X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

MARLBOROUGH, MA-A private firm with deep roots in the Greater Boston real estate market has purchased, through an affiliate, a two-story laboratory/office building here in Boston’s MetroWest suburbs, as locally-based Janelon Trust pays Northland Investment Corp. $7.1 million for 33 Locke Dr. The 61,000-sf property is almost fully occupied by life sciences company Sepracor Inc.

The buyer’s family is best known for its Shops at Whitinsville mill restoration in Northbridge and projects in downtown Boston. Endeavors there include, Janelon’s longtime home in the Downtown Crossing District, overhauled in the 1970s by Sidney Covich, who died in 2004 at the age of 85, still negotiating real estate deals. One of his most prominent undertakings was the 1980s’ renovation of 600 Washington St. near Boston’s Chinatown. Covering a full city block, the structure was upgraded during the area’s darkest days, but managed to attract a bevy of public service agencies and back office users. Coincidentally, 600 Washington St. is now owned by Newton-based Northland.

Janelon Trust is affiliated with WRT Management, run by Leonard Jolles, Covich’s son-in-law and former partner. Efforts to contact Jolles and Northland officials by press deadline were unsuccessful. R.W. Holmes Realty orchestrated the Locke Dr. deal, with VP Bill Sullivan representing Janelon and principal Garry Holmes handling the sales campaign for Northland. Among the attractions for Janelon, Holmes explains, was the ability to acquire a well-constructed building below replacement cost in an improving office market. “Marlborough is finally seeing some rent appreciation,” says the veteran broker, noting a continued migration of companies from the tight Framingham and Natick markets to Interstate 495 West, which has rebounded in the past two years after being hit by the technology crash that began in 2001.

Janelon will have to assume a measure of leasing risk, accedes Holmes, as Sepracor is moving out of 25,000 sf of office space to a new building in the market. The firm will, however, stay in about 27,000 sf of laboratory space on a long-term basis. Another 3,000 sf not being leased by Sepracor is also available for rent in the building, which opened in 1985. Locke Dr. is the second property acquired, recently, in Marlborough by WRT Management, having earlier this year purchased a former firehouse on Route 20.

Despite the capital sector upheaval, Holmes says he was encouraged by the interest for 33 Locke Dr., with four serious offers tendered. Small- and mid-sized sales have been less impacted by the credit crunch, he says, because there are more investors and lending conduits available in that sphere. “It’s a nice sweet spot for a lot of people,” he relays. In the case of the Marlborough sale, Janelon financed its deal through a $5.07 million-loan from Commerce Bank & Trust Co.

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
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

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 © 2020 ALM Media Properties, LLC. All Rights Reserved.