Downtown Boston Property at 399 Washington Street Sells for $63 Million in All-Cash Deal

Boston Realty Advisors (BRA) has completed the sale of a prominent downtown Boston property at 399 Washington Street, marking a significant transaction in the city's commercial real estate landscape. The five-story, 76,000-square-foot building, which had been vacant, was sold in an all-cash deal to a joint venture between Hudson Group and Assembly Investments.

The property, originally purchased for $63 million in 2017 and subsequently renovated with approximately $7 million to $10 million in improvements, including LEED-certified base building systems, represents a strategic investment in downtown Boston's evolving real estate market. Despite previous challenges, including the closure of its first-floor Barnes & Noble tenant in 2006, the building now symbolizes potential renewal and investment opportunity.

Whitney Gallivan, Managing Director and Partner at BRA, emphasized the significance of the transaction, noting that the sale exceeded pricing expectations and demonstrated market expertise. The property's strategic location, with immediate proximity to Park Street and Downtown Crossing MBTA stations, provides extraordinary commuter access and enhances its commercial appeal.

Noam Ron from Hudson Group highlighted the positive momentum in downtown Boston, citing the city's commitment to large-scale development and historic preservation. The Downtown Boston Alliance's focus on public art and streetscape improvements further supports the optimistic outlook for the area's commercial real estate sector.

The building, designed by noted Bostonian architect Nathaniel J. Bradlee, features a modernized two-story facade and restored stone-fronted architecture that preserves the historical character of Downtown Boston. Its architectural significance, combined with its strategic location and recent renovations, positions it as a potentially attractive property for future commercial tenants.

For human resources professionals and business leaders, this transaction signals several important trends in commercial real estate. The sale suggests increased confidence in urban commercial spaces, potential for adaptive reuse of historic properties, and a renewed interest in downtown locations that offer excellent transit accessibility and modern amenities.

The involvement of a joint venture between Hudson Group and Assembly Investments, with Managing Partner Evan Papanastasiou having a personal historical connection to the property, underscores the nuanced and relationship-driven nature of commercial real estate transactions in major urban markets.