Turn to page B1 for Banker & Tradesman’s monthly coverage of all things commercial real estate.
THE FINANCIAL SERVICES AND REAL ESTATE WEEKLY FOR MASSACHUSETTS BY THE NUMBERS
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County close-up: Barnstable Spotlight: Brewster
IN PERSON
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FinTech Sandbox had expected to welcome thousands of people to Boston this week for its fourth annual FinTech Week. But despite the pandemic – the conference has been rescheduled until March 2021 – the nonprofit still has big news: a new executive director in the person of Kelly Fryer.
WEEK OF MONDAY, SEPTEMBER 28, 2020
COMMERCIAL REAL ESTATE BY THE NUMBERS
1.5 million square feet The amount of office space on the Greater Boston sublease market. See Jay Fitzgerald’s story on page B1. Source: JLL
$150 per square foot The price of converting an office building to a lab use. See Jay Fitzgerald’s story on page B1. Source: JLL
33 feet The maximum column bay in a lab building. See Bryan Northrop’s column on page B4. Source: Skanska USA
35,000 square feet The floor plates in Somerville’s 101 South St. See Kevin Sullivan’s column on page B5. Source: Shawmut Design and Construction
M Y S T I C R I V E R M I G R AT I O N
LIFE SCIENCE SITES AWAIT
INDUSTRY SPILLOVER
Somerville, Charlestown Lab Markets Poised to Break Out BY STEVE ADAMS BANKER & TRADESMAN STAFF
G
reater Boston’s massive life science real estate boom largely bypassed Somerville and Charlestown in recent years as growing firms gravitated toward western suburbs instead. But migratory patterns are likely to shift in the near future as developers roll out a series of lab towers at tired commercial sites in Assembly Square, Boynton Yards and Hood Park. “We think this is the next layer of the onion, as you’re peeling away from MIT and the Kendall Square area,” said
Mark Rosenshein, a partner at Trademark Partners advising Hood Park’s owners on their 1.7 million-square-foot master-planned project. Local brokerages are tracking approximately 2 million square feet of life science space requirements by companies in Greater Boston. But few firms are likely to find or afford near-term landing spots in industry hub East Cambridge, where asking rents are approaching $100 per square foot and the vacancy rate is 1.1 percent, according to Newmark Knight Frank research. Uncertainty about future demand for office space – which has slowed new leasing to a trickle since the March arrival of COVID-19 – has made lab development more attractive than ever. Rents for life science space have Continued on Page 7
497,000 square feet The size of a building Spear Street Capital recently bought with an eye to a lab conversion. See Jay Fitzgerald’s story on page B1. Source: Public record
1.1 percent The lab space vacancy rate in East Cambridge. See Steve Adams’ story on this page. Source: Newmark Knight Frank
$155 million HYM Investments paid $155 million for the Suffolk Downs property. See Scott Van Voorhis’ column on page 2. Source: Public record
Continued on Page 1
54,000 square feet The amount of lab space at 100 Hood Park. See Insider Insights on page B2. Source: Trademark Partners
Unless otherwise noted, all data is sourced from The Warren Group’s Mortgage Market Share Module, Loan Originator Module, Statistics Module and/or proprietary database. For more information please visit www.thewarrengroup.com/business/ datasolutions.
COMMERCIAL INTERESTS
BUSINESS BANKING
What If Boston Officials Had Thrown Out their Old Playbook?
Little Impact for Federal Programs Aimed at Easing Cashflow
I’ve Got a Better Plan for Suffolk Downs By Scott Van Voorhis | Banker & Tradesman Columnist
Commercial Real Estate PAGE 3
Firms Turn to Banks for Working Capital By Diane McLaughlin | Banker & Tradesman Staff
Banking & Lending PAGE 9