News
BOSTON PROPERTIES DISCOVERS NEW DEAL
April 6, 2012
| TMG and Rockwood recently sold office projects at 680 Folsom and 50 Hawthorne to Boston Properties (totaling 521k SF). It's a unique deal given that the developments are under construction and won’t be ready until 2014. |
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| Allen Matkins’ Tony Natsis, who provided legal counsel for the deal, believes we’ll be seeing more presale deals, as sellers don’t want to miss out on windows of opportunity in a flourishing market. Tonydidn’t win the Stanley Cup, above, but he has reason to celebrate after spending the past six weeks working around the clock on the complex deal. Boston Properties sent over operating units and assumed a construction loan in addition to money as part of the transaction. He estimates that the total considerations were north of $300M. |
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| TMG will continue to serve as development manager and the first two tenants are already in place. Macys.com will occupy 243k SF while Riverbed will inhabit 202k SF. The project also includes an adjacent parking garage at 690 Folsom. 680 Folsom will be expanded by two floors, while both buildings will be outfitted with new glass curtain wall skin and fresh public plazas. Tony says buying a project pre-completion makes sense because it gives the buyer “comfort and protection that it will be on time and on budget.” (And it gives hope to the rest of us who insist we should be able to open Christmas presents on Dec. 24.) |
