105,000-SF Office Price Tag Could Top $20M

MEDFORD, MA-Responding to the region’s brisk investment climate for commercial real estate, another Boston-area property is being put on the sales block, according to industry sources. The 105,000-sf office building at 10 Cabot Rd. could trade in the $200-per-sf range, some observers estimate, which would put pricing above $20 million.”It is going on the market,” one broker familiar with the asset tells GlobeSt.com. That source and others claimed CBRE/New England has been tabbed to handle the campaign on behalf of the ownership, said to be a partnership between GE Capital and Capital Properties LLC. Efforts to contact those parties and CBRE/New England principal Gary Lemire by GlobeSt.com’s deadline were unsuccessful. Lemire is said to be involved in the process along with CBRE/New England broker William Moylan and leasing specialist Robert Fitzgerald, who was also unavailable for comment.

Observers familiar with 10 Cabot Rd. say the property will be attractive not only because it is fully occupied, offering a measure of stability, but also due to a presence in Boston’s “inner suburbs,” a term representing communities such as Malden, Medford, Somerville and Watertown whose boundaries either touch Boston or are within a few miles of the downtown market. The inventory in that ring has risen in the past 15 years, but still amounts to just over five million sf. According to figures provided by GVA Williams, there was a direct vacancy rate of 6.1% for the inner suburban submarket at the close of the first quarter, with rental rates averaging $19.82 per sf.