BEVERLY, Mass.--(BUSINESS WIRE)--
Brookwood Financial Partners, LLC (“Brookwood”), a leading real estate investment and asset management company, today announced that it has sold One Alewife Center in Cambridge, Massachusetts. Brookwood acquired the property in June of 2012 for $12,000,000 and sold it for $21,600,000. The Boston Office of Colony Realty Partners acted in an advisory capacity to the buyer, James Campbell Company, LLC.
Since acquiring the property only 18 months ago in an off-market transaction, Brookwood increased the property’s occupancy from 53% to over 91%. “When we acquired One Alewife, we implemented a major capital improvement plan, which included upgrades to the lobby, café and common areas, and replacing the HVAC system and roof,” stated Thomas W. Brown, Brookwood’s Director of Acquisitions. “The investments we made were well received in the market, and when coupled with the property’s exceptional location next to the Alewife T-stop, accelerated our ability to lease the vacant space,” he added.
At the time of acquisition, Brookwood believed that the West Cambridge/Alewife office submarket would benefit from the improving East and Mid-Cambridge submarkets, which had vacancy rates below 10% and increasing rental rates. “We anticipated that technology, biotechnology and other companies in need of office space would gravitate toward the less expensive options available in the West Cambridge/Alewife submarket,” stated Mr. Brown. Brookwood originally underwrote rents in the mid-$20 per square foot range and at sale were achieving rents in the low $30 per square foot range.
The successful sale of One Alewife is another example of Brookwood’s ability to identify value-add opportunities in improving markets at substantial discounts to replacement cost and to execute its strategy of making capital improvements and quickly leasing the vacant space in the buildings they acquire. “Our strategy of buying high quality properties at deep discounts to replacement cost allows us to provide aggressive lease terms that are immediately accretive to the value of the property,” Mr. Brown noted. “We have acquired approximately $500,000,000 in assets since re-entering the market in 2010 and anticipate being able to dispose successfully of many of these 22 properties in the coming months.”
Brookwood was represented by Robert Griffith, Edward Maher and Matt Pullen of Cushman and Wakefield.
About Brookwood Financial Partners, LLC – Brookwood is a Massachusetts-based private equity firm that acquires real estate and invests in private companies. Since 1993, Brookwood has acquired 129 properties totaling approximately 12.5 million square feet of office, retail, flex and research & development space as well as 143 hotel rooms, 138 condominium units, 572 apartment units and 1,360 residential building lots. Brookwood has acquired real estate throughout the United States including in Arizona, California, Colorado, Florida, Georgia, Maine, Maryland, Massachusetts, New Jersey, North Carolina, Rhode Island, Texas and Virginia. In addition, Brookwood has invested in private companies in the wireless communications, restaurant, software and outsourcing industries. Brookwood has invested over $593 million in equity to acquire assets with a realized and unrealized value of over $1.6 billion.
- Investment & Company Information
Jayne M. Rice, 978-927-8300