495 WEST

495 NORTH

495 NORTHEAST

495 SOUTH

128 NORTHWEST

128 NORTH

FRAMINGHAM/NATICK

INNERSUBURBS

128 SOUTH

128 WEST

WEST INDUSTRIAL M

ARKETASKING RENT

LEASING ACTIVITY

12-MONTH ABSORPTION

SUBLEASE VACANCY

DIRECT VACANCY

STATISTICS OVER THE LAST 12 MONTHS

303 Congress Street | Boston, MA 02210 | 617.457.3400

www.NAIHunneman.com

303 Congress Street | Boston, MA 02210 | 617.457.3400

www.NAIHunneman.com

Class A&B Rents

Submarket Trends

$0

$2

$4

$6

$8

$10

Q42014

Q12015

Q22015

Q32015

Q42015

Q12016

Q22016

Q32016

Q42016

Q12017

Q22017

Framingham-Natick Route 495 West

- With eight consecutive quarters of positive absorption, vacancies in the West submarkets have fallen precipitously since mid-2015.

- Since the third quarter of 2015, the Route 495 West market has absorbed more than 750,000 square feet of industrial space.

- Lonza Biologics is subleasing 128,000 sqaure feet of space at its former facilities in Hopkinton; located at 97 and 99 South Street.

- CPI Radant's full-building lease of the vacant 4 Bonazzoli Avenue, Hudson represents one of the largest deals of the quarter. The firm plans to consolidate operations from Stow and Clinton.

- Gatehouse Media is planning to sell it's 95,000-square-foot building at 33 New York Avenue in Framingham and relocate employees elsewhere in the Metro West.

- DN Van Lines Moving & Storage purchased the 43,200-square-foot 2 Beeman Road in Northborough as an owner-user for $2.7MM or $61 per square foot, and Atlantic Management acquired the 259,000-square-foot 50 Otis Street in Westborough for $6.5MM or $25 per square foot.

ArrowsDirect Vacancy Sublease Vacancy 12-month Absorption Leasing ActivityAsking RentDown Up Down Down Up

Total Inventory Under Construction Direct Vacant Sublease VacantFramingham-Natick 3,148,801 0 252,937 10,000Route 495 West 15,117,063 0 725,566 72,250Total 18,265,864 0 978,503 82,250

Notable TransactionsTenant Address City SizeCPI Radant 4 Bonazzoli avenue Hudson 128,000 Habitat for Humanity Restore 240 Eliot Street Ashland 25,000 United Way of TriValley 92 Blandin Avenue Framingham 10,075 Framingham Tire 240 Eliot Street Ashland 10,000

*Renewal

Featured Deal

Vacancy and Net Absorption

In a joint venture, TIAA-CREF Investment Management and TH Real Estate acquired the 342,900-square-foot 1 Beeman Road in Northborough from Stockbridge Capital Group. The price tag on this asset was $33.4MM or $97 per square foot, and the property was fully-leased to FedEx at the time of sale.

0%

2%

4%

6%

8%

10%

12%

-200,000

-150,000

-100,000

-50,000

0

50,000

100,000

150,000

200,000

250,000

Q42014

Q12015

Q22015

Q32015

Q42015

Q12016

Q22016

Q32016

Q42016

Q12017

Q22017

Net Absorption Vacancy

VACANCY AND NET ABSORPTIONCLASS A & B RENTS

TENANT ADDRESS CITY SIZE

CPI Radant 4 Bonazzoli Avenue Hudson 128,000

Habitat for Humanity Restore 240 Eliot Street Ashland 25,000

United Way of TriValley 92 Blandin Avenue Framingham 10,075

Framingham Tire 240 Eliot Street Ashland 10,000

NOTABLE TRANSACTIONS

TOTAL INVENTORY

(SF)

UNDER CONSTRUCTION

(SF)

DIRECT VACANT

(SF)

SUBLEASE VACANT

(SF)

TOTAL VACANCY

RATE

Q2 NET

ABSORPTION (SF)

YTD NET

ABSORPTION (SF)

ASKING RENT ($/SF)

Framingham-Natick 3,148,801 - 252,937 10,000 8.4% 18,036 45,006 $7.16

Route 495 West 15,117,063 - 725,566 72,250 5.3% 70,119 59,256 $9.05

TOTAL 18,265,864 - 978,503 82,250 5.8% 88,155 104,262 $8.56

FEATURED DEAL

342,900 SF1 BEEMAN ROAD, NORTHBOROUGH

In a joint venture, TIAA-CREF Investment Management and TH Real Estate acquired the 342,900-square-foot 1 Beeman Road in Northborough from Stockbridge Capital Group. The price tag on this asset was $33.4MM or $97 per square foot, and the property was fully-leased to FedEx at the time of sale.

STATISTICS

WEST INDUSTRIAL MARKET

SUBMARKET TRENDS

• With eight consecutive quarters of positive absorption, vacancies

in the West submarkets have fallen precipitously since mid-2015.

• Since the third quarter of 2015, the Route 495 West market has

absorbed more than 750,000 square feet of industrial space.

• Lonza Biologics is subleasing 128,000 sqaure feet of space at

its former facilities in Hopkinton; located at 97 and 99 South

Street.

• CPI Radant’s full-building lease of the vacant 4 Bonazzoli Avenue,

Hudson represents one of the largest deals of the quarter. The

firm plans to consolidate operations from Stow and Clinton.

• Gatehouse Media is planning to sell it’s 95,000-square-foot

building at 33 New York Avenue in Framingham and relocate

employees elsewhere in the Metro West.

• DN Van Lines Moving & Storage purchased the

43,200-square-foot 2 Beeman Road in Northborough as an

owner-user for $2.7MM or $61 per square foot, and Atlantic

Management acquired the 259,000-square-foot 50 Otis Street

in Westborough for $6.5MM or $25 per square foot.

2017 2017Q2 Q2