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Whitney Gallivan
Managing director and partner, Boston Realty Advisors
Age: 40
Industry experience: 20 years
As city officials and landlords seek to revive street life in downtown Boston, Whitney Gallivan has played a key role in shaping one of the Financial District’s newest attractions. The Boston Realty Advisors partner represented owners of High Street Place in negotiating deals with its 19 initial food and drink vendors. The food hall opened in March after its original 2020 debut was delayed by COVID-19. Gallivan began her career at WS Development, leasing space at its suburban lifestyle centers, before making the transition to the downtown market with the former HFF brokerage and Boston Realty Advisors.
Q: What were the goals and leasing strategy for High Street Place to differentiate itself from the competition?
A: It certainly is a different process, depending upon what the goal of the food hall is: Are you trying to stick to locals, are you trying to go national? It is all about the bottom-line rents, or creating a sense of place and not worrying about every last dollar? And who is the best operator? For this particular project, we did focus more on local tenants and we did try to find the best in class. Boston has a lot of talent, and we were fortunate to get Tiffani Faison to sign on and do three concepts with us. That set the stage for the quality of an operator we wanted at High Street Place. [Landlord] Rockpoint Group knew the office space would benefit from this, and it’s been busy.
Q: Which retail districts lead the region in asking rents?
A: Back Bay, between Newbury, Boylston, Copley and Prudential, are the highest-rent districts. There’s been a lot of new activity and new retailers to the market, new restaurants with Contessa and Ramsay’s Kitchen and even on the fast-casual side with Raising Cane’s and Chick-fil-A. We are running out of space to lease on Newbury Street. With my being in the business for so long and working on leasing in the Back Bay since 2015 intensively, it feels like a very good market right now. There’s a lot of new deals happening and a number of names that will be announced soon. With that said, there’s big developments coming down the pike with the Samuels & Assoc. project at the end of Newbury Street, and the potential of what’s going to happen at the Hynes [Convention Center] redevelopment.
Q: What are the highest asking rents you’ve seen recently in Back Bay?
A: We are marketing 745 Boylston St., the old Max Brenner space, and rents are in the mid-$150 to $200 range for Boylston Street, not counting the bank deals that are north of $200 [per square foot].
Q: How are retailers thinking creatively about how to maximize their square-footage?
A: In general in retail, there is more creativity happening and had been happening pre-pandemic with the digital age impacting the marketing and brick-and-mortar shopping. There are hybrid experiences like Life Alive Organic Cafe, a local healthy fast-casual operator. They are doing co-concepts with Down Under Yoga, where the yoga studio is part of their restaurant. It’s a dual concept and they are signing one lease, and you get both operators. We are seeing more of that creativity in the restaurant space, with different day parts: maybe a cafe by day, and cocktail bar by night.
Q: Which neighborhoods seem to be emerging as retail growth areas?
A: We are working on a project for DLJ Real Estate Capital Partners and Leggat McCall in Boynton Yards in Somerville, a very cool neighborhood where there’s some strong restaurant talent. We’re focusing on one of our buildings for the art-type tenants, and we’re going to be leasing new retail in the base of the building. We’re just finishing up The Abbot in Harvard Square, by Regency Centers.
Q: How do developers of mixed-use buildings view potential ground-floor uses that are attractive or undesirable?
A: Honestly, the retail is a complement and what’s happening at the ground floor impacts what’s happening above. I work with office brokers all the time, and who we, the retail team, lease to will certainly change the perception of the building and who they ultimately lease the office space to. It does drive things. If there’s a coffee shop or sandwich shop, that’s an immediate amenity to the office above, and that’s going to affect the desirability from an office standpoint. As far as development and the retail your front-facing experience is bringing to the neighborhood, it is important who that retailer is and to think ahead. It does set the stage. In most leases, there’s a clause that says what are inappropriate uses. If there’s a restaurant that needs venting, typically if it’s a new development and it’s planned ahead, that’s going to mitigate the odor. If, you know, there’s a boxing studio you’re going to put in extra soundproofing, so it’s not going to impact the residential or offices. It all goes to planning the retail as early as possible. If it’s a dry operator, not a restaurant, it’s going to save you time and money.
Q: Have retail lease structures changed permanently because of COVID?
A: Some landlords only charged percentage rents for certain operators just to keep them afloat. But leases are back to what they were and if anything, rents are back to what they were pre-pandemic. In general, the additional seating and the outdoor experiences that have been added not only help the restaurant, but they elevate the city because it makes it more inviting when you’re walking down the street, even if you’re not the one dining. It was a nice thing that came out of the pandemic, that additional sidewalk cafe offering.
Gallivan’s Five Favorite Mezcals:
- Del Maguey Chichicapa
- Marca Negra Tobala
- Alipús San Andres
- Del Maguey Pechuga
- Illegal Reposado
