Top Tenants Looking for Space in 2015
Last year was great for leasing and this year promises to be as good, says Cushman & Wakefield executive director Debra Gould. The big question: which tenant will sign the big lease of 2015 (and where will they go)?
If they opt for new space, the market is ripe to deliver. Rents are climbing, leasing activity is strong, and Boston’s direct vacancy rate is 8.7%. Average rents in the Financial District are flirting with $50/SF ($49.31, to be exact).
Putnam Investments, now at One Post Office Square, is in the market for 200k SF when its lease expires in ’19.
BNY Mellon, which has been in 400k SF at One Boston Place for decades, is looking at a 2018 lease expiration. Both companies are assessing their options and have enough time to consider signing up for build-to-suits or for space in a new tower.
Wells Fargo, now in 250k SF in five locations (including Two International Place, above), wants to consolidate.
Digitas is in 200k SF at 33 Arch St with a lease expiring late ‘17.
Houghton Mifflin is scoping out a wide range of options when its lease comes up at 222 Berkeley / 500 Boylston St in Back Bay, also in 2017. Debra’s colleague Gil Dailey is their broker.
Even without new construction, there are many choices in existing buildings. There's space to be had at 125 High St because PwC will leave 325k SF when its new HQ is completed at the Seaport this year. Goodwin Procter will decamp from 400k SF at 53 State St for a new building at Fan Pier next year. There’s also room at 100 Federal St, Lafayette City Center, and the Hancock Tower’s low-rise space—where State Street left 400k SF, Debra tells us.
