynard MarketRealty TR and Maynard Place Realty TR

MTG: $2,400,000 from Hampden BankADD: 15-21 Third St., PalmerBWR: Manchem LLC, managed by Edward J.O’Leary and Kenneth P. Vincunas

BUYER: 56-58 Felton Street LLC, managed byBrian Keane

SELLER: Fluid Management Systems Inc ,managed by Hamid Shirkhan, presidentPRICE/ADD: $1,800,000; 56-58 Felton St,Waltham MTG: $900,000 from Peoples Federal SBNOTES: Industrial property, constructed 1860;building size is 24,800 sf, lot size is 27,075 sf;last sold for $670,000 in July 1998

MTG: $1,152,000 from Needham BankADD: 121 Charles River St., NeedhamBWR: MRR Properties LLC, managed by RyanMcDonnell and Robert Ticktin

BUYER: Bryn Mawr Trust Co., trustee of TheEmployees’ Retirement Plan of Hajoca Corp.SELLER: Peabody Supply Co. Inc., managed byChristopher Velonis, president; and DomenicMessina, treasurerPRICE/ADD: $1,050,000; 58R Pulaski St., Peabody

NOTES: Industrial property, constructed 1965;building size is 19,000 sf, lot size is one acre;seller’s ownership in property dates to Aug. 1968

BUYER: Starr Construction Inc., managed byStephen P. Starr, president and treasurerSELLER: The Marist Fathers of Boston, man-aged by Father Joseph Hindelang, president;and Father John Harhager, treasurer PRICE/ADD: $1,000,000; 505 Pleasant St.,Framingham MTG: $700,000 from Avidia BankNOTES: Religious property, constructed 1938;building size is 2,375 sf, lot size is 8.8 acres; sell-er’s ownership in property dates to Aug. 1937

MTG: $1,000,000 from Rockland Trust Co.ADD: 26-28 Vineyard St., SomervilleBWR: AVL Development LLC, managed byGonzalo Artigas

Commercial Dealscontinued from page 10


Corporation Directors/Registered Agents Address Nature of Business

ARL Andover Management LLC James Dina, Warren Fields and Richard Kelleher, managers One Post Office Sq., Ste. 3100, Boston MA 02109 Deal with real property

ARL Princeton Management LLC James Dina, Warren Fields and Richard Kelleher, managers One Post Office Sq., Ste. 3100, Boston MA 02109 Deal with real property

ARL Tampa Management LLC James Dina, Warren Fields and Richard Kelleher, managers One Post Office Sq., Ste. 3100, Boston MA 02109 Deal with real property

Albite LLC Reenie McCarthy and Paula E. Turnbull, managers 1188 Centre St., Newton MA 02459 Manage and own real estate

Caspia LLC Reenie McCarthy and Paula E. Turnbull, managers 1188 Centre St., Newton MA 02459 Manage and own real estate

Halite LLC Paula E. Turnbull, manager 1188 Centre St., Newton MA 02459 Manage and own real estate

Morello LLC Reenie McCarthy and Paula E. Turnbull, managers 1188 Centre St., Newton MA 02459 Manage and own real estate

BFKB Tax Credit Fund I LP Michael H. Gladstone, general counsel C/o Boston Financial Investment Management LP @ 101 Arch St., Deal in housing projects eligible for federal 13th floor, Boston MA 02110 low income housing tax credits

SCD L2 Seaport Square LLC Al Bolivar, Shawn Hurley and Mat Johnansson, managers 350 Fifth Ave., NYC 10118 Real estate investment

CS of Chesapeake Holdings LLC Eggert Dagbjartsson and Victor J. Paci, managers C/o Equity Resource Investments @ 1280 Massachusetts Ave., Invest in real estate4th floor, Cambridge MA 02138

Burlington GAVI Member LLC Dennis D. Ballard, signatory 711 High St., Des Moines IA 50392 Own commercial real estate

9 Hathaway LLC Alex Peselman, manager 39 Brighton Ave., Allston MA 02134 Manage, rent and sell real estate

Stone Lion Development Bowdoin LLC George Cole, Carol Gladstone and Drew Leff, managers 112 Beach St., U-6, Boston MA 02111 Deal with certain real property at 130-146 Bowdoin St. and 288-292 Geneva Ave., Dorchester MA

SCG Chelmsford GP LLC Richard A. Hayden, signatory C/o Stratford Capital Group @ 100 Corporate Place, Deal in real propertySte. 404, Peabody MA 01960

