Luzern Associates has secured US$34.5 million in acquisition financing for the purchase of a three-building industrial campus in Boston's North Shore region. The financing was provided by Northwest Bank to facilitate the acquisition of the 200,000 square foot portfolio within Cherry Hill Business Park in Beverly, Massachusetts, from Massachusetts-based developer R J Kelly for US$47.75 million.
The portfolio is significantly occupied by medical technology company Medtronic, which leases approximately 70 percent of the total area. Adam Dubeshter, Commercial Relationship Manager at Northwest Bank, commented on the transaction: "We saw this as a good opportunity to deploy capital with strong sponsorship, solid tenancy, and a dynamic market between Boston and New Hampshire." He added that the industrial market in New England as a whole is probably one of the strongest in the country.
Strategic Investment with Growth Potential
Dubeshter highlighted that the portfolio is strengthened by the presence of Medtronic, the world's largest medical technology company by revenue, which has occupied the buildings for 42 years. He emphasised significant growth potential, as Medtronic currently pays below-market rents and has a long-term commitment to the location. The transaction attracted strong interest from lenders, including insurance companies, banks, and credit unions.
Shawn Dorsey, Head of CRE Banking at Northwest Bank, stated that the Cherry Hill portfolio financing underscores the type of deals Adam Dubeshter was hired for. Dubeshter joined Northwest Bank from Amalgamated Bank in early 2026 as part of the Columbus, Ohio-based company's expansion into East Coast CRE origination. Dorsey said that Adam was strategically hired to focus on institutional quality sponsors, stabilised assets, and strong markets east of the Mississippi.
In addition to Medtronic, tenants of the portfolio include G&F Medical and SSC Crane Service, a private equity-owned home service company with its sole Massachusetts location in Cherry Hill. Cherry Hill Business Park, which totals nine buildings spanning 600,000 square feet, is situated on Conant Street in Beverly, 32 miles north of downtown Boston.
Location Attractiveness and Market Opportunities
Nicholas Campofranco, Principal and Chief Investment Officer at Luzern Associates, noted that the North Shore region of greater Boston offers many drivers for growth. Campofranco stressed in a statement that Luzern was attracted to this portfolio due to the functionality of the buildings and the balance of tenant creditworthiness, with the opportunity to achieve value appreciation as leases expire. He added that the northern market will outperform in the long term given the strong skilled labour base and limited supply.
