Boston-based Griffith Properties, which has been repositioning 200 Ballardvale St. in Wilmington into high-end office and research space since purchasing it in mid-2004 for $20 million, has purchased two properties on the same street.

Its first conquest there still does not have a tenant after nearly two years, but that has not stopped Griffith Properties from making further inroads into the Wilmington commercial real estate market.

Aligned with a new partner in AEW Capital Management, Boston-based Griffith last week completed its acquisition of 181 Ballardvale St. and 187 Ballardvale St. for $25 million from BPG Ltd. The two office buildings sit directly across from 200 Ballardvale St., a 36-acre complex that Griffith has been repositioning into high-end office and research space since purchasing it in mid-2004 for $20 million. Originally buying 200 Ballardvale St. in conjunction with the Praedium Group, Griffith has also now brought AEW in to replace its capital partner for that asset.

In acknowledging the latest transaction and switch in partners at 200 Ballardvale St., Griffith Properties principal Tod Brainard last week explained that Praedium was unable to participate in the purchase of 181 and 187 Ballardvale St. The reason, he said, is because it would have conflicted with the fund the New York investment group had dedicated to acquire 200 Ballardvale St. “They wanted to do the deal, and we wanted to do it with them, but they couldn’t [resolve] the issue of using two separate funds,” said Brainard, insisting it was not a rebuke by Praedium toward 200 Ballardvale St. or the surrounding market.

“There’s really no controversy,” he said. “We were very pleased with them as a partner and we hope to do business with them in the future.” Praedium officials were unavailable for comment last week, but one indication of the firm’s belief in the Interstate 93 North submarket is its just-completed purchase of a nearby portfolio in conjunction with Essex River Ventures. Those two firms paid $30 million for 299 and 301 Ballardvale St. in Wilmington and 300 Ballardvale St. in Andover, a 315,000-square-foot portfolio previously owned by the R.J. Kelly Co. of Burlington. That sale was brokered by CBRE/New England.

As for Griffith Properties, Brainard said the firm decided buying 181 and 187 Ballardvale St. would complement the leasing program at 200 Ballardvale St., providing not only a “critical mass” of space to improve operational efficiencies, but also enhancing the attractiveness of both properties. As part of the plan to unite the two assets, Griffith and AEW are recasting them as the Ballardvale Office Park, an effort that will result in cohesive signage, extensive landscaping and cross-use of such on-site amenities as a cafeteria and fitness center.

“In our opinion, it’s a case where one plus one equals three,” said Brainard. “We have a more diverse tenant base, and we can now offer space to both small and big users.” The buildings purchased last week tend to cater to smaller requirements, he said, whereas the large floor plates and other elements of 200 Ballardvale St. make that more amenable to companies needing 50,000 square feet or more.

‘Superb’ Performance

Among those supporting the vision of Griffith Properties and AEW is broker David J. Pergola of Cushman & Wakefield, who has not only been leasing agent for 181 and 187 Ballardvale St. for the past three years with colleague Matt Adams of Meredith & Grew, but also negotiated last week’s sale. The initiative began while Pergola was at Meredith & Grew, leading the sales effort along with his father, David L. Pergola, and Sarah Lagosh. [David J. Pergola departed last month for Cushman & Wakefield, while Lagosh is now at Trammell Crow Co.]

Not only did David J. Pergola predict success going forward with the strategy concocted by Griffith and AEW, he praised the buyers for their performance in the transaction. “My hat really goes off to them,” he said. “They performed superbly in pulling off a very complicated transaction quickly and seamlessly Â… They really did an excellent job in every way.”

The broker was equally effusive of BPG, citing the Pennsylvania-based concern for overcoming the difficult economy which gripped Massachusetts for the first half of the decade, especially in the fringe suburban submarkets such as the Interstate 93 North corridor where Wilmington is located. BPG “was very smart in the way they got the vacancy cleaned up there,” he said, noting the park now has an occupancy rate in the mid-90 percent range after it had slipped close to 60 percent during the regional downturn.

Looking forward, David J. Pergola said he is encouraged by the velocity of tenant requirements in the I-93 North corridor running from Woburn to the New Hampshire border, adding he believes Ballardvale Office Park will be a prime candidate to capture its share of that momentum. A mix of medical devices, defense and technology firms is helping solidify the submarket, he said. “We’re finally starting to see real growth occurring among companies versus just [enduring] a game of musical chairs,” he said. “We’re pretty optimistic that is going to continue, and [Ballardvale Street] is positioned to capture a lot of that momentum.”

Brainard said his firm is especially confident that large users will be attracted to 200 Ballardvale St. given it is one of the few existing properties that can accommodate a six-figure requirement. Richards Barry Joyce & Partners is serving as exclusive leasing agent for the park, and Brainard said the completion of the base building upgrades to 200 Ballardvale St. earlier this year is finally beginning to pay off in stepped-up interest among prospects. “We feel good about where we are right now,” he said. “I expect we’ll have some good news to announce pretty soon.”Its first conquest there still does not have a tenant after nearly two years, but that has not stopped Griffith Properties from making further inroads into the Wilmington commercial real estate market.