Chelmsford Woods Residences LP Richard A. Hayden, signatory C/o Stratford Capital Group @ 100 Corporate Place, Deal in real propertySte. 404, Peabody MA 01960

RFM Block on Congress LLC Justin Metz, signatory 60 Columbus Cir., 19th floor, NYC 10023 Real estate

BWC Origination 1 LLC John P. DeVillars, manager C/o BlueWave Capital LLC @ 31 Milk St., Ste. 1104, Boston MA 02109 Operate and own solar photovoltaic energy generation properties



NREM 99 Summer Manager LLC Jeffrey K. Gronning, David T. Welsh and 53 Maple Ave., Morristown NJ 07960 Develop, entitle and operate real estateFrancis X. Wentworth Jr., signatories

Palmetto Hospitality of Boston LLC Dan C. Breeden Jr., manager Principal office @ 100 Dunbar St., Ste. 400, Spartanburg SC 29306; AccommodationsMA office @ Stuart and Tremont (Parcel 7A), Boston MA 02116

NEC Indy LLC Gary R. Schwandt and Joseph A. Versaggi, signatories C/o Great Point Investors @ 2 Center Plaza, Ste. 410, Boston MA 02108 Operate and own real estate

Jumbo Capital Chelmsford Partners LLC Jay O. Hirsh, manager C/o Jumbo Capital Management @ 300 Commercial St., Acquisition,conveyance, leasing, operation Ste. 904, Boston MA 02109 and ownership of real estate

Galatians Capital Management LLC Kevin Kimani, manager 13 Jeanne Rd., Randolph MA 02368 Manage investments, including real property

4 Page Lane Development LLC Geno Ranaldi, manager; Greg Locraft, resident agent Principal office @ 85 Brown Ave., Hampton NH 03842; Dealing with interests in real estateGreg Locraft @ 30 Yarmouth St., Boston MA 02116

25 Bowditch Drive LLC Mark W. Langevin, manager 25 Bowditch Dr., Shrewsbury MA 01545 Buy, maintain, own and sell real property

LVP CP Boston Holdings LLC David Lichtenstein, manager C/o Lightstone Value Plus REIT LP @ 1985 Cedar Bridge Ave., Real estateLakewood NJ 08701

535 Lowell Street Peabody LLC Alfred R. Yebba, manager; Michael E. Rubin, resident agent Principal office @ 19 Prospect St., Wakefield MA 01880; Michael Rubin Develop, manage and own commercial REc/o Posternak Blankstein & Lund LLP @ 800 Boylston St., Boston MA

Miramar Park Association Inc. Frank Mastrocola, president; Robert Crespi, treasurer; 8 Miramar Ave., Dennisport MA 02639 Maintain and own a beach and other real Daniel Bagley, clerk property for the benefit of members of the

ownership group

Aviva Realty LLC David Goldstein, mgr.; Patricia Finnegan Gates Esq., res. agent Principal office @ 124 Pinecrest Rd., Manchester NH 03104; Dealing with commercial real estatePatricia Finnegan Gates Esq., c/o Mountain, Dearborn and Whiting LP @ 370 Main St., Ste. 800, Worcester MA 01608

Beacon House Rogerson LP James F. Seagle Jr., president C/o Rogerson Communities @ 1 Florence St., Roslindale MA 02131 Interests in real estate

Sammy Realty LLC Robert L. McCrensky and Susan M. McCrensky, signatories 248 Mill Rd., Chelmsford MA01824 Acquire, build and manage commercial and residential real estate

AC Realty LLC Daniel Castillo, manager 430 East Central St., Franklin MA 02038 Real estate services

128 Cedar LLC Paul Macdonald, manager 128 Cedarwood Rd., Hanover MA 02339 Real estate development and management

354-360 Revere Beach Boulevard LLC Ann S. Magarian and James D. Magarian, managers 1 Sunset Dr., Peabody MA 01960 Purchase and sell real estate

Massachusetts CorporationsOrganized August 5 - August 9, 2013



Corporation Directors/Registered Agents Address Nature of Business

51 Centre Realty LLC Parviz Sanieoff, manager; Robert E. Fierman, resident agent Principal office @ 51 Centre St., Brookline MA 02446; Robert E. Fierman Broker, buy, develop, lease, operate and @ 678 Massachusetts Ave., Ste. 6004, Cambridge MA 02139 own real estate

48 Rice Avenue LLC Joshua S. Hennessey and Amelie Hennessy, managers; 208 Crescent Ave., Rockland MA 02370 Invest in, own and rent real estateScott Hennessey, resident agent

