Pasadena, California-based real estate investment trust (REIT),
Alexandria Real Estate Equities, Inc. (
, recently entered into long-term agreements with four prestigious
companies. The agreements are intended to pre-lease a total of
162,000 square feet at a property - 400 Technology Square - located
in Cambridge, Massachusetts.
The 400 Technology square comprises of rentable space of around
194,776 square feet and is one of the seven facilities located at
the company's state-of-the-art laboratory/office park-like
community known as Alexandria Technology Square. The acquired
property is currently in the final stage of redevelopment, which is
expected to be completed later this year. Upon completion, the
total square footage of the campus will be increased by around
18,000 square feet.
Alexandria Technology Square is located in the Kendall Square
neighborhood of Cambridge and consists of seven buildings spanning
1.2 million square feet of office, lab and retail space.
Strategically located adjacent to the Massachusetts Institute of
Technology (MIT), and near the Broad Institute and the Whitehead
Institute, the property is well connected to various residential
areas, restaurants, shops, and conveniences.
The property is already occupied by leading life science and
advanced technology companies such as -
Novartis AG (
GlaxoSmithKline plc (
, H3 Biomedicine Inc. and the Massachusetts Biotechnology Council.
Following the lease agreements, the property will now have four
more well- known firms as tenants. These include - The Ragon
Institute of MGH, MIT and Harvard, Epizyme, Inc., Warp Drive Bio,
LLC and Aramco Services Company.
Alexandria Real Estate primarily focuses on leasing properties
situated in key cluster submarkets to top-notch organizations,
mainly associated with the life science industry. The Greater
Boston area which houses Cambridge is among Alexandria Real
Estate's core operational markets cluster.
The company owns and operates approximately 3.7 million square feet
of office and high-quality laboratory space in close proximity to
world known academic and medical institutions. It has around 100
client tenants in the area including the likes of
Abbott Laboratories (
Biogen Idec Inc. (
Quest Diagnostics Inc. (
Thermo Fisher Scientific Inc. (
Recently, Alexandria Real Estate leased a property located at
another core operational market cluster - Suburban Washington D.C.
The company inked a long-term lease deal with National Institutes
of Health's (NIH) National Center for Advancing Translational
Sciences (NCATS) for 75,000 square feet of space at Alexandria's
Shady Grove Life Sciences Center in Maryland.
The company is expected to release its third-quarter 2012
results on October 29, 2012. The Zacks Consensus Estimate for third
quarter FFO (fund from operations) is currently pegged at $1.08 per
ABBOTT LABS (ABT): Free Stock Analysis Report
ALEXANDRIA REAL (ARE): Free Stock Analysis
BIOGEN IDEC INC (BIIB): Free Stock Analysis
QUEST DIAGNOSTC (DGX): Free Stock Analysis
GLAXOSMITHKLINE (GSK): Free Stock Analysis
NOVARTIS AG-ADR (NVS): Free Stock Analysis
THERMO FISHER (TMO): Free Stock Analysis Report
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We currently have a long-term Neutral recommendation on the stock.
It also carries a short-term Zacks #3 Rank (Hold).
Note: FFO, a widely accepted and reported measure of the
performance of REITs is derived by adding depreciation,
amortization and other non-cash expenses to net income.