2026 Mid-Year Review: Robert Yacobian, Cummings Properties

What projects, initiatives, or types of work have been keeping your team busiest during the first half of 2026?
The first half of 2026 has been defined by our acquisition and repositioning of Bedford Woods, a 330,000 s/f, two-building office and R&D campus at 174–176 Middlesex Turnpike in Bedford, Massachusetts.

Purchased at auction as an all-cash transaction, and fully vacant at closing, the property represented both a significant opportunity and our entry into the Route 3 corridor, providing access to one of greater Boston’s established technology and innovation markets. The acquisition also added large, contiguous blocks of space to our portfolio, enabling us to pursue an even broader range of leasing opportunities.

Since closing, we have focused on leasing and repositioning efforts to reintroduce Bedford Woods to the market. Activity has been highly encouraging, with interest from a diverse range of companies and ongoing discussions with both multi-floor and full-building users.

What trends or shifts have stood out most to you so far this year within your industry?
One of the most notable trends this year has been a shift in capital allocation. While venture capital investment in traditional life science companies has remained subdued, funding and growth activity have increasingly been directed toward behavioral health and healthcare services. As a result, demand from these users has become a meaningful source of leasing activity and absorption, helping offset slower growth in VC-backed life sciences.

We are also seeing gradual improvement in the traditional office sector as companies gain greater clarity around long-term workplace strategies. This renewed interest has created frequent opportunities for meaningful discussion about the relationship between improving market fundamentals and realistic tenant expectations, as many prospects continue to seek substantial concessions that may not align with market realities.

What challenges or opportunities have had the biggest impact on your business during the first half of 2026?
Overall leasing activity remains healthy, with demand remaining strongest for single-story flex space, one of the most sought-after asset types in the market. Despite this demand, very little new flex product is being developed along the I-93 and I-95 corridors, which has created a favorable supply-demand dynamic for commercial landlords with existing flex properties.

At the same time, significant opportunities are emerging as Class B and Class C office buildings across the region are repurposed. This trend is strengthening the position of quality Class B assets, creating a growing pipeline of businesses seeking high- value, well-located space.

As we look ahead to the second half of the year, what are you watching most closely?
As we look toward the second half of 2026, interest rates remain a key factor influencing lending, investment, and transaction activity across the commercial real estate market. Additional rate stabilization or reductions could help unlock investment and leasing momentum.

Historically, our portfolio has maintained a strong concentration of small- and mid-sized businesses, which continue to provide stable occupancy and demand. A meaningful portion of the activity we are tracking within the technology and life science sectors will remain dependent on venture capital and private equity funding. The pace of capital deployment will continue to shape tenant expansion plans and overall market activity.