Thank you for sharing!

Your article was successfully shared with the contacts you provided.

SOUTHBOROUGH, MA-After acquiring the building in a portfolio of three suburban Boston assets secured in January, KS Partners LLC has extended the lease of 337 Turnpike Rd.’s chief tenant, New England Home Therapies, Inc. Totaling just under 20,000 sf, the block of space is used as both headquarters and a distribution center for the company, which services the healthcare industry.

“Southborough’s central location provides New England Home Therapies with excellent access to its clients and distribution channels,” says Richards Barry Joyce & Partners VP Paul Leone, who negotiated on behalf of the tenant in partnership with RBJ principal John Lashar. NAI Hunneman Commercial Co. principal Wayne Spiegel represented the landlord.

According to Leone, RBJ’s client was not only enticed to remain due to the superior location and building quality, but also because the pact “avoids the costs and business disruptions of relocating.” A professional landlord in KS Partners also factored into the decision, says RBJ.

Based in New York City, KS Partners bought 333 and 337 Southborough Rd. for $5.2 million in January while still under the auspices of Everest Partners LLC, an active real estate investment group founded by Kambiz Shahbazi and Costa Alexakos that split up earlier this year. KS Partners took over the bulk of the 4.6-million-sf portfolio amassed by Everest, including the Southborough Technology Park and a 55,000-sf Newton office building. All three were acquired jointly from New Boston Fund for a total consideration of $16.7 million. Southborough Technology Park includes the two-story 333 Turnpike Rd. and 337 Turnpike Rd., which has 40,000 sf of space.

Although some second quarter results have indicated a slow beginning for the Interstate 495 West office market, Leone tells GlobeSt.com he is encouraged by the pace of activity. Several small- and mid-sized tenants are exploring options in the submarket, he says, one which RBJ puts at 16.7 million sf. RBJ has not released its mid-year numbers, but the firm estimated a 17.9% vacancy rate after the first quarter. According to a mid-year review by Jones Lang LaSalle, the submarket had the worst start of any in suburban Boston this year with negative 155,000-sf of absorption. JLL tracks 12 million sf of office space in the submarket, and puts the current vacancy rate there at 14.3%.

Whatever dips in statistics there may be, Turnpike Road appears to be attracting investment interest, with the KS Partners buildings among several that have been sold in recent months. In June, for example, both 300 and 304 Turnpike Rd. were sold in a matter of days.

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?



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
Live Chat

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.