CCMcD Real Estate Lafayette LLC James T. McDermott and Thomas R. McDermott, signatories C/o Clark-Cutler-McDermott Co. @ 5 Fisher St., PO Box 269, Acquire, finance, improve, lease, operate and Franklin MA 02038 sell real property

15 Ward Street LLC Mickey Northcutt, manager C/o North Shore Community Development Coalition Inc. Real estate and interests therein@ 102 Lafayette St., Salem MA 01970

CVS 582 MA LLC Ned Craun, Robert Marcello and Christopher Mercer, sigs. C/o CVS Pharmacy @ 1 CVS Dr., Woonsocket RI 02895 Real estate entity

Bennington Street Realty LLC Debra K. Brede, manager 1253 Highland Ave., Needham MA 02492 Dealing with interests in real estate

Ashland Main LLC Kenneth A. Isaacson, manager 228 Lakeshore Dr., Wayland MA 01778 Buy, develop, operate, own & sell real property

Ice Glen Realty LLC Hue Lieu, manager; John Homich, resident agent Principal office @ 50 Soley St., Charlestown MA 02120; Acquire, improve, lease, manage and John Homich @ 9 Cottage Ave., Winchester MA 01890 sell real estate

Glines Avenue LLC Rita L. Harlow and Robert F. Harlow, managers 12 Divittorio Dr., Milford MA 01757 Real estate

Oakwood BayCoast WWTF LLC Michael Biszko and Robert Karam, signatories 456 Rock St., Fall River MA 02722 Deal w/certain real property in Swansea MA

Franklin Retirement Residence LLC Norman Brenden, Barton Colson and Patrick Kennedy, mgrs. 9310 NE Vancouver Mall Dr., Ste. 200, Vancouver WA 98662 Retirement residence

Harwood Family LLC Paulette H. Lamparelli, manager 74 Branch St., U-3, Scituate MA 02066 Investments, including real property interests

Elite Construction And Property Michael J. Cook, president, treasurer and secretary 16 Juniper Ave., Wakefield MA 01880 ConstructionManagement Inc.

Coravos Development LLC Stephen V. Coravos, president, treasurer and secretary 2100 Lakeview Ave., Dracut MA 01826 Develop, purchase and sell real estate

12 Swanton St. LLC Daniel Gattineri, manager 107 Audubon Rd., Ste. 104, Building Two, Wakefield MA 01880 Acquire, develop, lease, own & sell real property

North Pasture Partners LLC Jeffrey Edwards, manager; John Brescher, resident agent Principal office @ 200 Post Kennel Rd., Far Hills NJ; John B. Brescher Manage and purchase real estatec/o Glidden & Glidden PC @ 37 Centre St., Nantucket MA 02554

Ardmore Road LLC Yevgeniy Voloshin, manager 153 Pine Grove St., Needham MA 02494 Develop, invest in, lease, operate and sell RE

46 Tremont Street LLC William M. Jardus, manager Principal office @ 227 Saint Paul St., Brookline MA 02446 Real estate and related activities

231-235 Parsons Street LLC William M. Jardus, manager Principal office @ 227 Saint Paul St., Brookline MA 02446 Real estate and related activities

Forensic Building Science Inc. Thomas J. Irmiter, president 595 Selby Ave., St. Paul MN 55102 Structural engineering services

Beach Street Builders LLC Donald E. Staszko, manager 380 Chief Justice Cushing Hwy., Cohasset MA 02025 Develop and own real property

Rockefella Properties LLC Richard Miranda Jr., manager 230 Coffin Ave., New Bedford MA 02746 Rent real estate

McGregor 2 LLC Diarmaid McGregor, manager 7 Chickatbot Rd., Quincy MA 02169 Manage, own and sell real estate

Capital Financial LLC Maria Sterglou, manager 1888 Rue Wellington, Apt. 203 Pointe Saint Charles Quebec Finance, including real property interestsH3K 1W1 Canada

The McCormick Real Estate Mary Beth Romeri, manager 11 Plymouth Rd., Weston MA 02493 Deal with real estateInvestment Group LLC

FirstKey Mortgage LLC Mark Toscano, manager 4 International Dr., Ste. 110, Rye Brook NY 10573 Mortgage business

51 Vale St LLC Vincent Brown, manager 22 Wolcott St., #2, Dorchester MA 02121 Real estate

HSL Realty LLC John J. Bonica, manager 738 Main St., Acton MA 01720 Real estate and interests therein

2 Mechanic's Court LLC Craig W. Pessina, manager 11A Liberty St., Newburyport MA 01950 Dealing with interests in real estate

