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Mass. REIT buys Salem office building for $31M

By: Lee Fehrenbacher//February 16, 2012//

Mass. REIT buys Salem office building for $31M

Lee Fehrenbacher//February 16, 2012//

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The Capitol City Business Center has been purchased by Massachusetts-based Government Properties Income Trust for $30.9 million. (Photo courtesy of Jones Lang LaSalle)

, a Newton, Mass.-based real estate investment trust, has purchased a large government office building in for $30.9 million.

Paige Morgan, vice president of , which represented the seller, said the 233,135-square-foot Capitol City Business Center is currently home to Oregon Department of Justice, the health department of the Oregon Department of Human Services and the Oregon Employment Department. The building is located at 4600 25th Ave.

Morgan said the previous owner renovated the building, built in 1977,聽in 2007 after the former tenant, a State Farm call center headquarters, moved out. She said the office building was a good stabilized property and that the purchase was indicative of positive trends the past couple years.

鈥淚 think in general our market has picked up,鈥 Morgan said. 鈥2011 was considerably better or more active than 2010 or 2009, and this is part of that trend where there is more interest in buying and more interest in selling from both sides.鈥

Government Properties owns 67 properties in 27 states, which together comprise 8.3 million square feet of rentable space. The trust leases the majority of its properties to government agencies.



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