If you Amenitize, They will Come

What a difference a few years can make. Not long ago, there were concerns about the health of the commercial real estate market in downtown Boston, with the origins of those worries stemming from the rapid adoption of remote work. As concerns over office cohabitation have waned and more employers and employees have embraced hybrid work arrangements, confidence has returned to commercial markets across the region.

In Boston and the suburbs, there has been a steady increase in demand for locations with proximity to desired assets, whether it is a downtown building near mass transit to draw in out-of-town commuters or a suburban office that’s been given new paint and finishes in recent years. Cresa’s most recent Q3 2025 Market Report shows increasing strength in downtown and suburban markets, with several major commitments recently locked in.

However, there’s a new normal that goes beyond these most basic of features and improvements, placing a high emphasis on buildings with world-class amenities as a means of attracting talent and tenants - and if a property is lacking in these features, landlords could see momentum shift towards their competitors.

From the city to the Seacoast, feature-rich buildings win

It’s important to understand just how significant the ground game for highly amenitized buildings is in both Boston and the ‘burbs. Key examples in the city include the Harbourvest deal announced at One Lincoln, where DivcoWest recently performed $100M in upgrades focused heavily on amenities ranging from a whisky bar to a wellness center. Nearby, International Place now offers on-site daycare, a Republic Fitness studio, a full bar and outdoor terrace, and more.

In Newton, offices like CyberArk’s recently renovated headquarters combine ample outdoor amenities like walking trails with in-building features ranging from an arcade room to on-site services including massages and manicures. And as you travel up to the Seacoast, the focus on amenities doesn’t stop: RJ Kelly purchased 121 Technology Drive and began a significant renovation that has gone through several phases, with recent amenity upgrades including bocce and pickleball courts, a golf simulator, and more. Those improvements are at least partially responsible for a recent long-term deal signed by Collins Aerospace, a subsidiary of Raytheon Technologies, which made a 15-year commitment to the property.

And don’t think these upgrades don’t pay for themselves: landlords are able to attract tenants at higher rates owing to the increased desirability of the space. If amenities attract top talent, which in turn propels a business forward, then it stands to reason that an occupier will gladly pay a premium for a space that checks all of the boxes.

The new normal of securing tenants

Regardless of the amenities offering, there’s little doubt that occupiers are balancing a variety of factors when it comes to determining their next real estate decision. Landlords that are open to making investments that support both ongoing improvements and helping occupiers bring more bodies into the office are sure to win the race for long-term tenants, while owners of properties lacking in recent improvements will have to assess their desire for maintaining the status quo versus attracting new tenants and stronger rents.

For more insights into the commercial real estate landscape in Boston and beyond, click here for Cresa’s most recent market reports.