Outstanding Year Leaves Bright Future
The past year’s headlines were marked by all the premier movers and shakers within the commercial real estate industry. Amazon remained the elephant in the room, with everyone from City Hall to Fenway Park speculating where the eCommerce behemoth will erect its new HQ2, if anywhere locally. Shrouded with somewhat less intrigue, GE began renovation efforts for its Fort Point headquarters despite shifting timelines and some uncertainty surrounding the scope of the larger development component.
Beyond the stalwart Downtown and Seaport markets, the less publicized but increasingly competitive fringe markets including North Station and Brighton surged to close out the end of the year. Several tenant relocations from the Core markets to these burgeoning markets bolstered the nascent Class A markets. Primarily, Boston Properties rejuvenation of the parking lot outside TD Garden into a dynamic mixed-use urban playground will firmly anchor North Station, while at Boston Landing in Brighton, New Balance and its partners have quite literally created a new neighborhood as a viable alternative for ultra competitive Cambridge.
Firmly rooted in education, technology and life sciences, Boston’s diverse economic base has submitted strong job growth through increased recruitment and skilled labor retention from the area’s leading universities and institutions. Looking forward, expect durable market conditions and a diversified economy to guide the region’s commercial real estate market to a strong performance over the next several years.