Michael Smith, a principal with Spaulding & Slye, tellsGlobeSt.com that the locally based realty brokerage has beenretained to market the 40 Broad St. property which Prudentialacquired when it bought out a German realty investment group aboutfour years ago.

The 260,000-sf building could see vacancy rates as high as 70%as leases expire and tenants relocate. One of the property's majortenants, architects Shepley Bullfinch Richardson and Abbot, isvacating the building and moving to the waterfront where it willtake 66,418 sf in the World Trade Center East tower. The firm'sdeparture will leave more than one-fifth of the building empty.There is also the planned departure of another major tenant,finance and asset management firm Gordon Brothers Group LLC and theexpiration of additional leases.

Smith says the building, which sits just one block from the RoseKennedy Greenway, could remain as office space or be converted toresidential or hotel use. Given the pending vacancies and the heavydemand for investment properties, Smith says, Prudential opted toput the building up for sale. "They see what is going on in themarketplace and from a management standpoint, before re-letting tooffice tenants, they wanted to explore the possibility of selling,"he says.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.