Boston-based HFF has arranged financing totaling $89 million for King Street Properties’ purchase and renovation of two laboratory buildings in Cambridge.
King Street Properties bought the buildings at 87 and 200 Cambridge Park Drive for $54.5 million. Renovations to the building will bring the total cost to $112 million.
The property at 87 Cambridge Park Drive is a 62,492-square-foot office and laboratory building that is currently vacant. 200 Cambridge Park Drive is a vacant six-story 221,676-square-foot Class A office and laboratory facility that was most recently renovated in 2004.
Working on behalf of King Street Properties LLC, HFF placed both acquisition/repositioning loans through Cornerstone Real Estate Advisers, acting on behalf of its advisory clients. A $22 million floating-rate loan was secured for 87 Cambridge Park Drive and a $67 million, floating-rate loan was secured for 200 Cambridge Park Drive.
Both properties will be renovated, repositioned and re-leased by King Street. Cushman and Wakefield is handling the leasing of both properties.
"The properties have terrific laboratory infrastructure in place already, as both were formerly owner-occupied by Pfizer," King Street principals Thomas Ragno and Stephen Lynch, said in a statement. "Our program of renovations to 200 Cambridge Park Drive will include upgrades to the main lobby, a new dining area, new fitness center and renovation of the tenant spaces."
