Wellington subleasing 134k sq. ft. of space - Boston Business Journal:

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the first major block of sublease office space to hit Bostom downtown marketthis year. Wellington’z spokeswoman, Lisa Finkel, declined to comment but real estatr executives confirmed the space has been listesd for sublease for abouta month. The space is locatedd on floors 20 through 22 of the The additionof Wellington’s sublease space bringse the overall amount of officed space available for sublease in the area to more than 1.5 millionb square feet. Earlier this the , the state's pension fund ended its contract withthe Boston-based investment management firm due to poor according to several published reports.
While real estate executiveds have anticipated the market to be floodex with sublease space for months given the the market has only seen dribs and drabs of smalleerblocks listed. According to a report from , the availability of subleases space increased in the first quarter ofthis year. Sinc e the end of 2008 about 600,000 square feet of subleasse space has come onthe market, according to the report.
The trene is seen a negativwe by most in the real estate as the addition of sublease space dragws down rents as tenants can find cheaper space available by renting from a company rather than directly from a The average asking rate for locao sublease space isbetween $33-per-square-foot and $35-per-square-foot, compared with betweeb $47-per-square-foot and $53-per-square foot for space rentefd directly from landlords. The amount of sublease spacse coming to the market is expected to grow by the end of the saidJohn Barry, a partner at LLC. “Our numbers show that there’z about 1.
5 million square feet of sublease on the marke and we project that this number will increasw by the end of the said Barry. Barry said the amoun of sublease space inthe 67-million-square-foot Boston market could grow toward 2 millio n square feet by the end of the Though sublease space is increasinglh available, it has yet to match the last majorf downturn. During the technology bust of 2001, local sublease spacew reached a peakof 2.1 million square feet in 2002, said Barry.