Cambridge, MA Commercial Real Estate

Cambridge, MA Commercial Real Estate Market

Cambridge’s compact geography and high population density give its vibrant commercial districts a diverse retail and office space mix, for both residents and visitors. Cambridge has often been called the “City of Squares,” with its many commercial districts located on major street intersections. Cambridge’s commercial market has always had a strong appeal to high tech firms looking for placements near prestigious universities. The Cambridge office market encompasses over 11 million square feet and is still very much a startup hub renting out incubator and small suite spaces of under 5,000 square feet.

Central Square serves as the downtown core for Cambridge, serving many roles in a vibrant, mixed-use district. It is located midway between Harvard to the west and MIT to the east and is at the confluence of four dense neighborhoods: Mid-Cambridge, Area 4, Cambridgeport and Riverside. To the east, the block between Prospect and Pearl streets contains Central Square Station, one of the busiest transport hubs on the Red Line. Altogether, the Square features a colorful arts and culture atmosphere dotted by restaurants, shops, and office space. The Central Square office market is home to a mix of life science, technology and professional services.

Harvard Square is an international destination that mixes history and learning with contemporary arts and entertainment and, most notably, home to Harvard University. The Harvard square commercial market includes roughly 900,000 square feet of retail space that bring a unique blend of restaurants, shops, and cultural establishments. The character of the Harvard Square office market reflects three and a half centuries of growth and functions as a regional center for shopping, in an urban pedestrian-friendly atmosphere.

North Cambridge, also known as Area 11, is the northern area bounded by Porter Square and the Fitchburg Line railroad tracks on the south. The focus of the North Cambridge office market is Massachusetts Avenue and Porter Square.

Massachusetts Avenue is a well-known 16-mile road that extends through multiple MA cities, industrial zones, college campuses, and bustling commercial strips. For most of its length, Massachusetts Avenue is bustling with commercial activity, filled with shops, restaurants and office space on both sides.

East Cambridge is an area of Cambridge bound by the Charles River and railroad tracks to the west, sometimes referred to as Area 1. The East Cambridge office market encompasses over 2.6 million square feet of office space, joined by significant retail centers like the Twin Cities Plaza strip mall and the CambridgeSide Galleria.

The southern half of the grid is mostly office and laboratory space for dot-com companies, research labs and startups, drawn by the proximity to the MIT campus. Notably, East Cambridge includes Kendall Square, a concentration of 4.2 million square-feet of innovative businesses and startups, a mixed-use “live, work, play” community that has won numerous design awards.

Employment in Cambridge, MA

Employment in Cambridge is largely dominated by its world renowned higher educational institutions—Harvard and MIT combined employ 20,000 people. High tech and professional services sectors are also major players for economic growth in the area. Cambridge has a particularly low unemployment rate of 2.4%, one of the lowest in the eastern region.

Highest-employing sectors include:

• Education and health services currently employs 591.900, growing at a yearly rate of 2.6%
• Professional and business services currently employs 481.200, growing at a yearly rate of 3.3%
• Trade, transportation, and utilities currently employs 418.800, growing at a yearly rate of 0.4%