The deal represents a relocation and consolidation for Sonuswhich will move two of its facilities--one in Littleton and one inWestford--into the new space. According to Neil Ross of theStaubach Co., which represented Sonus in the transaction, Sonus'slease was due to expire early next year. Staubach has a nationalaccount with Cisco and Greg Zaif, also of Staubach, representedCisco in the deal. The building is owned by a California pensionfund.

Cisco leased the building, as well as the nearby 300 Apollo Dr.,in the late 1990s until this past June when the Internet networkinggiant moved into the 430,000-sf campus it developed in Boxborough,MA.

Sonus is coming out of approximately 120,000 sf and Rossacknowledges that the transaction does not represent a lot ofabsorption for the market. But, he notes, "Any deals in the marketare good. It shows people are active." The Route 495 North marketcontinues to struggle to fill its space. According to Grubb &Ellis's third quarter statistics, the area had an overall vacancyrate of 32.1%. While year-to-date's net absorption was a negative390,350 sf, the absorption for that quarter was a positive 24,026sf.Ross declined to reveal the lease rates on this deal, butemphasizes that Sonus "did very well." He notes that the companywas able to capitalize on market timing and structure a good deal.Lease rates for this area for class A office space are about $23per sf, but sublease deals tend to command a lower rate. Sonus isleasing the space for the rest of Cisco's term, through February of2007 and Ross says that Sonus has an option to extend thelease.

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