Touro Properties LLC Mark S. Ain and Joseph C. Butler, managers 36 Grace St., #2, Malden MA 02148 Deal with real estate

Reno Properties LLC William R. Renaud, manager 29 Johnson St., Lowell MA 01854 Develop and invest in real estate

SLX Project 1170 LLC F. Joseph Fleck, manager 5750 New King Dr., Ste. 330, Troy MI 48098 Construct, operate & own solar energy facilities

Red Tree Companies LLC Elizabeth A. Fair, manager 691 Washington St., South Easton MA 02375 RE brokerage and property management

Stetson Pond Properties LLC George R. Gould Jr. and Scott M. Noyes, managers 250 Plymouth St., PO Box 686, Pembroke MA 02327 Develop, invest in, rent and sell real estate

Visions Property Management LLC Angela Maria Cannistraro, manager 133 Main St., Medway MA 02053 Lease, manage and own real property

CMAPD LLC Dawn Kennedy, manager 2303 Center St., West Roxbury MA 02132 Hold real estate

RSF LLC Dawn Kennedy, manager 2303 Center St., West Roxbury MA 02132 Hold real estate

Carr Family Mass Holdings LLC James R. Carr, manager 392 Summer St., Marshfield MA 02050 Make and manage real estate investments

Leaf Properties LLC Kevin Dooley, manager 159 Pembroke St., Kingston MA 02364 Acquire, develop, manage, market and sell RE

SD Properties LLC Kevin Dooley, manager 159 Pembroke St., Kingston MA 02364 Acquire, develop, manage, market and sell RE

LMR Properties Wayne Rutledge, manager 2235 Cranberry Hwy., West Wareham MA 02576 Deal with real property

Massachusetts CorporationsOrganized August 5 - August 9, 2013

ADVERTIS ING INFO: [email protected]


was advisor in the sale of One PostOffice Square,” spokesman PeterRose conveys in a prepared state-ment after being asked for clarifi-cation by the Real Reporter on adeal valued at $275 million thatappears to have widespread rami-fications for the city’s already bois-terious investment sales sector.

“It’s back to peak pricing forCBD assets,” is how one expertcharacterizes the result that alsosignals to some the genesis ofBlackstone shedding its downtownBoston and Cambridge assets,considered among the most valu-able in the national portfolio. “I’msure they have to be ecstatic” withwhat happened at One PO Square,says one broker. “It’s a good signfor them and for other” ownerscontemplating a trade.

Both Equity and MorganStanley—the co-owner whobought out its 50/50 partner foran estimated $275 million—haveremained largely mum on howthe agreement came about in an exchangefirst unveiled by therealreporter.com, and

other details haveremained scant as well.Partnership sales areoften performed quietlyand minus any third-party input, andobservers initiallyassumed such was thecase with One PO

Square, an 808,000-sf, 42-story behemothoverlooking Post Office Square Park andthe Hub’s Financial District.

Since the original article, there wereindications the seller did engage EastdilSecured in some capacity. The scenariopainted by market watchers is that Eastdilbrought a potential buyer or buyers to theopportunity, then guided Equity whenMorgan Stanley invoked a clause allowingthem to match any offers, giving the firmtotal say over the building.

“That is basically what happened,” onesource says when described accounts fromothers tracking the transaction who main-tain the trade began with Equity decidingit wanted to address its ownership there as

part of a broader plan by Blackstone toharvest much of the office REIT’s holdings.One of the stories in suburban Boston in2013 has been Blackstone’s aggressivepush to harvest major assets in a hot mar-ket, having already divested RiversideCenter in Newton through HollidayFenoglio Fowler for a record suburbanprice above $380 per sf in that $197.3 mil-lion trade, followed by Cushman &Wakefield reaping a single-asset suburbanBoston record $216 million in the sale ofNew England Executive Park. Morerecently, HFF has been engaged to peddlethe Wellesley Office Park in Wellesley, aneight-building, 640,000-sf first-class cam-pus that commands rents above $30 per sf.

Until Blackstone’s statement, getting anofficial pronouncement on Eastdil’s rolehas been challenging. As per company pol-icy, no comment was forthcoming from theBoston Capital Markets group that is saidto have orchestrated the negotiations.Boston professionals on the team includeBrian Barnett, Peter Joseph, Sarah Lagosh,James McCaffrey and ChristopherPhaneuf. The unit is already enjoying aneventful 2013 with listings from office and

industrial to multifamily and retail,accentuated by the $250 millionsale last month of the massiveBoston Park Plaza Hotel & Towers.A smaller Financial District prop-erty sale was brokered by thegroup for $21.0 million in May.

