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Finding The Right Property Meant Searching Deeper Than Available Inventory
Kelleher & Sadowsky Brokers $10 Million, 4-Parcel Deal In Auburn, Mass.
Facing a low inventory market and a client’s site specific needs, Kelleher & Sadowsky had to look beyond the available property offerings to find a solution.
With headquarters in Boston and Hartford, Fortune 500 company Eversource Energy (NYSE: ES) was searching for a property to operate as both a training facility and fleet maintenance center. The ideal property would be central to the company’s 4 million customers in Massachusetts, Connecticut and New Hampshire.
With that criteria in mind, Eversource sought expertise in the Central Massachusetts commercial real estate market, and engaged Kelleher & Sadowsky brokers Donald J. Mancini and Drew Higgins. Beyond the critical aspect of location, the property needed to have office space, conference room facilities, warehouse and distribution space for fleet maintenance, as well as plenty of outdoor training space for Eversource’s gas and electric technicians.
Mancini and Higgins soon realized that none of the listings in a tight market supply covered all of those needs. So they widened the search to include properties not listed for sale.
Through their familiarity with the market, the brokers identified a potential site at 10 Westec Drive in Auburn, which had previously operated as a FedEx distribution facility. Featuring a 65,372-square-foot building on 7.3 acres, it seemed like a great start –– but it wasn’t listed for sale. And that parcel alone would not provide enough space for what Eversource wanted.
The brokers reached out to property owners Virginia Auburn Limited Partnership, who had leased the site to FedEx. In addition, Mancini and Higgins initiated talks with the owners of three adjacent parcels, even though none of the properties was on the market.
Initially, some of the owners had no interest in selling. And, adding to the challenges of the deal, Eversource sought to close on all or most the purchases on the same day.
Each seller had unique needs, and the brokers have credited Eversource with flexibility and professionalism to address those concerns. Mancini and Higgins worked with the owners, bringing them from various stages of reluctance to the negotiating table, and getting the properties under contract in enough time for Eversource to conduct its due diligence on the land.
In a deal worth nearly $10 million, Kelleher & Sadowsky brokered the sale of four properties totaling 25 acres of land. Three of the sales, 8 Westec Drive, 10 Westec Drive and 12 Westec Drive, closed on Sept. 20, 1019. The remaining sale at 7 Westec Drive closed on Dec. 23, 2019.
Individually, the properties were 6.6 acres at 7 Westec Drive, sold by Westec Properties, LLC for $625,000; 5.3 acres at 8 Westec Drive, sold by Westec Drive, LLC for $545,000; 7.3 acres at 10 Westec Drive, sold by Virginia Auburn Limited Partnership for $8 million; and 5.8 acres at 12 Westec Drive, sold by Gemstone Investment Company for $490,000.
Eversource (NYSE: ES) transmits and delivers electricity and natural gas and supplies water to approximately 4 million customers in Connecticut, Massachusetts and New Hampshire. Eversource harnesses the commitment of approximately 8,000 employees across the three states to build a single, united company around the mission of safely delivering reliable energy and water.
Kelleher & Sadowsky Associates specialize in commercial real estate brokerage in Worcester and throughout Central Massachusetts. Our services include landlord/seller representation, tenant/buyer representation, mortgage brokerage, capital markets, and business brokerage.