BXP Sees Strong Leasing Momentum in the 4th Quarter 2021

Rhea-AI Summary

Boston Properties (NYSE: BXP) has executed 1.8 million square feet of leases in Q4 2021, with an average lease term of 8.6 years, contributing to a total of 5.1 million square feet for the year. Key leases include 231,000 square feet in South San Francisco and significant leases in Waltham and New York City. This leasing activity marks a 55% increase from Q4 2020 and showcases a strong demand for office spaces, particularly among life sciences clients, with over 25% of leases in this sector.

Positive

• 1.8 million square feet of leases executed in Q4 2021, marking a substantial increase in leasing activity.
• Total leasing activity for 2021 reached 5.1 million square feet, indicating strong demand.
• Leases include significant contracts with life sciences companies, highlighting growth in this market.
• Leasing activity experienced a 55% increase compared to Q4 2020.

Negative

• None.

Executes 1.8 Million Square Feet of Leases with a Weighted-Average Lease Term of 8.6 Years

BOSTON--(BUSINESS WIRE)-- Boston Properties, Inc. (NYSE: BXP), the largest publicly traded developer, owner, and manager of Class A office properties in the United States, announced that it executed approximately 1.8 million square feet of leases in the fourth quarter of 2021 with a weighted-average lease term of 8.6 years, bringing BXP’s total leasing activity for 2021 to approximately 5.1 million square feet. Leasing activity was widely spread across BXP’s major markets.

Notable leases signed during the fourth quarter include:

• a 231,000 square foot lease for the entire 751 Gateway life science building in South San Francisco, California,
• 165,000 square feet of new leases at our new life science project at 880 Winter Street in Waltham, Massachusetts,
• a 120,000 square foot lease at 1265 Main Street in Waltham, Massachusetts,
• a 108,000 square foot lease at Times Square Tower in New York City, New York,
• an 89,000 square foot lease extension at 601 Lexington Avenue in New York City, New York,
• an 89,000 square foot lease at Reston Town Center in Reston, Virginia, and
• a 78,000 square foot lease at 510 Carnegie Center in Princeton, New Jersey.

“The strong leasing momentum we experienced in the fourth quarter underscores the value companies place on securing high-quality workspaces essential for collaboration, innovation, and growth,” said Owen Thomas, CEO, BXP.

BXP’s leasing activity steadily increased throughout 2021 with the fourth quarter achieving the largest square footage leased since Q3 of 2019’s 2 million square feet and it represents a 55% increase from Q4 of 2020. More than 25% of the square footage signed this quarter was leased to life sciences clients demonstrating the strong demand in BXP’s growing life science portfolio. Leasing with clients in other industry groups have also accelerated during 2021 and contributed to BXP’s expanding leasing velocity.

ABOUT BOSTON PROPERTIES

Boston Properties (NYSE: BXP) is the largest publicly traded developer, owner, and manager of Class A office properties in the United States, concentrated in six markets - Boston, Los Angeles, New York, San Francisco, Seattle, and Washington, DC. The Company is a fully integrated real estate company, organized as a real estate investment trust (REIT), that develops, manages, operates, acquires, and owns a diverse portfolio of primarily Class A office space. Including properties owned by unconsolidated joint ventures, the Company’s portfolio totals 52.8 million square feet and 201 properties, including nine properties under construction/redevelopment. For more information about Boston Properties, please visit our website at www.bxp.com or follow us on LinkedIn or Instagram.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220125006182/en/

AT THE COMPANY

Laura Sesody

Vice President, Corporate Marketing & Communication

lsesody@bxp.com

(617) 236-3305



Helen Han

Vice President, Investor Relations

hhan@bxp.com

(617) 236-3429

Source: Boston Properties, Inc.

FAQ

What were the key lease agreements made by Boston Properties in Q4 2021?

Boston Properties signed notable leases including 231,000 square feet in South San Francisco, 165,000 square feet in Waltham, and 108,000 square feet in New York City.

How much total leasing activity did Boston Properties achieve in 2021?

Boston Properties achieved approximately 5.1 million square feet of leasing activity in 2021.

What is the average lease term for Boston Properties' leases executed in Q4 2021?

The weighted-average lease term for leases executed in Q4 2021 was 8.6 years.

How much leasing activity did Boston Properties see compared to the previous year?

Boston Properties experienced a 55% increase in leasing activity in Q4 2021 compared to Q4 2020.

What percentage of leases signed in Q4 2021 were for life sciences clients?

More than 25% of the square footage signed in Q4 2021 was leased to life sciences clients.