One Lincoln (State Street Building)

[bigpicture7]

Some rather big news:

One Lincoln Office Tower Headed to Auction

Lenders scheduled a real estate auction for the 1.1 million-square-foot One Lincoln tower in Boston, in the biggest example of fallout from the downtown office market’s post-pandemic distress.

bankerandtradesman.com

Lenders are calling time on this tower, with an auction planned for March 20. A source tells us the senior loan debt of $765 million, with $145 million in floating-rate mezzanine financing.

Occupancy took a big hit when State Street left and was only partially replaced by HarborVest and law firm Sherin and Lodgen, then again in November when WeWork dropped from not-quite-a-quarter of the building down to just three floors as part of its bankruptcy.

So far it's the first office tower downtown to wind up headed for auction this cycle.

For context: Boston’s 77.6 million-square-foot office market had a 19.5 percent vacancy rate at the end of 2024, according to a report released this week by brokerage Hunneman. Vacancies among class A buildings were 15.5 percent.

Unfortunate/interesting. Per upthread, when they announced refinancing in 2022, it was stated they were going to pump $200M back into the building for upgrades/enhancements. I wonder if that cash already got sunk into the building, or if that hadn't even started yet at this point.

 

[Justbuildit]

It is very much under construction at least at ground level. There are construction fences and I believe the facade at some of the ground level area has been off for some time. I was under the impression it was well underway with its renovation. There were some splashy ads about amenities including roof deck, dining space, etc.

Clearly not yet at bottom...


EDIT: see below...

One Lincoln

www.onelincolnboston.com

 

[Longfellow]

Unfortunate/interesting. Per upthread, when they announced refinancing in 2022, it was stated they were going to pump $200M back into the building for upgrades/enhancements. I wonder if that cash already got sunk into the building, or if that hadn't even started yet at this point.

A lot of it is going to amenities. Apparently three bars are being installed or have been installed. That’s what I’ve been hearing.