Bowditch: Opportunities and Pitfalls Await Office Investors
Big leases by Hasbro and KKR at trophy office towers have generated buzz about the Boston office market after several years in which consolidations and downsizing dominated tenant activity.
“We’re seeing an uptick in leasing velocity because companies are realizing there’s only so much high-quality trophy space available,” said Roy Hirshland, Boston market leader and brokerage chair at Savills. “The companies are settling into their new reality. For the last five years, they were just holding the course, trying to get people to come back to the office.”
Beyond the high-profile transactions, stubborn double-digit vacancy rates and softness in lower tiers of the market point to additional distress for some office landlords. 2026 is likely to be a year of reckoning for some troubled properties, leading to an uptick in workout activity, distressed sales and foreclosure auctions, real estate executives predict.
Read more via the Banker & Tradesman >> https://bankerandtradesman.com/opportunities-and-pitfalls-await-office-investors/