The latter sale of 45 Milk St.for $300 per sf despite being 90percent vacant has been cast asreflective of the healthy Class Bmarket in Boston, especially forjewel-box buildings that haveenjoyed renewed interest frominvestors and tenants alike. Thecorresponding revitalization ofthe Financial District nowappears to be moving up to thehigh-rises, with the One POSquare agreement representingthe first major ownership changein a Boston tower since the 37-story Bank of America headquar-ters was bought by BostonProperties in winter 2012 for$615 million, or about $475 per sf.

Not only is One PO Squarepriced far above that figure, iteasily eclipses the $610 per sfspent on 33 Arch St. two years ago

last week and Exchange Place, a 40-storytower that fetched $610 million in Dec.2011, or $510 per sf. One veteran uses theacquisition of a half-interest at OneFinancial Center by Beacon CapitalPartners in 2007 for a price in the $700-per-sf sphere to compare One PO Squareto on that metric.

In terms of Equity’s potential salesofferings, brokers and capital sources alikeare salivating over the thought of suchprime assets as 175 Federal St., 225Franklin St., 100 High St., 100 and 125Summer St. and Rowes Wharf being madeavailable, although one downtown brokersays chances are Equity will be measuredin its approach. “They do everything on a

Eastdil Advisorycontinued from page 1

One Post Office Square, Boston MA

James McCaffrey

The Real ReporterVOLUME 5, NUMBER 19

© 2013 The Real Reporter, LLC. Ten Post OfficeSquare, Boston MA 02109, 617-692-2997. Allrights reserved. No part of this publicationmay be reproduced without the written con-sent of the publisher.



just under 10,000 sf accommodates 14parking spaces, a rare plum in the denselypopulated district that connects CoolidgeCorner with the teeming juncture ofCommonwealth and Harvard Avenues inAllston.

“This is a great long-term investmentfor us,” Grossman Cos. principal JakeGrossman tells the Real Reporter afterclosing on the single-level property. “Thelocation is tremendous,” concursGrossman, who explains the acquisition isnot a one-off buy, but part of an estab-lished “Main Street” campaign thatalready possesses similar core buildings inthriving retail districts, among them a CVSin South Braintree, plus Hingham Square,also on the South Shore, and 572-574Washington St., a 21,025-sf mix of officeand retail in the heart of downtownWellesley

The intention ofGrossman Cos. is tohave 10 to 20 percent ofits investment capital inthe platinum categorywhere there is little fearof recessions or othermaladies that in 2009had eastern

Massachusetts above 23 percent vacancyin retail while downtowns sporting provendemographics had far less impact andrebounded more quickly, conveysGrossman. The company does pursuevalue-add projects needing hands-onattention, and the portfolio extends tomore mainstream retail such as an 81,075-sf Medford strip center anchored by Stop& Shop, the Quincy Burger King at 56-72Granite St. and Ocean State Job Lot inWhitinsville, but the Main Street strategy

is there as an anchor to support higher-yielding ventures. “We look for great realestate in town centers that we know arenot going to go away,” says Grossman, whooversees the expanding acquisitions plat-form of the Quincy based firm. As to thelatest purchase, an off-market deal withLangwater Capital, Grossman is effusive inthe building’s leasing history, physical con-dition and occupancy by a credit tenantthat counts 429 Harvard St. among its bestperforming New England branches,according to Grossman, with deposits inexcess of $92 million. The block also hous-es an Asian restaurant and the legendaryKupel’s Bake & Bagel, a Harvard Streetstaple for decades situated inside a spiffystorefront two doors down at 421 HarvardSt. The Citizens Bank building that datesto 1969 “is a great fit” for the Main Streetfamily of holdings, says Grossman.

The Grossman Cos. has been shufflingits real estate assets via a combination ofnew investments and pruning of others

such as the Braintree Executive Park thatAlbany Road Real Estate Partners securedin April for $17.2 million. On the flip side,Grossman Cos. this spring partnered witha Connecticut firm to buy Lee FarmCorporate Park in Danbury, CT, a first-class, 215,000-sf property off Interstate 84acquired in a venture with local operatorSummit Ventures for $16.9 million.

