38 Upton Drive - The Davis Companies

38 Upton Drive

38 Upton Drive, Wilmington, MA 01887

Thesis

E-commerce “next day” and “same day” delivery, combined with supply chain issues prompting changes to inventory strategies, have spurred unprecedented demand for industrial distribution space in the greater Boston market, driving strong rent growth. In addition, demand for high quality R&D space has grown dynamically.
We have been actively searching for sites with good highway access that can be developed for new state-of-the-art industrial distribution facilities, with the larger goal of assembling an industrial portfolio in greater Boston.
38 Upton Drive, located just off I-93 North, presented the opportunity to acquire a pre-permitted 27-acre development site, along with an existing 5 building industrial/R&D portfolio in Wilmington and Methuen, MA.

We closed on 38 Upton Drive in March 2021.
We are developing two new Class A warehouse/distribution facilities, of approximately 100,000 RSF each, which are on track to be delivered ahead of competing product in the Northern Boston development.
Construction on the project is underway and slated for substantial completion in January 2023.
The existing buildings are 100% occupied with significant mark-to-market rent opportunity as approximately 64% of the in-place leases expire within the fund’s projected four-year holding period, and average in-place rents are 42% below market.

Industrial, Distribution & Storage

Wilmington, MA

214,430 RSF