A group of real estate investors is selling a portfolio of six buildings in Boston’s Seaport District, hoping to cash in on rapidly rising rents in the neighborhood.
National Development and Angelo Gordon & Co. are selling 407,000 square feet of office space in turn-of-the-century buildings on Farnsworth, Congress, and Summer streets. The space is about 96 percent occupied by a range of companies, from the software company Bullhorn to Isaacson Miller, an executive search firm.
“The market has moved significantly in terms of market rents and land value,” said Tom Alperin, National Development’s chief executive. “There’s a lot of potential upside on the leasing of these assets.”
Rents in the Seaport have increased nearly 14 percent since early 2011, as an array of new companies has moved to the area, according to the real estate firm Jones Lang LaSalle. Development activity has also picked up, with Vertex Pharmaceuticals Inc. and State Street Corp. building new offices in the Seaport; residential developers are also constructing more than 1,000 new apartments.
Mayor Thomas M. Menino has renamed the area the Innovation District, emphasizing the city’s effort to attract technology and medical firms, along with a mix of new residences, retail shops, and restaurants.
National and Angelo Gordon have not specified an asking price for their portfolio. But Alperin said they expect to get significantly more than the $105 million Brickman Co. recently received for a similar mix of buildings in the neighborhood. The effort of selling the Seaport portfolio was first reported yesterday by Banker & Tradesman.
The buildings up for sale include 33-41 Farnsworth St., 34 Farnsworth, 44 Farnsworth, 332 and 374 Congress St., and 263 Summer St. The properties are being marketed by the real estate firm Holliday Fenoglio Fowler.