Boston commercial real estate

The region’s total office vacancy rate dropped to 22.5%, with Class A office space in the city seeing an even sharper decrease, down to 19.8%. Leasing activity also saw a strong uptick, with a 39.8% increase in leasing velocity compared to the same period last year, indicating sustained demand for office space.

Which means that…

A $1 Billion Tax Bill Is Looming Over Boston Homeowners
https://www.wsj.com/real-estate/boston-commercial-property-taxes-budget-0488c875?mod=author_content_page_1_pos_1
The value of some Boston office buildings has tumbled by 50%, causing homeowners to pick up the tax burden.

DB2

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If Harvard were to lose its tax-exempt status then Boston would benefit property tax wise.

“While many think of Harvard Yard in Cambridge, Massachusetts as Harvard’s campus, the University also has robust campuses in the Longwood and Allston neighborhoods of Boston, Massachusetts.”

Boston has a voluntary program for those tax-exempters called PILOT (payment in lieu of taxes) which is significant lower than tax payments would be.

However, it seems Harvard hasn’t been a good local citizen.

DB2

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The work from home routine seems to have peaked. More employers are requiring more time in the office. They will need more office space.

Four day work week could be more popular than work from home.

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