Berwind Property to Buy 530,000-SF 3Com Campus

Brian McKenzie, a partner with Richards, Barry, Joyce and Partners, says that the Philadelphia-based real estate investment firm was able to pay that figure because 3Com has recently managed to lease up much of the space on the 530,000-sf campus. In comparison, in another recent big deal in this area, Hall Gillespie LLC purchased the three-building former Lucent complex for $27.5 million or $55 per sf.

The price, notes McKenzie, "is reasonable given the fact that much of the campus is under agreement." Among the biggest coup for the site is Zymark, which is taking 150,000 sf of space. 3Com is leasing back 100,000 sf and National Grid is taking another 30,000 sf. McKenzie says that the company is currently in negotiations with a software company in Natick, MA for 50,000 sf and with a biotech research and development firm for another 52,000 sf of space. 3Com is using Cushman & Wakefield as its broker for this property.

"This is positive news in a market where we haven't had a lot to [celebrate]," McKenzie points out. Berwind Property Group and Cushman & Wakefield were not available by press time. The Berwind portfolio approximates 24 million sf of office, residential, retail, hotel and industrial properties located throughout the country. Local assets include 100 Cambridge Park Drive in Cambridge, 10 Maguire Road in Lexington, 181 and 187 Ballardvale St. in Wilmington and 10 Centennial Dr. in Peabody.

In further news that could ultimately have a positive news on vacancy rates in this area--that are currently hovering in the low 20% range--an industry source tells GlobeSt.com that there are at least five requirements in excess of 100,000 sf looking in the suburban market. The source notes that all five are looking to expand because of internal growth. "As we head into the next quarter, [these deals] could have a positive impact on vacancy rates," says the source.