As to the Main Street element,Grossman Cos. has owned the 14,975-sfsite at 19 Main St. in Hingham for decades,and in 1989 constructed the brick struc-ture that features a clock and stylishfacade. The Braintree CVS is a stand-alone unit in that community’s bustlingdowntown, while the Wellesley propertyaffectionately known as the RotundaBuilding has been under the family’spurview since the 1970s. “We’re alwayslooking” for new baubles to put in the pile,says Grossman, who did not say how closehis firm is to hitting a 20 percent level ondollars invested. n

Grossman Main Streetcontinued from page 1

Hingham Square, Hingham MA

Jake Grossman

linear basis,” maintains the source, point-ing to the staggered approach being playedout in suburban Boston. “They know howto keep the market focused on one deal ata time.” That source and others, however,are anticipating some Equity offering is inthe offing. “It shows a natural progressionof pricing, and that message is gettingthrough,” says the industry professional.

There are some expressing doubt aboutthe sustainability of such a level, withsome dismissing it as an overeager buyerwho has a stated desire to buy more officeproduct getting a chance to take over oneof New England’s best addresses. “I’d put itin the top 10 all day long,” one marketwatcher responds of the tower in defend-ing its value. With comparable sales lack-ing, that barometer is too limited to utilize,“but based on where yield requirementsare now, and the popularity of Boston

today, it does make sense,” says the pro-fessional. “I don’t think (Morgan Stanley)overpaid at all . . . I imagine both sides arevery pleased with what they got out of it.”

That view was not singular. “This is notjust a moment in time—it is a restating ofthe pricing for Boston to an eye-poppinglevel that we haven’t seen since (2007),”says another CRE sales specialist with alengthy track record in the market. “Youare essentially there, and I don’t think thatis going to change anytime soon.” n

Eastdil Advisorycontinued from page 14


C&W Executive Director Michael Frisoliwhen contacted about the custom-designed structure built in 2010 forPalomar Medical Technologies, but thebroker did confirm C&W’s assignment andpredicts it will be “a mega-transaction”attracting investors while being shoppedto users as well.

“It is basically a brand new buildingand one of the nicest you are ever going tosee,” declares Frisoli, who is overseeingthe campaign on a team also featuringC&W New England Chapter PresidentRobert E. Griffin Jr. and ExecutiveDirector Matthew E. Pullen. Street-levelmarket guidance is being provided by sub-urban expert Mark Roth, who at a recentsummer review press briefing explainedthe dynamics driving companies toBurlington today, that being its

Live/Work/Play environ-ment employees areseeking to work in, forc-ing skill-dependentindustries such as lifesciences and technologyto find those venues.“Burlington is absolute-ly on fire right now,”Griffin says, and he hasgood reasons to declareas such, having over-seen the $216 milliontrade of New EnglandExecutive Park in June,delivering seller EquityOffice the highest priceever paid for a suburbanBoston stand-aloneoffice asset. AnotherEquity building at 25Mall Rd. in Burlington isunder agreement at aprice rumored in the$77 million sphere, or ahefty $270 per sf.

Beyond marketdynamics, C&W is touting 15 Network Dr.and its presence in another evolvingmixed-use business enclave. The LWPmantra is alive and at Northwest Park andthe abutting Network Drive, with an entireretail strip being brought on line by itslongtime owners, the Nordblom Co.. Amedical devices company, Palomar

required 18-foot clearance for some oper-ations and also was among the first gener-ation of users embracing collaborativeworkspace design. “The space is reallycool,” says Griffin. “It is very well-designed and we’re extremely excited tohave this listing—it isn’t very often youget to sell a new building.”

The result of Palomar’s vision wouldenable a user to adapt to the flexible lay-out, according to Frisoli, and as such,C&W does anticipate that constituencywill be on the tour docket along withinvestment capital. More than $1 billionhas already been spent on CRE inBurlington over the past year andinvestors appear hungry for more in adwindling inventory. Fortunately forthem, Westford-based Cynosure acquiredcompetitor Palomar earlier this spring andis now relocating staff to the I-495 campusowned by Normandy Real Estate Partners.Initially, the plan was to follow the path ofother firms and move Cynosure toNetwork Drive, but Griffin says an assess-ment of the occupancy needs plus costsand the benefits of harvesting 15 PalomarDr. led to a reversing of the corporatedecision—and the commute for hundredsof Palomar staff.

It appears tenants could use the room,as C&W’s midyear figures put the Route128 North vacancy rate at 11.6 percent,well below the suburban average of 16.7percent. The rate is lowest among sevensuburban markets tracked by C&W, and439,000 sf of leasing activity through

midyear is third highest behind only Route128 Central (924,000 sf) and I-495 North(538,950 sf). Route 128 North has aninventory of 22.0 million sf and averages$21.48 per sf on rental rates. That is goodfor second behind the $27.38 per sf figurein Route 128 Central and compares to amarket average of $19.81 per sf. n

Palomar HQcontinued from page 1

Network Drive, Burlington MA

Robert E. Griffin Jr.

