By David Gross
While rents are topping $100 per square foot in Kendall Square, there is not much to be saved jumping across the river to Fenway-Kenmore, where Verve Therapeutics has leased 105,000 square feet at Alexandria's new Fenway development located at 201 Brookline Avenue. Alexandria bought the 510,000 square foot property under development earlier this this year as part of a deal that also gave it the old Sears building at 401 Park Drive which it is redeveloping into lab/office. In addition to $91 initial base rent per square foot, Verve will receive a $200 per square foot TIA (Tenant Improvement Allowance) from Alexandria to build out the space.
The location is a few blocks south of Fenway Park and Kenmore Square, and a few blocks north of the Longwood Medical Area. With Kendall Square effectively out of space, the neighborhood is filled with new construction, with Alexandria targeting 1.8 million square feet of total space nearby, and IQHQ developing its Fenway Science Center, which will place a 20 story tower and 10 story mid-rise right on top of the Mass Pike. Both of those buildings will be visible just outside the Green Monster from Fenway Park.
Verve, which is developing a gene editing candidate to tackle cardiovascular disease, went public in June and is expecting to submit its IND to the FDA early next year to begin clinical trials. It is currently subleasing 19,000 square feet at Alexandria's Tech Square in Kendall Square, where it paid an initial base rent of $98 per foot. The new lease commences on August 1, 2022. With a current burn rate of approximately $60 million, the total costs of the lease including taxes and maintenance should account for about 15-20% of the company's cash burn after commencement.