Union Square Residential Tower Secures $125M Refinancing

Prospect Union in Somerville.
Prospect Union In Somerville

The tallest tower in Somerville has landed a major refinancing deal.

A joint venture between Magellan Development Group, RAS Union Square Development, Cypress Equity Investments and Affinius Capital secured a $125M loan from Northwestern Mutual, according to property records.

The loan is for Prospect Union Square, a 450-unit residential property built in 2023. It sits on a 1.35-acre site in Somerville's Union Square, adjacent to the Union Square green line station.

The complex includes two buildings: a 25-story high-rise tower, the city's tallest, and a six-story mid-rise building. Of the 450 units, 90 are designated affordable. The complex also includes 18K SF of retail space, including an outdoor pool, a courtyard, a fitness center and an indoor dog run.

The buildings are part of USQ's 20-acre redevelopment next to Union Square Station. The development is planned to reach 3.8M SF, including 2.4M SF of lab space and 1,000 residential units.

Somerville is known for being the "Hipster Epicenter," with 38% of its population being between the ages of 20 and 34 and 67% holding a bachelor's degree or higher, according to a JLL release on the deal.

JLL's Danny Kaufman, Brett Paulsrud, Madeline Joyce and Ali Howard represented the borrower.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's Boston Newsletters
Related Stories

With Occupancy Brimming, Investors Pile Into Bay Area Apartments

FBI Drops Investigation Into Financially Troubled StoryBuilt

Energy Company Opens 125K SF Newton Office: The Boston Deal Sheet

Simon Approaching End Of The Road With Struggling Suburban Boston Mall

GTIS Partners Rebrands As Brightshore Capital, Launches $250M Debt Platform

Dublin BTR Had A €1B Summer

Sales Of Lower-End Apartments Surge In Philly As Landlords Face Financial Issues

Wu Proposes Tax Breaks To Jump-Start Stalled Housing Projects

Developer Seeks Permit For Denver Energy Center Conversion Project

Airbnb Launches $250M Fund To Invest In Affordable Housing

Oxford Properties' U.S. Investment Head On Why It's Buying Office Again — And Where

DFW Multifamily Distress Creates Opening For Investors As Development Slows