Nuveen Wraps Rare Downtown Boston Deal

The 7 Post Office Square underwent extensive renovations. Image courtesy of JLL

Azora Exan Capital has purchased 7 Post Office Square, a 64,246-square-foot office building in Boston, for $41 million. Nuveen Real Estate sold the asset and JLL brokered the transaction on its behalf.

Nuveen acquired the property in 2016 for $38 million, according to CommercialEdge. The company invested approximately $5 million in upgrades, which included the renovation of the main lobby, new HVAC systems and common-area improvements.

Completed in 1966, the seven-story building features 9,000 square feet of retail space, a 5,672-square-foot showroom, floor-to-ceiling windows, two passenger elevators and controlled access.

The office asset was 91 percent leased to eight tenants at the time of sale, with the roster including Fidelity Investments, Kimball, Concept + Design and Wilson Butler Architects.

The 7 Post Office Square building is in the Financial District, on the corner of Franklin and Congress Street. The transit-oriented property is close to Interstate 94, which provides easy access across the Boston metropolitan area. The office building is within walking distance of Post Office Square Park, South Station, the commuter ferry and an abundance of dining options and retail centers.

The 2nd downtown Boston office sale in more than a year

According to CommercialEdge, this was the second office sale in downtown Boston since January 2022. However, the overall Boston area recorded a higher sales volume than most other major U.S. metros. Year-to-date through July, Boston’s office market had $1.2 billion in sales, clocking in third place behind Los Angeles and Manhattan, a recent report by the same source shows.

The JLL Capital Markets Investment Sales and Advisory team included Chris Angelone, Coleman Benedict, Scott Carpenter, Scott Tully Jr., Brooke Howard and Rachel Bliss. The Nuveen team included Dave Dyer and Ines Olesen, while Azora Exan was self-represented by Ignacio Gil-Casares and Nicolas Guemes.

In January, Azora Exan purchased a pair of Cincinnati office buildings affiliated with Cincinnati Children’s Hospital, for a total of $78 million. JLL Capital Markets also brokered that transaction, arranging the financing and representing both parties.