Cushman & Wakefield today announced that CommonWealth REIT has sold Heritage Landing to Campanelli in joint partnership with Trigate Capital for $16.3 million. Heritage Landing consists of two institutional quality, Class A office buildings situated approximately six miles south of Boston in Quincy, Massachusetts. These first-class properties totaling 356,000 square feet are situated directly off U.S. Interstate 93, minutes from Route 3 and within short walking distance to the MBTA’s Red Line “T” station. Cushman & Wakefield’s Capital Markets team of Robert E. Griffin, Jr., Edward C. Maher Jr. and Matthew E. Pullen exclusively represented the buyer and seller. Cushman & Wakefield’s South Brokerage team of Michael Frisoli and Matt Morgan will work in conjunction with the Downtown team’s Dave Martel as the exclusive leasing agents of the property.
“Heritage Landing’s North Quincy location, in close proximity to Boston’s Financial District and Seaport District with direct access to the MBTA’s Red Line, allows the property to fully capitalize on tenant migration to high-quality value alternatives. The Campanelli team is the right developer for this project and is ready to implement a transformative renovation plan,” stated Michael Frisoli, the lead leasing agent on the listing.
Heritage Landing I & II, previously occupied by State Street Corporation and its affiliates, are part of the two million square foot State Street South park, an eight building corporate campus established by State Street Corporation. These fully-available properties feature flexible floor plates ranging from 21,000 to 34,000 square feet, accommodating tenants from 2,000 to 350,000 square feet, abundant parking (4.1/1,000 square feet) and a headquarters quality presence. Campanelli will utilize its in house construction arm, Campanelli Construction, as it aims to rebrand the offerings with an updated entrance, renovated lobbies and first-class, on-site amenity options.
“This was a great opportunity for Campanelli to purchase an asset below replacement cost in a thriving and transforming area,” stated Robert Griffin, Cushman & Wakefield.
As tenant demand continues to gravitate towards “live-work-play” communities, North Quincy’s outstanding access to public transportation, close proximity to downtown Boston, waterfront access and cache among tenants will certainly drive demand for the assets. As of 1Q2013, the North Quincy submarket posted a 10.5% direct vacancy rate, 9.3% lower than that of the overall Route 128 South submarket.
“We are pleased to have purchased a property that fits perfectly into the company’s portfolio and will greatly benefit from our value-add strategy,” stated Stephen Murphy, Partner & Principal of Acquisitions, Campanelli