Major Changes In Store for Wellesley Commercial Real Estate
By Elizabeth Holmes
A major transition is underway in Wellesley’s office market. Due to recent impending changes in ownership to two-thirds of Wellesley office buildings, tenants in Wellesley can expect noticeable changes in leasing in the coming years. To read the Globe’s article on the changing Wellesley Office
market where R.W. Holmes was quoted, click here.
Here is a sample of properties that have recently changed hands or are on the market:
- 93 Worcester St: Approved for lab, office rents in the low to mid $60s.
- Park 9: Office space mixed with laboratory space
- Walnut Street Offices: Lincoln properties, still office and medical. Rents are now in the low $40s, compared to the mid $30s under previous ownership. The lobby has been renovated and TI allowances have been increased.
- 70 Hastings St: The former headquarters of Roche Brothers has been completely renovated and has to build to suit office space.
- 1 Hollis St: To be converted into residential space eventually
ON THE MARKET
- Haynes portfolio: Could sell to one investor or break portfolio up between several investors
- Wellesley office park
PROS & CONS
- Diversity in ownership in Wellesley. This could lead to more competition and therefore more modern, updated properties
- Variety in landlords, ownership styles, capital capabilities, etc. which helps tenants find the right landlord for their needs
- Higher sale prices could lead to higher rental rates throughout the city
- Conversions to lab or residential will decrease the available product, leading to higher rents and less supply
If you currently lease in Wellesley, get in touch with a trusted real estate advisor to learn how you can capitalize on market changes and avoid unnecessary expenses.
Don’t have trusted advisor? Contact a member of our team today.