The new owner of Reebok International’s former 65-acre campus in Canton is considering a multitenant leasing strategy to fill up the office complex.
San Francisco-based Spear Street Capital paid $88 million this month for the 680,000-square-foot complex on Royall Street, which was custom-designed for the sporting goods manufacturer in the late 1990s.
“It depends upon demand and on the tenants who ultimately come into the market,” said John Grassi, CEO of Spear Street Capital. “We really have to figure most of this out going forward. There’s a lot there to work with, and it’s great stuff.”
The property’s potential to attract another corporate headquarters could be limited by the declining appeal of isolated suburban office complexes without connections to public transit.
While that has prompted other suburban landlords to invest heavily in amenities, Reebok anticipated current trends in office designs by nearly two decades. Bordered by playing fields and a 400-meter track, the main 518,000-square-foot office building includes fitness centers and an indoor basketball court.
“The movement has been toward more varied amenities, and they were way ahead of the curve and put a lot of resources into it,” Grassi said.
Grassi declined comment on selection of an office leasing broker.
Despite the size of the parcel, Spear Street is not considering adding multifamily housing, Grassi said. Landlords have added apartment complexes at office parks in Beverly, Burlington, Needham and Woburn to fill vacant parcels and bring more life to properties that empty out after business hours. Ancillary uses such as amenity retail are a possibility, Grassi said.
The town of Canton has designated the property as a Chapter 43D priority development site, which calls for a maximum 180-day review of land-use permits. The property also includes a 138,000-square-foot office and R&D building, 14,000-square-foot manor house, 10,000-square foot child-care center and two parking garages.
Reebok vacated the Canton property overlooking Route 128 late last year after opening a new headquarters at Boston’s Innovation and Design Building.
