The real estate investment arm of insurer AIG is buying a Boston office portfolio from DivcoWest Properties for $175m (€156m).
AIG Global Real Estate Investment is acquiring the five adjacent buildings, known as The Hive, in the Downtown Crossing sub-market, according to sources familiar with the matter.
DivcoWest did not comment and AIG was not available.
The properties at 38 Chauncy, and 55, 71, 77 and 87 Summer comprise 342,000sqft of space.
DivcoWest acquired the buildings in three separate transactions in the second half of 2014, amounting to roughly $119m, according to sources.
The investment company has since rebranded the buildings as a downturn campus and increased their occupancy from just above 80% to 95%.
The five-building portfolio was put together for the DivcoWest Fund IV, for which the manager raised $967m in 2014, co-investing $15m itself.
Investors in the fund include New York City Employees Retirement System, the California State Teachers’ Retirement System, Oregon Public Employees Retirement Fund and Massachusetts Pension Reserves Investment Management Board.
Boston-based Synergy Investments has been advising DivcoWest on the buildings and its services will be retained by AIG.