485 Massachusetts Avenue
Cambridge, MA
Project summary
Partner: Juster Properties
Cambridge, MA
Total SF: 40,000
Partner
Juster Properties
Property
- Office & Ground Floor Retail
- 40,000 SF
Timing
May 2011 – Current
Opportunity
- Off market sale following a failed marketing process
- Well located: corner avenue along Cambridge’s main thoroughfare, near MIT and adjacent to the Central Square “T” station
- 100% leased at purchase with in-place rents 20% below market and outdated space
- Property includes a separate developable parking lot that currently provides 45 parking spaces for the building
- Core purchase with value add return potential due to pricing 50% below replacement cost and below market rents
Value Add / Execution
- Irreplaceable location created opportunity out of tenant rollover
- Allowed tenants to vacate, upgraded space and diversified the tenant base
- Increased net rents by 30% while maintaining 100% occupancy
- Additional capital improvements planned include: new elevators, upgrading the lobby and replacing the roof
- Long term hold