Michael Frisoli

Mark Roth

Managers and Resident ServiceCoordinators who cumulatively serve aportfolio of 32 properties, connecting res-idents with community based services andcoordinating on-site quality of life pro-grams. Sales joined Peabody Properties in2004 as a Resident Service Coordinatorand most recently worked as Grants andProject Manager for the firm. She will con-tinue to oversee all 12 of PeabodyProperties’ Youth Resident ActivitiesProgram grants from MassHousing, whichprovides funding for after-school and sum-mer enrichment activities for young resi-dents of affordable housing.

Following a six-year tenure as ResidentService Coordinator at three PeabodyProperties’ residences in Braintree andQuincy, Brophy is now Resident ServicesManager at Mishawum Park, a 337-unitcommunity in Charlestown. In her new role,she will oversee all resident services andprograms and serve as on-site point of con-tact for all of the community’s 995 resi-dents. n

Peabody Propertiescontinued from page 7


trend,” the veteran broker conveys. “I thinkit’s a group that has office, lab and GMPmanufacturing, so they didn’t necessarily

need to be in Cambridge,and the 128 West marketworked really well forthem because they reallylike the Hartwell Avenuecluster. Most of the out-migration fromCambridge is to theWa l t h a m / L e x i n g t o narea, and HartwellAvenue continues to bethe biggest beneficiaryof companies that eitheroutgrow or get pricedout of Cambridge.”

Cambridge laborato-ry vacancies havedipped to 10.3 percent,

according to C&W, and rents are holdingfirm at $55.00 per sf on a triple-net basis.The summer bioSTATus report by RichardsBarry Joyce & Partners estimates therewas 77,000 sf of positive “take-up” activityin suburban Boston laboratory buildingsduring the prior two quarters, helping drivethe suburban inventory of 5.5 million sf

down to a 7.9 percent vacancy rate.Lexington, Hopkinton and Marlborough allenjoyed busy openings to 2013, the RBJreview indicates, and RBJ Research direc-tor Brendan J. Carroll reports that Route128 Central has zero vacancy in its thininventory of 1.5 million sf of Class A prod-uct and is at 18.0 percent for its similarlysized pool of Class B laboratory space,something RBJ relays “is attractive toprospective tenants desiring a discount torent levels commanded in Cambridge.”

The rising allure for life sciences

throughout metropolitan Boston wouldseem to validate the vision of King StreetProperties founder Thomas Ragno, wholaunched the firm in 2002 sporting a planto convert older technology buildings inthe Cambridge, Lexington and Walthamuniverse to feed off the Cambridge biotechbusiness. The seeds of the campaign camein buying 101 and then 113 Hartwell Ave.in July ($2.3 million) and November($6.45 million) of 2010. Four Hartwell Pl.came into the fold in Nov. 2011 at a figureof $4.2 million. n

King Street Leasecontinued from page 2

Lexington Science Campus, Lexington MA

Richard Ruggiero

Mark Winters

the market through Boston RealtyAdvisors this spring, finally resulting inits just-completed $6.2 million purchase bya private investor. In generating some 230confidentiality agreements and 80 tours ofa five-story property bereft of air condi-tioning or a working elevator (Advil orAlleve?), BRA principal Christopher D.Sower says he is finding demand for mul-tifamily remains white hot, with littlechance of dousing the flames of investorinterest in the coming months.

“It got a lot of attention,” concurs Sower,who handled the marketing with colleagueJason S. Weissman as part of the multi-family sales division that has now wrackedup in excess of $50 million in sales with fivemonths and several prime listings left on thedais. The pace of activity challenged otherBRA assignments in such high-end neigh-borhoods as Beacon Hill and HarvardSquare, credited to both the Fenway’s own

cultural cache and a myriad of demand driv-ers for housing. That list would includerank-and-file urban professionals mixed

with thousands of collegestudents and capped offby staffers from the abut-ting Longwood MedicalArea that is home tosome of the country’sleading doctors, health-care professionals andresearchers.

As portended in aMay Real Reporterarticle detailing theopportunity, 84 TheFenway did draw from awide berth of prospects,recounts Sower, includ-ing condo conversionprofessionals, non-prof-

its and academia interested in housingtheir aforementioned staff and students,plus regional multifamily owners andoperators, a group that the winning bidder

is said to hail from in securing the asset inan all-cash purchase.

