Cummings Properties acquires office and research complex for $5.6 million

Bedford, MA One day after learning of a public auction for a long-vacant office and research center, Cummings Properties submitted the winning bid of $5.6 million, over several other significant bidders.

The two buildings, located at 174 and 176 Middlesex Tpke., last sold for more than $93 million, in 2012, to Texas-based Orion Reit, LP.

Developed in 2001, the 56-acre campus comprises two interconnected three- and four-story buildings totaling 330,000 s/f of modern office and research space. About 16 acres of the site are fully developed and usable, while more than 35 additional acres consist largely of protected wetlands and recorded conservation easements approved during and since the original development.

According to Eric Anderson, president of Cummings, the parcel was purchased with cash and has already generated considerable interest from prospective tenants. Cummings campuses in other communities frequently draw a wide variety of clients, including medical practices and other healthcare providers. These “Medical City” developments have performed exceptionally well.

“Cummings has a long track record of buying underappreciated properties and making them successful,” Anderson said. “Because we purchased the property at the right price, we can be highly competitive with our initial rates to attract ideal leasing clients.”

Anderson noted that triple-net lease rates for this property start as low as $9.50 per s/f for large lessees.

“We’ve already conducted tours with several potential full-floor users, plus one firm that is considering the entire two-building complex,” said Anderson.

Cummings Properties manages 11 million s/f across 12 eastern Massachusetts communities, including Woburn, where it is headquartered. Its properties are primarily large, multi-tenant commercial buildings that together accommodate nearly 2,000 client firms from a broad cross section of industries.

Cummings’ diverse portfolio includes technical, retail, and traditional office space as well as hundreds of health and wellness facilities, including established “Medical City” clusters in Woburn and Beverly. Anderson believes the new campus – known as Bedford Woods – could be well suited for similar medical and professional uses. The location also offers MBTA bus service directly within the site and convenient access to regional amenities.