495 WEST

495 NORTH

495 NORTHEAST

495 SOUTH

128 NORTHWEST

128 NORTH

FRAMINGHAM/NATICK

128 WEST

INNERSUBURBS

128 SOUTH

128 WEST OFFICE 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

VACANCY AND NET ABSORPTIONCLASS A & B RENTS

TENANT ADDRESS CITY SIZE

Aetna 93 Worcester Street Wellesley 80,300

National Grid* 404 Wyman Street Waltham 68,145

Steward Health Care 89 A Street Needham 52,079

Clearview Healthcare Partners 275 Washington Street Newton 37,888

CICBR 1601 Trapelo Road Waltham 32,000

NOTABLE TRANSACTIONS

TOTAL INVENTORY

(SF)

UNDER CONSTRUCTION

(SF)

DIRECT VACANT

(SF)

SUBLEASE VACANT

(SF)

TOTAL VACANCY

RATE

Q3 NET

ABSORPTION (SF)

YTD NET

ABSORPTION (SF)

ASKING RENT ($/SF)

Class A 13,412,157 515,000 1,534,882 253,788 13.3% 255,284 362,531 $41.12

Class B 10,035,807 26,100 1,013,293 25,834 10.4% 28,007 85,573 $34.33

TOTAL 23,447,964 541,100 2,548,175 279,622 12.1% 283,291 448,104 $38.42

FEATURED DEAL

39,499 SFWAVERLEY OAKS PARK, WALTHAM

NAI Hunneman recently represented the landlord, Duffy Properties, in a lease expansion at Waverley Oaks Park. In the first quarter, Zoom Info, renewed and expanded to 30,000 square feet at nearby 307 Waverley Oaks Road. Most recently, Zoom Info was acquired by a private equity firm in Boston and leased another 9,499 square feet of space at 309 Waverley Oaks Road.

STATISTICS

128 WEST OFFICE MARKET

SUBMARKET TRENDS

• Construction continues to put upward pressure on vacancies

in the Route 128 West office market. Delivery of vacant Two

Wells Avenue in Newton and Post 200 in Waltham pushed

rates up to 12.1% in the third quarter.

• That said, this new product is driving asking rents up in this

submarket. Class A asking rents in Route 128 West have

now surpassed $41 per square foot.

• Shire is subleasing 104,000 square feet at 235 Wyman

Street in Waltham and Constant Contact is expected to

relocate to Burlington from 1601 Trapelo Road also in

Waltham.

• Steward Health Care will join SharkNinja at the newly-

constructed 89 A Street in Needham, leasing 52,000 square

feet in the third quarter. Aetna signed a lease expansion in

Wellesley this quarter as well.

• In August, NBCUniversal finalized its purchase of the

165,000-square-foot 189 B Street in Needham for its

regional headquarters; paying $41.7MM or $124/SF. The

building is slated to deliver in early 2019.

2017 2017Q3 Q3

ArrowsDirect Vacancy Sublease Vacancy 12-month Absorption Leasing ActivityUp Down Up Down

Total Inventory Under Construction Direct VacantClass A 13,412,157 515,000 1,534,882Class B 10,035,807 26,100 1,013,293Total 23,447,964 541,100 2,548,175

Notable TransactionsTenant/Buyer Address City Size/ $SFAetna 93 Worcester Street Wellesley 80,300 National Grid 404 Wyman Street Waltham 68,145 Steward Health Care 89 A Street Needham 52,079 Clearview Healthcare Partners 275 Washington StreetNewton 37,888 CICBR 1601 Trapelo Road Waltham 32,000 *Renewal

Featured Deal

Vacancy and Net Absorption

Q1 2015Q2 2015Q3 2015Q4 2015Q1 2016Q2 2016Q3 2016Q4 2016Q1 2017Q2 2017Q3 2017

NAI Hunneman recently represented the landlord, Duffy Properties, in a lease expansion at Waverley Oaks Park. In the first quarter, Zoom Info, renewed and expanded to 30,000 square feet at nearby 307 Waverley Oaks Road. Most recently, Zoom Info was acquired by a private equity firm in Boston and leased another 9,499 square feet of space at 309 Waverley Oaks Road.

0%

2%

4%

6%

8%

10%

12%

14%

-300,000

-200,000

-100,000

0

100,000

200,000

300,000

400,000

Q42014

Q12015

Q22015

Q32015

Q42015

Q12016

Q22016

Q32016

Q42016

Q12017

Q22017

Q32017

Net Absorption Vacancy

Class A&B Rents

Submarket Trends

$0

$5

$10

$15

$20

$25

$30

$35

$40

$45

Q42014

Q12015

Q22015

Q32015

Q42015

Q12016

Q22016

Q32016

Q42016

Q12017

Q22017

Q32017

Class A Class B

- Construction continues to put upward pressure on vacancies in the Route 128 West office market. Delivery of vacant Two Wells Avenue in Newton and Post 200 in Waltham pushed rates up to 12.1% in the third quarter.

- That said, this new product is driving asking rents up in this submarket. Class A asking rents in Route 128 West have now surpassed $41 per square foot.

- Shire is subleasing 104,000 square feet at 235 Wyman Street in Waltham and Constant Contact is expected to relocate to Burlington from 1601 Trapelo Road also in Waltham.

- Steward Health Care will join SharkNinja at the newly-constructed 89 A Street in Needham, leasing 52,000 square feet in the third quarter. Aetna signed a lease expansion in Wellesley this quarter as well.

- In August, NBCUniversal finalized its purchase of the 165,000-square-foot 189 B Street in Needham for its regional headquarters; paying $41.7MM or $124/SF. The building is slated to deliver in early 2019.

*Sublease