On top of solid market fundamentals,Sower and Weissman had in the earlierarticle touted 84 The Fenway’s superiorelements as a residential use, includingplentiful natural light and efficient floorplates. Those did come into play in drivingactivity from knowledgeable residentialdevelopers, says Sower, adding if any-thing, the fire and water damage requiredthe property be brought to a shell condi-tion, enhancing its flexibility.

BRA was retained by Fenway BowersLLC and Fenway Buttrick LLC as brokerof a building principal James C. Buttrickhad owned since paying $550,000 inMarch 1984. The buyer is Nora LLC, anAllston firm managed by Anwar Faisal.Sower says he is unsure what the newowner’s plans are for 84 The Fenway, butdescribes the response as both “incredi-ble” and “rewarding” for helping the clientharvest a long-term asset that hadencountered a difficult setback. n

The Real Reportcontinued from page 1

Christopher D. Sower

Jason S. Weissman


“There is a very good appetite for thattype of product,” reports Cushman &Wakefield Managing Director Jay Wagner,a member of the Equity, Debt &Structured Finance Group that arrangedboth loans through a pair of regionalbanks as advisor to borrower CargoVentures LLC. Wagner accedes such ardorhas only been recent given the 2008 reces-sion that battered the industrial sector

weakened the assetclass well into thisdecade, save for thescant institutional quali-ty product, of which thetwo Boston assets fund-ed this spring easilyqualify. “There are a lotof things that have not

been popular for a long time finally gettingnotice,” says Wagner, cautioning nonethe-less that selections need to be made care-fully, with changes in logistics and the ten-uous manufacturing world prone to shift-ing fortunes.

The allure of the Boston deals includethe youth of both assets, according toWagner, with the East Boston develop-ment a sprawling complex of both airfreight and high-end office space, the lat-ter in a four-level structure overlookingthe Boston skyline. Wagner is among otherprofessionals—including leasing brokersin those submarkets—opining the Bostonlocations are about as foolproof as can getfor that product type, with LIA sand-wiched tightly between the two boroughs.FedEx is among the denizens leasing dis-tribution space at 440-480 McClellanHighway, while One Harbor St. is 100 per-cent committed, its warehouse portionoccupied by Vertex Pharmaceuticals.Other names among the eight tenantsthere are First Trade Union Bank andGeotrans.

Wagner says he is especially impressedby the competitive nature of the local andregional lending community, praisingBrookline Bank and People’s United forhaving a pulse on multiple product typesand understanding diamonds in the roughsuch as cash-flowing industrial. “I loveworking with them,” Wagner says of theBrookline Bank loan department. “Theyunderstand the subtleties of financing and

what makes for good realestate,” he adds, and providedterms that ultimately won theday for the lender against stiffcompetition. “We had significantinterest in the financing drivenby the tenant’s long-term com-mitments to the property, theirfinancial strength and the attrac-tive ownership,” says Wagner,whose unit is on pace to processupwards of $850 million in 2013.

The $300 million level was hitby June 30th, and Wagner saysanother $1 billion is in thepipeline. “The debt marketshave a copious amount of liquid-ity right now,” he says, withcommercial banks pumpingplenty of that into all manner ofregional CRE, including industri-al, who are not, however, alone.

“The life companies can’t seem to getenough” industrial deals, says NorthmarqCapital Managing Director James Murphy.“We are doing quite a bit of that rightnow.” Among his 2013 undertakings is aseven-building warehouse complex inAllendale, PA, and closer to home Murphyassisted in the recapitalization of aLittleton industrial asset by Condyne prin-cipal Jeffrey C. O’Neill. A $57 million loanfrom Redwood Commercial MortgageCorp. and mezzanine financing paved theway for Prudential Real Estate Investorsto exit the project in favor of Square OneCapital Management. That April 1st

change of 1 Distribution Center Dr. wasvalued at $27.4 million, according to pub-lic records. Prudential and Condyne hadowned it since paying $22.2 million in Nov.1997 for the 69 acre expanse.

From a value perspective, the stickerprice is favorable to industrial, as outlinedin mid-year date from Real CapitalAnalytics that puts the current averagesale price for that asset class in the BostonMSA at $90.73 per sf, putting the rentalrate growth flat for that season. That ratecompares to an average of $235.93 foroffice buildings, $208 per sf for multifami-ly and $398.51 per sf for retail. n

Industrial Financingcontinued from page 6

One Harbor St., Boston MAJames Murphy

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