This Week's Boston Deal Sheet
Tishman Speyer and Harvard Allston Land Co. celebrated the start of construction on the 900K SF first phase of their mixed-use campus in Allston.
The development team was joined by Harvard University President Claudine Gay and Boston Mayor Michelle Wu on Wednesday to celebrate the construction of the first phase of the Enterprise Research Campus.
The project is slated to include a 343-unit apartment building, two lab buildings, a hotel, a mass timber conference facility named the David Rubenstein Treehouse, and 2 acres of public outdoor space.
“The Enterprise Research Campus will be a place where creativity is sparked, and life-changing discoveries are made,” Tishman Speyer CEO Rob Speyer said in a statement. “This truly mixed-use development will welcome everyone – with a vibrant Greenway, new apartments, a hotel, and an active retail and food & beverage program. We look forward to delivering this special project.”
Breakthrough Properties, a joint venture between Tishman and Bellco Capital, will develop, lease and operate the two buildings, which total 440K SF. A quarter of the housing component of the project will be affordable for families earning 30% to 100% of the area median income.
In June, Tishman secured a $750M construction financing deal for the development. The package was led by Montreal-based lender Otera Capital. The buildings are scheduled to open in late 2025 and early 2026.
SALES
An entity linked to Doha, Qatar-based Ezdan Holding Group purchased 855 Boylston St. in the Back Bay for $99.5M. The company purchased the 11-story, 147K SF property from Chicago-based RREEF Property Trust. The building is 100% leased to 13 tenants, including Perch Energy, Industrious, T-Mobile and Bank of America. Newmark's Robert Griffin, Edward Maher, Matthew Pullen and Samantha Hallowell represented the seller and procured the buyer.
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Urban Edge Properties bought the 639K SF Gateway Center in Everett and the 758K SF Shoppers World in Framingham for a combined $309M. The New York-based real estate investment trust bought the properties from Site Centers. Shoppers World is anchored by Best Buy, Nordstrom Rack and T.J. Maxx, and Gateway Center is anchored by Target, Costco and Home Depot.
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An entity tied to Lexington-based Jamsan Management bought a Fairfield Inn & Suites hotel in Middleborough for $9M, according to property records. The 100-room hotel is at 4 Chalet Road in Middleborough. The seller, JNR, bought the property for $4.8M in 2016. In 2018, the hotel underwent a $3.3M renovation. JLL's Alan Suzuki, Matthew Enright and Emily Zhang brokered the deal.
LEASES
South Coast Dermatology signed a 17K SF lease at 97 Libbey Parkway in Weymouth. The dermatology practice plans to relocate and expand its practice within landlord FoxRock Properties' portfolio. The practice is currently located in 11K SF at FoxRock's 90 Libbey St. The relocation is expected to occur in the second quarter.
JLL's Tom Kent, Sean Lynch and Mike Keenan represented FoxRock, and The Conrad Group's Bob Conrad and Jim McEvoy represented South Coast Dermatology.
FINANCING
JLL arranged a $75M credit facility for a joint venture between Sendero Capital and Angelo Gordon that is targeting medical property acquisitions. The venture was seeded with a four-asset, 201K SF portfolio in Connecticut, Rhode Island and New Hampshire. The deal consisted of $30M in initial loan proceeds, with another $45M set aside for acquisitions of additional medical properties. A JLL Capital Markets team led by Anthony Sardo arranged the deal.
CONSTRUCTION AND DEVELOPMENT
WinnCos. plans to transform the Worcester Boys Club building into 80 units of affordable apartments for people 55 and older. The project will include 19 studios, 46 one-bedroom and 15 two-bedroom apartments. Of the 80 units, 68 will be set aside for households earning up to 60% of the area median income, 12 units for households earning 30% AMI and 11 units for residents with disabilities.
The project is slated to cost roughly $52M, with financing expected to close in the beginning of next year. The company celebrated the proposal with Massachusetts Housing Secretary Edward Augustus, Worcester Mayor Joseph M. Petty and Worcester City Manager Eric D. Batista.
