The Opportunity: 1875 Lawrence is an office building acquired in October 2008 for approximately $34.5 million. This was the first asset acquired by the Company during the early stages of its primary offering. At the time of acquisition, the full impact of the coming recession was not yet known. The original investment strategy was to acquire a well-located, stabilized office building at an attractive basis with the potential to raise rental rates as leases expired and to improve the property through a comprehensive renovation of the ground floor lobby, the building entries and the second floor mezzanine.
Result: After six years of ownership dominated by one of the worst real estate cycles in U.S. history, and after a $2.5 million renovation to the building that added approximately 6,500 sf of leasable space, the building was sold in June 2014 for $46.7 million.
Asset Type: Office
Asset Size: Originally 185,737 rsf – Expanded to 192,241 rsf
Year of Construction: 1982
Acquired: 100% fee simple in October 2008
Sold: June 2014