This Week's Boston Deal Sheet: Bain Capital To Expand HQ At 200 Clarendon
Bain Capital has renewed and expanded its lease at 200 Clarendon St. in one of Boston's biggest deals this year.
The private investment company signed a 378K SF lease renewal, landlord BXP announced Monday. Bain signed its initial lease in 2011, and it occupied nearly 270K SF at the Back Bay office tower as of 2021.
Bain went to market last year looking for as much as 400K SF, the Boston Business Journal reported in May 2023. At the time, it wasn't clear if the firm would stay at 200 Clarendon St. or move to the handful of newer options in the city including Hines' South Station Tower or MP Boston's Winthrop Center.
200 Clarendon — the 62-story, 1.7M SF office building previously known as the John Hancock Tower — has been a staple in Boston's skyline since 1976. BXP, formerly known as Boston Properties, acquired the building in 2010 for $930M.
The landlord signed another 120K SF lease renewal at the building last quarter with an undisclosed tenant, it revealed in its second-quarter earnings report, part of a series of East Coast leases that drove higher quarterly activity for the REIT. The 200 Clarendon building was 94.5% occupied at the end of the last quarter, according to BXP's earnings supplemental.
SALES
An entity linked to Rincon Development acquired a 44-unit apartment complex in Newton for $15.25M, according to public records. The Curtis Arms Apartments property at 128-134 North St. sits on 1.8 acres and consists of four 11-unit buildings. Marcus & Millichap's Tony Pepdjonovic and Evan Griffith brokered the deal.
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Goldman Sachs acquired a 200-unit apartment building in East Boston for $85.3M, the Boston Business Journal reported. Branded as Boston East, the building was developed by Trinity Financial, and the developer's equity partner, American Realty, took over Trinity's stake in the property. CBRE's Simon Butler, Biria St. John, John McLaughlin and Brian Bowler represented the American Realty affiliate and found the buyer.
LEASES
Construction management firm C.E. Floyd Co. relocated its headquarters to an 11K SF space at 200 Baker Ave. in Concord. The landlord, NHCR Real Estate LLC, was represented by R.W. Holmes' Jim Bartholomew and Bradley Sampson. R.W. Holmes' Dean Blackey and Elizabeth Holmes represented the tenant. Eastport Real Estate Services manages the property and will oversee the construction of the headquarters.
FINANCING
Capital Properties secured $19M in refinancing for the S.S. Pierce Building, a 73K SF office and retail property in Brookline. The property at 1330-1354 Beacon St. includes tenants in the financial services, investment and behavioral health sectors. Colliers' Patrick Boyle, Kevin Phelan and Rose Liu secured the financing for Capital Properties.
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NorthBridge Partners secured $27.3M in financing for two industrial properties in central Massachusetts and Hartford, Connecticut. The two-building portfolio spans 315K SF and consists of two facilities leased to an e-commerce company and an advanced manufacturing company. JLL's Andrew Gray and Ryan Parker led the team that secured the deal.
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MassDevelopment issued a $5.9M bond on behalf of Walnut Street Center and affiliate Alternative Residential Environments. The proceeds will be used to buy and renovate the 17K SF property at 4-6 Alfred Circle in Bedford. The property will become an adult day facility that could serve up to 120 patients with intellectual disabilities, autism and brain injury. The bond was purchased by an affiliate of Rockland Trust Co.
PERSONNEL
Cottonwood Group expanded its East Coast team with two leadership hires: Michael Barowsky as head of development and Angelica Nouhi as vice president of asset management. Barowsky came from a position as senior vice president at The HYM Investment Group and Nouhi as director of asset management at Fundrise.
The company also promoted Scott Russell and Maxwell Rittner to senior vice president of investments, and Peter Miller was promoted to vice president of investments.
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Michael Ferrucci was promoted to senior vice president of asset management at Marcus Partners. He will lead the company's Boston regional asset management and portfolio strategies. Ferucci joined Marcus Partners in January 2018 and was most recently vice president of investments.
Before joining the firm, Ferrucci worked for AEW Capital Management and JLL. He is also a member of NAIOP, the Society of Industrial & Office Realtors and the Real Estate Finance Association.
CONSTRUCTION & DEVELOPMENT
Madison Park Development Corp. filed plans to develop an 81K SF, 63-unit residential development at 639 Warren St. in Roxbury, according to an Aug. 1 Boston Planning Department filing. The project would include apartment and condominium sections with the rental portion reserved for those earning 30% to 80% of the area median income. The ownership units would be reserved for those earning between 80% to 120% AMI.