Aligned with a new partner in AEW Capital Management, Boston-based Griffith last week completed its acquisition of 181 Ballardvale St. and 187 Ballardvale St. for $25 million from BPG Ltd. The two office buildings sit directly across from 200 Ballardvale St., a 36-acre complex that Griffith has been repositioning into high-end office and research space since purchasing it in mid-2004 for $20 million. Originally buying 200 Ballardvale St. in conjunction with the Praedium Group, Griffith has also now brought AEW in to replace its capital partner for that asset.

In acknowledging the latest transaction and switch in partners at 200 Ballardvale St., Griffith Properties principal Tod Brainard last week explained that Praedium was unable to participate in the purchase of 181 and 187 Ballardvale St. The reason, he said, is because it would have conflicted with the fund the New York investment group had dedicated to acquire 200 Ballardvale St. “They wanted to do the deal, and we wanted to do it with them, but they couldn’t [resolve] the issue of using two separate funds,” said Brainard, insisting it was not a rebuke by Praedium toward 200 Ballardvale St. or the surrounding market.

“There’s really no controversy,” he said. “We were very pleased with them as a partner and we hope to do business with them in the future.” Praedium officials were unavailable for comment last week, but one indication of the firm’s belief in the Interstate 93 North submarket is its just-completed purchase of a nearby portfolio in conjunction with Essex River Ventures. Those two firms paid $30 million for 299 and 301 Ballardvale St. in Wilmington and 300 Ballardvale St. in Andover, a 315,000-square-foot portfolio previously owned by the R.J. Kelly Co. of Burlington. That sale was brokered by CBRE/New England.

As for Griffith Properties, Brainard said the firm decided buying 181 and 187 Ballardvale St. would complement the leasing program at 200 Ballardvale St., providing not only a “critical mass” of space to improve operational efficiencies, but also enhancing the attractiveness of both properties. As part of the plan to unite the two assets, Griffith and AEW are recasting them as the Ballardvale Office Park, an effort that will result in cohesive signage, extensive landscaping and cross-use of such on-site amenities as a cafeteria and fitness center.

“In our opinion, it’s a case where one plus one equals three,” said Brainard. “We have a more diverse tenant base, and we can now offer space to both small and big users.” The buildings purchased last week tend to cater to smaller requirements, he said, whereas the large floor plates and other elements of 200 Ballardvale St. make that more amenable to companies needing 50,000 square feet or more.

‘Superb’ Performance

Among those supporting the vision of Griffith Properties and AEW is broker David J. Pergola of Cushman & Wakefield, who has not only been leasing agent for 181 and 187 Ballardvale St. for the past three years with colleague Matt Adams of Meredith & Grew, but also negotiated last week’s sale. The initiative began while Pergola was at Meredith & Grew, leading the sales effort along with his father, David L. Pergola, and Sarah Lagosh. [David J. Pergola departed last month for Cushman & Wakefield, while Lagosh is now at Trammell Crow Co.]

Not only did David J. Pergola predict success going forward with the strategy concocted by Griffith and AEW, he praised the buyers for their performance in the transaction. “My hat really goes off to them,” he said. “They performed superbly in pulling off a very complicated transaction quickly and seamlessly Â… They really did an excellent job in every way.”

The broker was equally effusive of BPG, citing the Pennsylvania-based concern for overcoming the difficult economy which gripped Massachusetts for the first half of the decade, especially in the fringe suburban submarkets such as the Interstate 93 North corridor where Wilmington is located. BPG “was very smart in the way they got the vacancy cleaned up there,” he said, noting the park now has an occupancy rate in the mid-90 percent range after it had slipped close to 60 percent during the regional downturn.

Looking forward, David J. Pergola said he is encouraged by the velocity of tenant requirements in the I-93 North corridor running from Woburn to the New Hampshire border, adding he believes Ballardvale Office Park will be a prime candidate to capture its share of that momentum. A mix of medical devices, defense and technology firms is helping solidify the submarket, he said. “We’re finally starting to see real growth occurring among companies versus just [enduring] a game of musical chairs,” he said. “We’re pretty optimistic that is going to continue, and [Ballardvale Street] is positioned to capture a lot of that momentum.”

Brainard said his firm is especially confident that large users will be attracted to 200 Ballardvale St. given it is one of the few existing properties that can accommodate a six-figure requirement. Richards Barry Joyce & Partners is serving as exclusive leasing agent for the park, and Brainard said the completion of the base building upgrades to 200 Ballardvale St. earlier this year is finally beginning to pay off in stepped-up interest among prospects. “We feel good about where we are right now,” he said. “I expect we’ll have some good news to announce pretty soon.”