The intention was to lease the remaining space until thebuilding stabilized and then possibly find a buyer for the topfloors, he says. Then, a new buyer--Mass Mutual--stepped uprecently to acquire the upper five floors. Each firm paidapproximately $50 million for their halves, an industry sourcetells GlobeSt.com.

Mass Mutual plans to lease out its space, while ASCO will occupyits five stories, Wade says. MRP's original intention had been tolease the entire building; however the tax benefits available tonon-profit associations required that the ASCO purchase its space."Their cost of capital is 300 to 400 basis points lower than thatfor conventional financing." Cassidy Pinkard & Colliers isleasing the space to Mass Mutual, Wade adds.

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
NOT FOR REPRINT

© 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.

Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.