Fenway Site Planned For 28-Story Development Heading To Auction
A Fenway site once planned for a major multifamily redevelopment has been scheduled for an auction by its lender.
The 56K SF vacant office building, once home to the Trans National Group, and 20K SF of vacant land at 2 and 6 Charlesgate West and 1161 Boylston St. are up for auction, according to auctioneer Paul E. Saperstein Co.
The auction, first reported by Banker & Tradesman, is scheduled to be held at the property at noon on Aug. 12.
London-based student housing developer Scape acquired the property in 2019 for $39M with plans to redevelop it into multifamily.
Scape had received a $30M acquisition loan from Mack Real Estate Credit Strategies, according to public records. It is partnering with Morro USA, a rental company co-founded by Scape Chairman Nigel Taee.
In January, the owner secured the Boston Zoning Board of Appeals' approval for a 28-story, 400-unit development on the site.
"We remain in active discussions with our existing lender regarding the project and are concurrently exploring refinancing alternatives with other lenders and strategic partners," Morro Chief Development Officer David Hunt said in a statement to Bisnow. "Our focus continues to be on identifying a constructive path forward that protects the interests of our investors and provides a resolution that works for all parties involved."
Scape isn't a stranger to the Fenway neighborhood, completing its first project at 1152 Boylston St., a 451-unit apartment building dubbed The Bon. In 2023, Madison Realty Capital originated a $177.5 refinancing loan for The Bon.
The company also received Boston Planning Department approval in 2021 for a 503-unit apartment building at 819 Beacon St. that would include 53 units for families of patients at Boston Children's Hospital.
The developer also sold its ground lease for a residential development site in Somerville's Davis Square to Copper Mill in 2023. Scape had bought the property for $10M in 2019 with the hope of developing it into another multifamily tower.
Scape isn't the only owner facing distress in Greater Boston.
Earlier this week, a 70-unit apartment building owned by DivcoWest in West Roxbury was scheduled for an August auction. Last month, a Wellesley office complex owned by Beacon Capital Partners was set for a July 17 auction.
UPDATE, JULY 14: 9:50 A.M. ET: This story has been updated with a statement from Morro Chief Development Officer David Hunt.
