Norges Bank Investment Management has signed agreements to acquire a 45.0 percent interest in two life sciences properties in the City of Cambridge in the Boston metropolitan area, in joint venture with BXP.
The investment consists of two life sciences properties: 300 Binney Street, which is under redevelopment; and 290 Binney Street, which is under development from the ground up.
The transaction agreements were signed on 13 November 2023, and the transaction closed the same day.
Norges Bank Investment Management acquired its 45.0 percent interest for an initial payment to BXP of 212.9 million U.S. dollars and has committed to a total project cost of 746.4 million U.S. dollars. Upon completion, the total capitalization from the venture is projected to be $1,658.6 million U.S. dollars. The assets are unencumbered by debt, and no financing was involved in the transaction.
290 Binney and 300 Binney are 100.0 percent pre-leased to AstraZeneca and The Broad Institute respectively.
–We are very pleased to grow our portfolio in Greater Boston. The investment aligns with our long-term strategy, and we are delighted to strengthen our partnership with BXP in a sector where we have high conviction, says Mie Holstad, Chief Real Assets Officer at Norges Bank Investment Management.
The seller of the properties is BXP. BXP will retain the remaining 55.0 percent interest in the assets and will manage the properties on behalf of the partnership.
–This investment extends our dynamic partnership with BXP into two best-in-class life sciences properties in Kendall Square, the premier U.S. life science cluster, and adds two of the most innovative tenants in the world in their respective fields to our portfolio, says Dominic DeNunzio, a Senior Investment Manager Real Estate at Norges Bank Investment Management.
The properties will comprise a total of approximately 810,000 square feet of life science space upon completion.
Press contact:
Line Aaltvedt
Head of Media
Tel: +47 948 54 656
Email: press@nbim.no
