• During the contract period and prior to closing, we negotiated an extension of the ground lease with MassPort from 32 years to 81 years. We also agreed on a scope of repair work with MassPort to address the existing structural issues related to the property’s pilings at a cost that was one-third of what other bidders estimated.
• We transformed the existing building into a modern creative office and industrial facility by renovating lobbies, adding signage, and performing exterior improvements.
• We substantially increased in-place lease rates, which were 33% below market, with leases on 71% of rentable area expiring over the first five years.
• We closed on a joint venture with Invesco Real Estate, an institutional partner that acquired a 90% interest in the asset from DIV Fund III, at a $140 million valuation. The Fund retained a 10% interest and continues as operating partner.
• We recently entered into a letter of intent with MassPort, outlining the terms of a ground lease amendment encompassing a proposed four-story, 339,000-square-foot vertical lab/life-science expansion on top of the existing structure. We anticipate receipt of full approvals by Q2 2023.

As of Q2 2022