Newmark Completes $25+ Million Sale of Three Newbury Street Assets in Boston, Massachusetts

March 27, 2024 9:00 AM

Newmark announces the $25+ million sale of three assets located along Newbury Street in the Back Bay neighborhood of Boston, Massachusetts. Newmark Co-Head of U.S. Capital Markets Robert Griffin and Managing Directors Paul Penman and Jonathan Martin of the firm’s Boston Capital Markets Group represented the undisclosed seller and procured the undisclosed buyer.

Totaling 25,702 square feet, the three assets are located at 333-335, 342 and 352 Newbury Street. The properties offer a mix of secure cash flow via in-place retail tenancy and upside potential via the lease-up of upper-level office space. Major retail tenants include Arc’teryx, which occupies the entirety of 352 Newbury Street and recently renovated its space, plus Champion, Fjallraven and Sunglass Hut.

“Retail leasing on Newbury Street continues to strengthen with new brands opening daily and rental rates being pushed to record highs,” said Penman. “Private capital is taking notice and seizing the chance to acquire assets at cap rates that are 100 to 150 basis points higher than traditional levels.”

“Acquisition activity in the Back Bay is picking up significantly after the investor market for boutique mixed-use assets had largely been on hold since the start of the pandemic,” added Martin. “In addition to this transaction, the increased activity is further exemplified through the $14.5 million sale of 181 Newbury Street our team executed last month and three more Back Bay assets under agreement to close shortly.”

333-335, 342 and 352 Newbury Street feature at-grade retail entrances, large modern storefronts and deep sidewalks. The assets’ boutique office components benefit from dedicated parking, street entrances and elevator access.

About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the year ending December 31, 2023, Newmark generated revenues of approximately $2.5 billion. Newmark’s company-owned offices, together with its business partners, operated from approximately 170 offices with 7,400 professionals around the world. To learn more, visit nmrk.com or follow @newmark.

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