BOSTON—The nearly $1.3-billion sale of two major towers—500 Boylston and 222 Berkeley streets in the Back Bay here— has closed.
The deal, first reported in August, involved the sale of the two properties totaling 1.3 million square feet of space, by the Blackstone Group LP to a joint venture of Oxford Properties Group, a wholly owned subsidiary of the Ontario Municipal Employees Retirement System, and institutional investors advised by J.P. Morgan Asset Management.
The 500 Boylston St. building consists of a six-story base of retail and office space positioned below a 19-story office tower. It has approximately 715,000 square feet of rentable space. The 222 Berkeley St. building was built as the second phase of the 500 Boylston St. project. The 22-story building totals 553,321 square feet. The 500 Boylston St. traded for $755.3 million and 222 Berkeley St. for $534.5 million, according to the Boston Business Journal, which cited recent deed filings. The sale is believed to be the largest in Boston this year and among the more expensive in city history.
New York Life Real Estate Investors and co-lender TIAA-CREF Global Real Estate provided $648 million in acquisition financing in connection with the purchase. The financing has a seven-year term. Eastdil Secured arranged the financing on behalf of the borrower.
"The properties' street presence combined with their flexible floor plates, panoramic views, floor to ceiling windows and high level of finishes makes them two of the most desirable office buildings in Boston," said Eric Becher, senior director at New York Life Real Estate Investors. "The loan represents a continuation of our long term relationship with these teams of premier real estate owners and co-lenders."
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John Jordan
John Jordan is a veteran journalist with 36 years of print and digital media experience.
