Massachusetts landlord KS Partners paid $9.1 million for the 33%-occupied Campus at Greenhill, betting that capital investment and a flexible leasing strategy can breathe new life into a building that has cycled through bankruptcy, foreclosure and four owners in less than two decades.
Massachusetts-based office landlord KS Partners is looking to turn around the nearly 300,000-square-foot Campus at Greenhill office building in Wallingford following its recent $9.1 million purchase of the property.
The building, at 110 Leigus Road, has faced repeated challenges since it was first developed nearly two decades ago. Most recently, occupancy has fallen to about 33% following the post-COVID shift toward remote work. Sources say previous landlords were unable to fund renovations needed to attract new tenants and struggled with upkeep.
Jennifer Carrigan, KS Partners’ vice president and director of leasing, said her company has the experience and financial backing needed to stabilize the building and attract tenants. The privately held real estate firm owns and manages more than 5 million square feet of commercial real estate across the Northeast.
Carrigan said the company is also speaking with town officials about possible development on portions of the roughly 100-acre property where the office building sits.
“I know that it has struggled over the past few years …,” Carrigan said. “And so, I do think that the time was ripe for somebody with experience and the ability to perform well as a landlord to come in and stabilize the asset, hopefully bring it somewhere positive in the future.”
Turning a corner
KS Partners finalized its purchase in late January, Carrigan said, and is now working to assess the building’s systems and capital needs while ensuring continuity for existing tenants.
“Our goal is to keep things running the way that they were, improve where we can, see what kind of things that we can look at with the way that the property is being run,” Carrigan said.
Since signing a 10-year, 217,764-square-foot lease in 2012, Anthem Blue Cross and Blue Shield has reduced its footprint at the Campus at Greenhill office complex. Photo | CoStar
The building was originally designed for a single large tenant, which has created some challenges. The second floor, for example, is a wide-open space intended for a single user. KS is now working with architects to develop layouts that could accommodate multiple tenants.
Carrigan said previous owners had interested tenants but lacked the capital to fund requested improvements. That won’t be an issue for KS, she said. Carrigan added that the building could be successful at about 75% occupancy — a target she believes is within reach.
“Our goal is a long-term success for it,” Carrigan said. “And I feel very, very good about it.”
The property includes amenities such as an on-site cafeteria, gym, floor-to-ceiling windows and an open lobby. Carrigan said those features, along with the building’s location along the Interstate 91 corridor between Hartford and New Haven, make it attractive to potential tenants.
The acquisition was self-financed, though Carrigan indicated that future construction projects on the property could involve additional financing.
KS owns four other office properties in Connecticut, including a 61,348-square-foot building in Danbury and three buildings in Rocky Hill’s Corporate Ridge office park ranging from 93,614 square feet to 310,582 square feet.
Carrigan said the Rocky Hill properties were not immune to the office market slump following the COVID-19 pandemic and are currently about 70% occupied.
Untangled ownership
The Campus at Greenhill building was originally envisioned as a headquarters for Mortgage Lenders Network. The subprime lender failed in 2007, however, bringing construction to a halt about a year into the project and leaving little more than a shell completed.
In July 2007, the property was sold to a limited liability company led by New York developer Gale International for $6.93 million. In 2010, Gale signed Anthem Blue Cross to a 10-year, 217,764-square-foot lease and finished the building in 2012.
Gale sold the Wallingford property in August 2014 for $22.8 million to a limited liability company tied to New Jersey-based venture capital and real estate lending firm Meecorp Capital Markets. Three months later, Meecorp sold the Campus at Greenhill for $26.4 million to five limited liability companies tied to Manhattan-based real estate investment firm Time Equities.
Since signing a 10-year, 217,764-square-foot lease in 2012, Anthem Blue Cross and Blue Shield has reduced its footprint at the Campus at Greenhill office complex. Photo | CoStar
The property’s ownership later became complicated by a long-term ground lease that separated control of the building from the underlying land. In 2024, Wells Fargo Bank filed a foreclosure lawsuit against the Time Equities-affiliated ownership group over a loan with a balance of more than $20 million.
The case led to the appointment of a receiver, Shane Mulready of RM Bradley Management Corp., who eventually oversaw the termination of the ground lease and worked with Cushman & Wakefield to market and sell the property.
Mulready said the building’s current tenants — engineering, architecture and construction firm Burns & McDonnell and Anthem — have previously “pitched in” to help cover capital expenses, working with property manager Holly Dupont of RM Bradley.
“We worked with them and got creative on how to fund repairs to keep the lights on,” Mulready said.
Despite its past struggles, Mulready said the office building is well-designed, sits on attractive grounds and enjoys convenient highway access.
“That is a great building,” Mulready said. “It’s a shame it went through this hardship. I wish more people would see it and occupy it.”
Bob Motley, Matt Torrance and Al Mirin of Cushman & Wakefield represented the seller in the most recent transaction. Motley said the removal of the ground lease was a key factor in getting the property ready for new owners and a new trajectory. He has represented the property for about 15 years, and will continue as leasing broker for the new owners.
Motley said he is speaking with a prospective tenant seeking a roughly $2 million fit-out — an investment earlier owners could not accommodate.
“KS will invest money in the building, will improve the exterior aesthetics,” Motley said. “They have a clear direction in mind, and they are prepared to spend money to do that.”
