August 23, 2007

Intercontinental Buys Into Hot Suburban Market

Globe St.

Intercontinental Buys Into Hot Suburban Market
By Joe Clements

WALTHAM, MA-A modest but well-located office building here is being acquired by Intercontinental Real Estate Corp., with the Brighton-based firm said to be paying just under $14 million for Somerset Court. The 68,000-sf structure at 281 Winter St. is being sold by Invesco Real Estate of Dallas, which has owned the building since 2001.

“That would be correct,” one source tells in acknowledging that Intercontinental has emerged victorious in a spirited bidding competition. The asset was marketed by the Boston investment team at Cushman & Wakefield. Brokers there declined comment on the matter, and calls to Invesco and Intercontinental officials were not immediately returned. The sale is slated to sometime this week, according to sources.

Among the supposed pluses of Somerset Court are a location just off Route 128 in suburban Boston’s core office market. Sources familiar with the investment maintain the property was also coveted for the lead tenant, Partners Home Care, a well-known player in the regional healthcare network.

Intercontinental is an SEC registered investment fund advisor that manages a diverse real estate portfolio valued in excess of $1.6 billion. The firm has a national CRE platform, having just last week closed on a shopping center in Colorado one month after securing another retail property in Joliet, Illinois. Intercontinental has office, industrial and hospitality holdings as well, and in Massachusetts presently has property in Boston, Norwood and Quincy. Intercontinental already has other Waltham property in its portfolio, owning 48 Woerd Ave. since 2003 and acquiring 830 Winter St. in 2005, a 180,000-sf Class A building that serves as headquarters to Praecis Pharmaceuticals.