Boston Properties, Inc. (NYSE:BXP) stock rose 1.08% (As on October 11, 12:18:21 AM UTC-4, Source: Google Finance) after Piper Sandler downgraded the real estate leader to Neutral from Overweight and cut the price target to $100 from $120. The company has completed the acquisition of 125 Broadway, a six-story, 271,000 square foot laboratory/life sciences property. BXP purchased the property from Biogen for a gross purchase price of approximately $592.0 million. Biogen has signed a lease for and will continue to occupy the entire property through April 2028. BXP funded the purchase price with cash and borrowings under its line of credit, and it is evaluating opportunities to own the property with one or more joint venture equity partners. In conjunction with the acquisition of 125 Broadway, BXP and Biogen terminated their existing lease agreement at 300 Binney Street, an adjacent six-story, 195,000 square foot property developed by BXP in 2013, to facilitate the conversion and expansion of the property to 240,000 square feet of laboratory/life sciences space. BXP also announced that it signed a 15-year lease with a prominent life sciences organization. The lease is expected to commence upon completion of the renovations in late 2024.

Further, the company has completed the disposition of 601 Massachusetts Avenue, NW, Washington, DC, for a gross sales price of $531 million and net proceeds of approximately $512 million. The gross sales price equates to approximately $1,100 per rentable square foot. 601 Massachusetts Avenue is an 11-story, approximately 480,000 square foot office property originally developed by BXP in 2015 and currently 98% leased. BXP will continue to provide property management services to the new owner. BXP structured the disposition as part of a reverse like kind exchange under Section 1031 of the Internal Revenue Code with its recent acquisition of Madison Centre in Seattle, Washington. As a result, BXP expects to defer the recognition of taxable gains from the sale for federal income tax purposes. BXP acquired Madison Centre, an approximately 755,000 square foot, 37-story, LEED-Platinum certified, Class A office property, on May 17, 2022, for $730 million.

On the other hand, Revenue grew more than 8% to $773.9 million for the quarter ended June 30, 2022, as compared to $713.8 million for the quarter ended June 30, 2021. Net income attributable to common shareholders of $223.0 million, or $1.42 per diluted share (EPS) for the quarter ended June 30, 2022, compared to $111.7 million, or $0.71 per diluted share, for the quarter ended June 30, 2021.