CB Richard Ellis/Whittier Partners reportedly has found a buyer for two flex properties at 257 Cedar Hill St. (above) and 259 Cedar Hill St. in Marlborough.

Sometimes it pays to open up, and that certainly appears to be the case in Marlborough, where the addition of a new interchange to Interstate 495 has sparked a flurry of investment and leasing deals in recent months.

“The interchange has definitely had an impact,” said Hughes Properties Corp. President Scott R. Hughes. “In the last 90 days, there has been a lot of activity around there … and I do think that is a big reason for it.”

There have certainly been a number of transactions lately in Marlborough in the one square mile surrounding the new interchange – Exit 23C – and for a variety of commercial products. Along with the $57.8 million sale of the 3Com corporate campus to Berwind Property Group, for example, the RREEF Funds paid $12.2 million recently for 34 St. Martin Drive, a 203,000-square-foot industrial/flex building purchased from Taurus New England Investments. Meanwhile, Hughes last week completed the sale of 45 Bartlett St. to Candee Investments. The fully leased, 42,000-square-foot building traded for $3 million, or a healthy $71 per square foot. Hughes represented the buyer while John Eisenbach of R.W. Holmes Realty served as listing agent for the sellers, VR Holdings.

In other deals, real estate investor VINco recently paid $1.87 million for 410 Forest St., a 31,000-square-foot office/industrial building, while CB Richard Ellis/Whittier Partners principal Gary J. Lemire reportedly has found a buyer for two flex properties at 257 Cedar Hill St. and 259 Cedar Hill St. The buildings are owned by the Archon Group and have been on the market since last summer. In addition, Nordic Properties of Burlington has agreed to buy the former Rich Products Corp. warehouse, a 175,000-square-foot structure originally built in the 1960’s for Stop & Shop. Calls to Nordic were not returned by Banker & Tradesman’s press deadline, but CB/Whittier broker Austin W. Smith acknowledged that Nordic has committed to buying the property, with plans to continue it as an industrial use following renovations.

“We believe its an attractive option for industrial,” said Smith, who is brokering the deal with colleague Robert Gibson. Smith said the new interchange makes “a huge difference” in the building’s value, although he declined to discuss the price. One source estimated the 17-acre parcel and the building will trade in the $5 million range.

‘A Few Slices’

According to Hughes, the geographic fundamentals of Marlborough has lent itself to increased attention from both investors and users of real estate, while a skilled workforce and reasonable housing market to support such workers have contributed to the sudden surge of activity following a difficult 2001 and 2002. Interest has been so solid that developer Paul Maggiore last week placed his Cedar Hill Place office building on the market with an asking price of $12 million. Hughes, whose firm is listing agent for the 107,000-square-foot property, said he anticipates a range of suitors will vie for the asset.

“We’re talking to a few companies that are interested in [occupying] the building, but we expect to see investors also,” said Hughes. Although the building is 56 percent spoken for, Hughes said the top floor was left empty to accommodate such a possibility, with 39,000 square feet available for a user.

The MetroWest’s 495 district has seen its struggles of late, with Spaulding & Slye Colliers reporting that the area ended the year with an 18.8 percent vacancy rate and 29.8 percent availability mark after 144,000 square feet of negative absorption in 2002. More recently, however, there appears to be a surge of tenants milling about the market, as indicated by last week’s Banker & Tradesman story that such major players as TJX Cos. and Bose Corp. are shopping for up to 300,000 square feet each in the area. Sources also said last week that Exact Sciences has finalized its lease for 55,000 square feet at the 3Com campus, which Berwind is converting into a multi-tenanted complex. Exact Sciences will be relocating to the Marlborough park from Maynard.

The park’s leasing broker, Kevin P. Malloy, last week declined to comment on the Exact Sciences report, or on rumors that TJX also has looked at the sprawling campus development. A senior vice president with Lincoln Property Co., Malloy did say he is encouraged by the pace of activity at the complex, with several sizeable deals currently in the pipeline.

“We’re ahead of our plan,” said Malloy. “We didn’t expect traffic would be this fast and furious when [Berwind] bought the property.” Berwind has put about 332,000 square feet of the 531,000 square feet in the 3Com building out for lease, with 3Com itself and National Grid among the firms occupying the remaining space.

Another Marlborough property that has fared well in recent months has been Marlborough Corporate Place, which is owned by Glenborough Realty Trust. The seven-building complex, which totals some 400,000 square feet, is almost completely full, according to CB Richard Ellis/Whittier principal Christopher Tosti.

“We may have a few slices here and there, but it is essentially leased up,” said Tosti, who has been handling that assignment along with colleagues Robert Maguire and Rob Walles. Securing some of the few remaining slots have been such firms as Mentor Graphics, which leased 30,000 square feet, and Avian Communications, now a 40,000-square-foot tenant in the property.

Tosti cited the quality of the space and a solid ownership as main reasons for the steady velocity at Marlborough Corporate Place. But the suburban leasing specialist also agreed that the new interchange has played a role in boosting activity at that park and in the surrounding market. “It has absolutely helped,” he said. “It has been good for everybody.”