This Week's Boston Deal Sheet
Boston could have been in the world spotlight if it hosted the 2024 Summer Olympics/Paralympics but the numbers were too unattractive and our bid was pulled by the USIOC yesterday.
Both the mayor and governor balked at the USIOC’s recent attempt to fast track their decisions concerning taxpayers' possible financial responsibilities for the games. In the morning, Mayor Marty Walsh declined to put taxpayers on the line for cost overruns by signing a host city agreement. In the afternoon, Gov. Charlie Baker said he couldn’t give the thumbs up until a consultant’s report was completed in early August as planned long ago.
The Dean of Boston Brokers, Bill McCall, CEO of McCall & Almy, tells Bisnow that Boston 2024 had very capable people but from a real estate perspective, “it was a huge task to accomplish. Now, we can get back to our priorities.” Mark Zandi, chief economist of Moody’s Analytics tells us—as economists often do—“I could argue both sides.” He says, “I wouldn’t be too disappointed if I lost, and very excited if I won.” Net, net, it’s a wash.
Construction & Development
To see how much Boston has transformed, check out the just completed $135M redevelopment of Southie’s Old Colony public housing community. Once distressed and isolated, it’s now sustainable, open to the surrounding neighborhood and still affordable. Right on schedule, Beacon Communities Development, The Architectural Team and Boston Housing Authority completed the last 40 apartments of the 169 they recently redeveloped at the 840-unit development. Previously, they demolished some superblocks, created a new street pattern, and completed 12 new buildings with 245 apartments and townhomes. Old Colony residents can finally see Dorchester Bay, the downtown skyline and the development boom in their neighborhood.
Target opened one of its largest City Targets in the nation on Wednesday, the 160k SF, three-level store at 1342 Boylston St in the Fenway, a complex developed by Samuels & Associates. Target Corp paid Samuels $59M for its site, part of the Van Ness, a $315M mixed-use complex with 172 luxury apartments, 237k SF of offices, 200k SF of retail and 500 below-ground parking spaces.
TripAdvisor opened its new 282k SF global HQ developed by Normandy Real Estate Partners (sold to US Realty) in Needham. The company, which started above a Needham pizzeria, now has an extra cool space for 1,000 employees, room to hire 500 more. Its extensive menu of amenities includes free lunch. The development team includes: Elkus Manfredi Architects and Baker Design Group; GC is John Moriarty & Associates.
National Development won a green light from the city to build a $95M mixed-use complex in Cleveland Circle and site work could get underway in Q3 with completion possible in Q4 ’16. The 213k SF complex at 375-399 Chestnut Hill Ave will have a hotel; retail; senior housing; and 12 affordable residences, as required by law.
Spaulding & Slye plans to build a $45M mixed-use building with 105 residences and 3,400 SF of ground-floor retail at 45 West Third St in South Boston’s West Broadway neighborhood. The 133k SF building will include 13 affordable units, widened sidewalks, street furniture and lighting.
Urban Edge Housing Corp won approval for the $17M Walker Park Apartments in Roxbury. The 49 one-, two- and three-bedroom units will rise at 80 Walnut Park, 67 Walnut Park and 2040 Columbus Ave and all be affordable. The two-building complex is adopting the name of Delphine Walker, a community activist who once lived in a house on the site.
36-40 Fisher Ave expects to start construction this fall on a new, 22k SF residential building with 15 units at 40 Fisher Ave in Mission Hill. The $3.5M TOD is a half-mile from an orange line T-stop.
The YMCA of Central Massachusetts will do nearly $23M in expansions and upgrades in its five branches thanks to financing in the form of a tax-exempt bond from MassDevelopment. TD Bank purchased the bond that built a variety of amenities from a pool to amphitheaters and improved structures in Westborough, Lancaster, Worcester, North Worcester and Fitchburg.
Rafi Properties is in talks with the city to build a new 94-unit residential tower at 588 Washington St near the Modern and Paramount theaters, and the Millennium Partners' developments. Rafi is talking about retaining the four-story facade of the existing building, and building a tall, slender tower that could provide great views for residents.
Inching toward a revamping of the usually traffic-snarled I-90 Allston Interchange, the BRA issued an RFP for consultants to untangle the Pike exit into Cambridge. The BRA aims to conduct a four-month study into: air rights development, street layout and elevations, roadway and infrastructure design, open space, pedestrian and bicycle mobility, and development density. The exit is adjacent to Harvard’s long-planned Allston campus.
The Davis Cos paid $26.2M to the nonprofit Action for Boston Community Development for 112 Shawmut Ave in the South End, where a wave of mixed-use projects is underway. ABCD purchased the six-story, 70k SF red brick building in ‘96 for $2.2M when a great deal of the South End was a forgotten district. ABCD will be taking space a block away at 595 Harrison Ave.