Axonic Capital and Synergy Acquire 265 Franklin Street Office Tower in Downtown Boston

BOSTON — Axonic Capital and Boston-based real estate firm Synergy have acquired 265 Franklin Street, a 21-story office tower in Boston's Financial District, the firms announced July 22. The property spans approximately 358,406 rentable square feet and occupies a full city block between Post Office Square and the Rose Kennedy Greenway.

The transaction represents the first joint venture between Axonic Capital and Synergy and marks an expansion of Synergy's presence in Boston's central business district.

Asset Profile and Location

265 Franklin Street sits in one of downtown Boston's most prominent corridors, with its full-block footprint placing it adjacent to two of the neighborhood's defining open spaces. The 21-story tower's approximately 358,406 rentable square feet positions it among the larger office assets in the Financial District submarket.

Financial terms of the acquisition, including the sale price, price per square foot, cap rate, and financing structure, were not disclosed. Current occupancy figures and the property's tenant roster were also not detailed.

First Joint Venture for Axonic Capital and Synergy

The deal brings together Axonic Capital, acting as capital partner, and Synergy, the Boston-based co-sponsor, in their inaugural collaboration. Synergy has been building its footprint across Boston's central business district, and the 265 Franklin Street acquisition adds a significant asset to that portfolio.

Market Context

The acquisition comes as commercial real estate investors have shown selective appetite for office assets in major markets where pricing has reset from prior peak levels. Office usage and rents have moved higher in several U.S. markets in 2026, even as broader uncertainty persists across the sector. Conditions including a valuation reset, reduced construction pipelines, and more functional credit markets have contributed to selective buying opportunities for well-capitalized investors.

The U.S. commercial property remodeling market is sized at approximately $39.8 billion in 2026, reflecting continued capital deployment into upgrades and repositioning of existing stock rather than ground-up development alone. Large, centrally located office towers in established business districts have drawn renewed investor interest in this environment, given their visibility and the potential for repositioning or stabilizing cash flows at reset valuations.

About the Firms

Axonic Capital is an alternative investment management firm. Synergy is a Boston-based real estate firm with an established presence in the city's central business district. The 265 Franklin Street acquisition is the first time the two firms have partnered on a transaction.

Sources: Axonic Capital; Boston Real Estate Times