Dealmaker: Newmark Knight Frank Closes $330M Office Sale
Newmark Knight Frank, New York, completed the $330 million sale of Reservoir Woods East, an office campus in Waltham, Mass.
NKF Co-Head of U.S. Capital Markets Robert Griffin, Vice Chairman Edward Maher, Executive Managing Director Matthew Pullen and Managing Director Samantha Hallowell represented the seller, a venture that included affiliates of private equity firm Marcus Partners and The Davis Cos., both headquartered in Boston. NKF also procured the buyer. NKF Senior Financial Analyst William Sleeper provided financial analysis support.
Reservoir Woods East includes two components, 40 Sylvan Road and 50-60 Sylvan Road. 40 Sylvan Road is a three-story, 312,845-square-foot office building leased to National Grid as its United States headquarters. 50-60 Sylvan Road is a two-building, 202,400-square-foot former laboratory complex with a short-term lease to a Verizon Laboratories subsidiary. 50-60 Sylvan Road also includes 440,000 rentable square feet of additional as-of-right development potential. NKF noted the campus has life science development potential in a growing suburban Boston submarket.
Maher said Reservoir Woods East offered both near-term cash flow and long-term development upside within greater Boston. “The property presents an exceptional opportunity to benefit from the momentum of the Waltham-Lexington life science cluster, which has become a bona fide extension of Cambridge in recent years,” he said.
Location on Route 128, Waltham and Lexington serve as the Boston area’s second-largest life science cluster after Cambridge.