495 WEST

495 NORTH

495 NORTHEAST

495 SOUTH

128 SOUTH

128 NORTHWEST

128 NORTH

FRAMINGHAM/NATICK

INNERSUBURBS

128 WEST

SOUTH INDUSTRIAL M

ARKETQ4

2016

ASKING 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

Q4

303 Congress Street | Boston, MA 02210 | 617.457.3400

www.NAIHunneman.com

Q4 2016

Class A&B Rents

Submarket Trends

$0

$2

$4

$6

$8

2014 Q4 2015 Q1 2015 Q2 2015 Q3 2015 Q4 2016 Q1 2016 Q2 2016 Q3 2016 Q4

Route 128 South Route 495 South

‐ With 3.3 million square feet of industrial space absorbed over the last two years, vacancies now sit 260 basis points below their 2014 levels in the South markets.

‐ TA Realty's 200,000‐square‐foot speculative building at 150 Charles Colton Road in Taunton delivered. M.S. Walker also completed its 184,900‐square‐foot bottling plant at 100 Meadow Road in the Boston Business Park. 

‐ Harrison Specialty Company listed the 105,000‐square‐foot 15‐21 University Road in Canton for lease or sale.

‐ PrimeSource acquired Northeast Wholesale in November; leaving 60,000 square feet vacant at 980 Turnpike Street in Canton.

‐ In the fall of 2017, a one million‐square‐foot medical marijuana growing facility, known as the Massachusetts Medical Cannabis Center, is set to open in Freetown. The first phase is set to begin construction in March with a 130,000‐square‐foot facility. 

ArrowsDirect Vacancy Sublease Vacancy 12‐month Absorption Leasing ActivityAsking RentDown Flat Up Up Up

Seaport Total Inventory Under Construction Direct Vacant Sublease VacantRoute 128 Sout 38,543,181 0 2,933,554 8,900Route 495 Sout 30,649,493 498,200 2,837,533 0Total 69,192,674 498,200 5,771,087 8,900

Notable TransactionsTenant Address City SizeInsul‐Mart LLC 260 Kenneth Welch D Lakeville 107,216         Azz Inc.* 51 Adler Street Medway 80,863           Tighe Logistics 40 Robbie Road Avon 75,798            Hunneman DealVerizon Commu51 Adler Street Medway 42,777           Mantua Manufa21 Parker Avenue Avon 30,320            Hunneman Deal*Renewal

Featured Deal

Vacancy and Net Absorption

NAI Hunneman assisted Urban Equities with a 75,798‐square‐foot lease at 40 Robbie Road in Avon. The tenant, Tighe Logistics, was also represented by Hunneman. This move represents the company's 6th distribution center, which will service a leading Massachusetts food manufacturer. 

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

-200,000

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

2014 Q4 2015 Q1 2015 Q2 2015 Q3 2015 Q4 2016 Q1 2016 Q2 2016 Q3 2016 Q4

Net Absorption Vacancy

VACANCY AND NET ABSORPTIONCLASS A & B RENTS

TENANT ADDRESS CITY SIZE

Insul-Mart LLC 260 Kenneth Welch Drive Lakeville 107,216

Azz Inc.* 51 Adler Street Medway 80,863

Tighe LogisticsNAI Hunneman Deal

40 Robbie Road Avon 75,798

Verizon Communications* 51 Adler Street Medway 42,777

Mantua ManufacturingNAI Hunneman Deal

21 Parker Avenue Avon 30,320

*Renewal

NOTABLE TRANSACTIONS

TOTAL INVENTORY

(SF)

UNDER CONSTRUCTION

(SF)

DIRECT VACANT

(SF)

SUBLEASE VACANT

(SF)

TOTAL VACANCY

RATE

Q4 NET

ABSORPTION (SF)

YTD NET

ABSORPTION (SF)

ASKING RENT ($/SF)

Route 128 South 38,543,181 0 2,933,554 8,900 7.6% 133,824 1,435,814 $7.06

Route 495 South 30,649,493 498,200 2,837,533 0 9.3% 234,096 297,971 $6.12

TOTAL 69,192,674 498,200 5,771,087 8,900 8.4% 367,920 1,733,785 $6.60

FEATURED DEAL

75,798 SF40 ROBBIE ROAD, AVON

NAI Hunneman assisted landlord Urban Equities with a 75,798-square-foot lease at 40 Robbie Road in Avon. This move represents Tighe Logistics’ sixth distribution center, which will service a leading Massachusetts food manufacturer.

STATISTICS

SOUTH INDUSTRIAL MARKET

SUBMARKET TRENDS

• With 3.3 million square feet of industrial space absorbed

over the last two years, vacancies now sit 260 basis points

below their 2014 levels in the South markets.

• TA Realty’s 200,000-square-foot speculative building at

150 Charles Colton Road in Taunton delivered. M.S. Walker

also completed its 184,900-square-foot bottling plant at

100 Meadow Road in the Boston Business Park.

• Harrison Specialty Company listed the 105,000-square-foot

15-21 University Road in Canton for lease or sale.

• PrimeSource acquired Northeast Wholesale in November;

leaving 60,000 square feet vacant at 980 Turnpike Street

in Canton.

• In the fall of 2017, a one million-square-foot medical

marijuana growing facility, known as the Massachusetts

Medical Cannabis Center, is set to open in Freetown. The

first phase is set to begin construction in March with a

130,000-square-foot facility.