Kelleher & Sadowsky Associates, Inc. has been specializing in commercial real estate in Worcester and throughout Central Massachusetts for more than thirty-five years. With an extensive track record, unparalleled market expertise, and unmatched professionalism, Kelleher & Sadowsky is the solution to all your commercial real estate needs. Our services include brokerage – Buyer and Seller Representation and Landlord and Tenant Representation, as well as Capital Market Investment and Mortgage Brokerage.
Kelleher & Sadowsky
466 Main Street, Suite 2200
Worcester, Massachusetts 01608
Downtown Office Overview
The Worcester office market is unique in that it has relatively stable occupancy of 90% and higher rents than the I-495 market. Comprised of seven buildings, the Central Business District (CBD) Class A market contains approximately 1,400,000 square feet. Rental rates vary from a high of $30/ SF in the only new building to $22/ SF in most of the older buildings, all depending on location, lobby condition, tenant improvements and parking.
There has been and continues to be a significant amount of new capital invested in the Worcester CBD. This includes the construction of the new UNUM building, the redevelopment of the Telegraph & Gazette building for the occupancy of Quinsigamond College and the ongoing expansion of facilities for the MCPHS. Public improvements include the recent Front Street extension, the paving of Main Street, and construction of a 550 car public garage and grade-level outdoor public space. Private capital is funding a 165 room AC Hotel by Marriott and the development of 376 units of market rate housing, all by year end 2017.
With all of this public and private investment, the Worcester CBD has become a destination for business. For example, in 2015 Mercantile Center attracted 100,000 SF of occupancy by UMass Memorial and Nitsch Engineering and secured extended commitments from Webster Five, Reliant Medical Group, Bank of America and Nationwide Insurance Company.
Mercantile Center offers exceptional opportunities for new tenants from 1000 SF to 50,000 SF. The property will provide a unique mix of amenities to the office tenants, including the complete renovation of 20,000 SF of common areas. Ownership also offers the ability for new tenants to efficiently space plan and provide direct access to on-site parking.
- Mercantile Center is the best mixed use property in the CBD. Its new lobbies will attract office and retail that will benefit from each other’s presence
- It is the best capitalized asset in the market with the ability to plan and execute exciting tenant improvements
- The current tenancy is the highest quality in the market place
- Its onsite parking garage is being substantially renovated