Description

We all want to know what's happening with the Woburn industrial space market. What's sold this year? How much are Woburn industrial buildings selling for? And what's going on with rental rates in Woburn, Massachusetts? In this video, Jeremy Cyrier, CCIM walks through 2019 Woburn industrial space market data so you can sell your Woburn industrial property with confidence. Sales trends to watch in the Boston commercial real estate market: https://masscommercialproperties.com/... Links we're sharing with you to new PDF reports: Top 5 questions to ask your commercial real estate broker: https://masscommercialproperties.com/... Get your Woburn industrial property valued by an expert: https://masscommercialproperties.com/... The best way to sell industrial property: https://masscommercialproperties.com/... So what's going on with the Woburn industrial market just outside of Boston? Well, that's a great question. So we help owners of high value commercial properties sell their assets to the right buyer for the right price so they can sell with confidence. So one of the things we've done is we've gone back and looked at the Woburn market over the last 12 months and Woburn, with its position located at the intersection of 93 and 95, is ideally located to service a lot of industrial requirements from warehouse distribution, Flex/R&D. So what's going on there? Well, this 13.7 million square foot market has actually been pretty quiet over the last 12 months. In fact, there have been only a few trades. There was a large to $230 million portfolio that traded, which was net lease to Harvey Building Products. That portfolio was located throughout New England and Pennsylvania with three of the properties on Commonwealth drive in Woburn. So that's sort of an outlier in terms of what the local market's doing. What we do see is the local markets performing in a very tight and constricted way. In fact, there's not a lot of inventory trading. What we're seeing in CoStar is a 2.7% vacancy rate. And with the few trades that are happening in the market, what this is telling us is that most owners are holding their assets. They're not selling these buildings. There's a high demand for them. The average price per square foot is running about $133 for industrial and Flex. And CoStar's reporting a cap rate of 6.9% with average rental rates at $14.32. So typically what we see in a market like this where owners are looking at and appreciating upward trend, they will hold unless there's a reason to sell. So as a result of that, we're seeing an upward pressure on pricing for these buildings. We're seeing upward pressure on rent for these properties. And there's really not a lot of room here in the market to build any new product. So it's constricted, it's tight. We have seen the trades that are occurring over the last 12 months at 20 Sonar. That sold for 136 bucks a square foot. 11 Wheeling is traded at 118 a square foot. 1 Walnut Hill at 116 a foot. And 79 Pine at $85 a square foot. So if you have other questions about what's happening in the Woburn market and when this market might open up for more opportunities to take advantage of these market trends, feel free to reach out. We're available for consultations. But in the meantime, if you like what you're getting here, please subscribe to our channel for more market updates. Thank you.