German real estate fund manager Union Investment has bought its first Boston asset, investing in an office building let to footwear firm Converse.
The global headquarters of the Nike subsidiary was sold by Related Beal for $150m. The deal is Union Investment’s first in Boston.
“Our entry into the gateway market Boston with cult and lifestyle brand Converse as a strong main tenant is pretty much ideal,” said Martin Brühl, head of international investment management at Union Investment Real Estate.
“With its stable returns and attractive rental growth prospects, Boston offers potential for further investments.”
Union Investment said it bought the 234,643sqft building, at 1 Lovejoy Wharf, for its open-ended real estate fund Unilmmo: Global.
The 11-storey building, built in 1907, has recently undergone a refurbishment.
Union Investment has now invested in six US assets in the past 24 months for Unilmmo: Global and sister fund Unilmmo: Europa, with a total value of around €1.2bn (€1.06bn).