News

October 19, 2006

Gillette Signs Lease Extension on 735,000 SF

Globe St.

Gillette Signs Lease Extension on 735,000 SF
By Beverly Ford

DEVENS, MA-Razor maker Gillette has signed a seven-year lease extension on 735,000 sf of space at its two-building industrial facility here, despite reports in May that the company would close down one of its Devens plants and eliminate 100 jobs by the end of the year.

GlobeSt.com first heard rumors of the possible lease extension in July. Terms of the lease were not disclosed. Neither officials from Gillette nor Intercontinental Real Estate Corp., the property’s landlord, returned calls from GlobeSt.com.

According to a statement issued by Intercontinental, Gillette has agreed to extend its lease on both its 66 Saratoga Blvd. and 18 Independence Dr. facilities at the Devens Industrial Center. While a broker familiar with the transaction could not comment on what specifically this lease extension means for Gillette’s future, the broker says, "The deal speaks for itself. They just renewed for seven years--that says a lot."

Earlier this year, Proctor & Gamble, which acquired Gillette last year for about $57 billion, said it would cut 100 jobs when it shutters one of the plants, which make packaging materials for razors and personal care products. Both the packaging and warehouse operations are moving to Greensboro, NC, the Cincinnati-based consumer products firm said in May. The company also said it plans to downsize Gillette’s warehouse and distribution facility at Devens.

In August, as reported by GlobeSt.com, Gillette 325,000 sf of space in the Prudential Center on the market, in accord with Proctor & Gamble’s attempt to scale back Boston operations.