Northern, WI 04/06/2013 (usastockreport) – Property investors are not restricting their investments to the larger cities any longer. Hines Global REIT Inc has bought three commercial buildings that are located in Riverside Center in Newton, Massachusetts. Newton is located around 18 kms west of Boston. The buildings belong to The Blackstone Group L.P (NYSE:BX) (current: $19.50, Up by 0.41%)’s equity office unit and Hines paid them $197 million for them. the Houston-based Hines said that the three buildings have a total of area of 47,000 square meters. America’s biggest drug-distributor, McKesson Corporation (NYSE:MCK) (current: $106.83, Down by 1.04%) and TechTarget Inc (NASDAQ:TTGT) (current: $4.41, Down by 1.34%) the online publisher are tenants and operate offices out of those buildings.
Loan from JP Morgan
This is Hines Global REIT Inc’s third property acquisition in the area Sherri Schugart the Chief Executive Officer of Hines said that the workforce in the Boston area is highly educated and the economy there is a very diverse one. The company considers the Riverside Center to be very well-located and is definitely a quality asset. It also has a strong tenancy that fits in very well with the company portfolio. The filing said that Hines had procured a bridge loan from JPMorgan Chase & Co (NYSE:JPM) (Current: $47.91, Up by 0.88%) for the Riverside Center acquisition and had a maximum borrowing amount of $150 million.
Property investors have been increasingly looking outside the cities for their property investments. These are the areas that provide them with commercial real estate at more affordable prices and they also have better return rates.