Spaulding & Slye Colliers principal William D. Bailey and associate Eric B. Foster negotiated the transaction on behalf of Federated while Sean Chrisom and Kevin Malloy of Lincoln Property Co. represented property owner, Invesco.

The 124,350 sf warehouse building, which provides 28 foot-clear ceiling heights, is located near Routes 95 and 128. The remaining 83,350 sf of space remains vacant. "Federated evaluated other opportunities in the market, and is pleased to be able to remain in the building, which suits their distribution needs extremely well," says Bailey.

While the area's office market was hit hard by the recent recession, the industrial market managed to maintain relatively low vacancy rates. According to Cushman & Wakefield's most recent statistics for Boston, the warehouse and distribution sector continues to outperform the high-tech sector. The report indicates that while vacancy rates were at 15% for warehouse and distribution facilities, they were at 22% for high-tech space. Much of the vacancies in the warehouse and distribution sector come from older space as there continues to be a demand for modern, up-to-date space. Most industry analysts predict that as the economy improves and the retail market begins to pick up steam, the industrial market will fare even better with retailers scrambling to find space to store their wares. Lease rates for this deal were not available, but the lease rate for similar type of space is about $6 per sf