News: US-based real estate investment trust (REIT) Senior Housing Properties Trust is to acquire two 15-storey biotech medical office buildings in Boston's Seaport District for US$1.125bn. The buildings include biomedical research facilities, corporate office space, street-level retail space and structured parking. The property has a 1.65mn total gross square feet area, which is 96% occupied by Vertex Pharmaceuticals.
BMI View : Commercial real estate expansion is dependent on a healthy macroeconomic environment. During Q413 we revised down our estimate for 2013 US real GDP growth from 2.1% to 1.8%, but we maintain that the US economy is gaining steam and is set for more rapid expansion. We have upgraded our 2014 real GDP growth forecast from 2.7% to 2.8% with growth set to average 2.4% a year from 2013 to 2018.