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Boston Commercial Real Estate: Changes in the Financial District

Boston Real Estate, Boston Commercial Real Estate, Boston Financial District, Boston Businesses, Steve Belkin

Steve Belkin

Can you imagine a building that would rise above the tallest currently in Boston? One that would easily surpass the iconic likes of The John Hancock Tower and The Prudential Center? Well, it was only just years ago in 2006 when the Trans National Group owner (as well as owner of other financial and travel companies), Steve Belkin, when these dreams almost became reality. Mayor Thomas M. Menino stood firmly behind these plans, those that would have seen a building stretch to roughly 1,000 feet consisting of eighty floors.

The area that Belkin was hoping to build this massive office building would have been in Bostons Financial District at 133 Federal Street. The reason the plans fell through in 2008 are primarily due to the economic recession and the fact that it became increasingly difficult to attract the necessary funding needed to get the project off the ground. However, now Belkin and his team have resurfaced and are looking to construct another gorgeous working facility, this time though, not nearly as dramatic in size.

Recently, there has been so much discussion about the construction industry in and around Boston. From our blog about the ten most influential building projects that are in the works to a blog sharing that home construction is up 30% over this same time last year, this is a great time for this industry. In 2012, it has even been the best year in the past five for luxury home construction and in yet another blog post we determined just why the size of homes have also gradually been increasing on average.

Even with the support of the Mayor, to ensure that there be not many protests about any sort of development at the given location, Belkin approached the Logan International Airports representatives. It was later determined that regardless of the scale of the project, it would not alter nor congest any airline traffic in the area. As there are not many residents in this district of the city, all indications point to it being yet another ever-so popular building for one to do business in. Despite this, some of the newer and more contemporary office spaces now are bringing in as much as $70/square foot in rent. This is something that certainly can deter businesses, so it will be interesting to see how long it would take Belkin to lease all of the workplaces and more than likely it will take quite some time. In the years to come when considering all of the positive strides the commercial Real Estate market and the economy have made in our city, the popularity and demand for such spaces in the bustling Financial District are sure to increase.

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