While there is some dispute on how far along negotiations are, sources identify NBF as the frontrunner to purchase Granite Woods Corporate Center from the Campanelli Cos. of Braintree. Among New England's most active developers, Campanelli acquired 350 Granite St. in the autumn of 2006 when it paid $10.3 million to Verizon Corp. for the two interconnected buildings. The communications giant leased back 40,000 sf while the remainder was overhauled and converted into first-class office space through a multi-million dollar capital improvements campaign.

"Campanelli has done a phenomenal job repositioning that asset," broker Sean Teague tells GlobeSt.com. "They took a tired, old property, polished it up and fixed it up and were able to get the space fully leased in less than nine months." Teague was on a DTZ FHO Partners team that served as exclusive leasing agents for the office space at Granite Woods along with Tom Kent and Leeanne Rizzo. The first coup occurred when Travelers Indemnity Insurance Co. leased 40,000 sf in March 2007, and 100% occupancy was achieved this winter when a credit union took 25,000 sf for 10 years, as reported by GlobeSt.com. Locally-based Atlantic Retail Partners served as the broker for the retail-side of that deal. Teague is not involved in Campanelli's harvesting of Granite Woods, and declined to discuss the NBF rumors or confirm whether a buyer has been identified. Also eschewing comment were Campanelli and NBF, while calls were not returned by Eastdil Secured, whose Boston team is orchestrating the sales process. Nonetheless, sources say the participants are working towards a close. If a deal is completed, Granite Woods would be among the biggest properties to have changed hands this year following a slow start to the investment sales market.

While he did handle two significant sales in Canton during Q1, as reported by GlobeSt.com, Teague agrees that investment activity was down, but says there is a better pace on the leasing front, at least for southeastern Massachusetts. In spite of the shaky economy, "there is stuff happening," relays Teague. "It's not as bad as people might think." First quarter figures from DTZ FHO Partners show Route 128 South's suburban office submarket of 9.6 million sf had positive net absorption of 27,000 sf. The figure is unspectacular but better than the negative outcomes elsewhere, such as the core Route 128 Central and its minus-91,000 sf . Route 128 South vacancy dipped from 13.9% to 13.0% in Q1.