X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

FOXBORO, MA-In keeping with the trend of investors snapping up fully leased properties in Greater Boston suburbs in recent weeks, a New York City-based REIT has picked up two properties here from Toledo, OH-based Dana Commercial Credit for a combined $48.3 million. Lexington Corporate Properties Trust has acquired Bristol Park for $25.5 million and the Cocasset Facility for $22.8 million.

A Lexington joint venture has expansion plans. For additional information, go to Lexington Expands JV.

Both properties are net leased to Invensys Systems, Inc. through July 1 2015 and 2014 respectively. The transaction includes the assumption of $39.1 million in first mortgages.

Since Thanksgiving, there has been a rash of deals for fully leased properties going to REITs and other investors. National Office Partners picked up Wellesley Gateway for $70 million just before the holiday, Oasis Development acquired a 12-asset suburban Boston portfolio for $157 million, and Everest Partners scored six buildings from three different sellers two weeks ago.

“There is a lot of equity and capital available for these core assets,” Scott Hughes, president of Hughes Properties Inc. of Framingham, tells GlobeSt.com. “These types of portfolios that are net leased with strong credit tenants with length of term, are very desirable to investors and institutional buyers.”

The sale of these properties represents the total liquidation of Dana’s investment real estate assets in the US. Earlier this year, Joe Beham, vice president of the capital markets group for Dana, told GlobeSt.com that the company was leaving the finance business to focus on its core business of designing, engineering and manufacturing automotive products. At that time, Dana had just sold a four-property, one-million-sf portfolio in the Houston area–also to Lexington–leaving the division with about $50 million in assets. Beham tells GlobeSt.com that Dana still has about $700 million in overseas real estate holdings, including hotels in Australia and the Sun Life headquarters in Bristol, UK.

The properties mark the fourth acquisition for the REIT in the Greater Boston area. In July, Lexington acquired the 100,000-sf headquarters of Cadence Design Systems, Inc. in Andover. Lexington bought a 58,000-sf building in Southborough in 1999, and a 126,000-sf building in Marlborough in 1997. Both buildings are currently fully leased to divisions of the Honeywell Corp.

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

Once you are an ALM digital member, you’ll receive:

  • 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

*May exclude premium content
Already have an account?

Dig Deeper

 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2022 ALM Global, LLC. All Rights Reserved.