This Week's Boston Deal Sheet
The owners of an industrial property in Peabody secured a loan to refinance their debt and expand the facility.
Barings arranged a $53M refinancing loan for 140 Summit St. in Peabody, according to a press release. Landlords Oliver Street Capital and Bain Capital Real Estate will use the loan to refinance the 370K SF warehouse and distribution center.
Oliver Street and Bain Capital also plan to build an 83K SF addition to the warehouse for e-commerce retailer Christianbook.
“Barings did an exceptional job executing on a tight timeline in this turbulent market,” Colliers Executive Vice President John Broderick said in a statement. “Barings delivered market-leading terms that allow Oliver Street and Bain to retire the existing debt as well as fund construction dollars for the tenant to expand and consolidate its operations.”
Colliers' John Broderick and Patrick Boyle secured the financing for the landlords. The financing will replace bank debt Colliers secured in 2020.
SALES
Spanish investment firm The Ferrado Group acquired 801 Boylston St. for $39.1M, according to public records. The firm bought the office building at a 27% discount from ASB Real Estate Investments and Blatteis & Schnur, which acquired the building for $53.9M in 2013, Banker & Tradesman reported. The 28K SF office building is anchored by Fidelity Investments.
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An affiliate of Supreme Development Inc. and Petruzziello Properties acquired a 44K SF retail plaza in Canton for $8.7M, according to deed records. The plaza tenants include Dunkin' and Stone L'Oven Pizza Co. The site is across the street from the Village Shoppes of Canton. Owner Giogio Petruzziello received a $12M loan from Dedham Institution for Savings, according to The Real Reporter.
LEASES
Three new restaurants have signed leases at Federal Realty's Assembly Row, bringing 13K SF of new retail to the mixed-use development. Italian restaurant Posto signed a 6K SF lease, Toca Chida signed a 5K SF lease, and Amelia's Taqueria signed a 1K SF lease. Poke bowl restaurant Pokemoto, Vietnamese grill A Nam and Portuguese restaurant Tribos Peri Peri are also tenants at Assembly Row.
FINANCING
Related Beal secured a $280M loan from Santander Bank as part of its financing for Innovation Square Phase 3. The development team is nearing groundbreaking on the 345K SF life sciences development. Along with Related, the development team consists of Mitsui Fudosan America, Vertex, Kavanagh Advisory Group and Boston Real Estate Inclusion Fund.
The team also received financing from Ullico, LBBW and Washington Capital. Newmark assisted Related Beal in securing the financing for ISQ3. The building is expected to be the first LEED Platinum and net-zero carbon life sciences building in the city, the team said in the release.
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MassHousing provided landlord Connolly & Partners $50M for the 501-unit Clarendon Hill Towers Apartments in Somerville to preserve affordable rents and undertake $13M in property improvements. The apartment complex consists of three 12-story buildings and a single-story administrative building.
All 501 apartments are income-restricted to households earning up to 60% of the area median income, and 347 of the units are subsidized through federal Section 8 contracts. MassHousing has provided $222M in total financing for 12 rental housing communities in Somerville totaling 2,025 units.
CONSTRUCTION AND DEVELOPMENT
Boston Properties commenced construction on its 37-story residential project at 121 Broadway St. in Kendall Square. The project is planned to include 439 rental units and is estimated to cost $598M. The apartment building is part of a $1.2B redevelopment and partnership with Eversource that will include not only the residential tower but also two life sciences buildings and an underground substation.
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Skanska was awarded a $40M contract by the Massachusetts Port Authority to renovate Boston Logan International Airport's 250K SF Terminal B garage. The renovation would help improve overall traffic flow, water drainage and lighting. Construction on the garage is planned to begin in the summer and is expected to be completed at the end of 2026.
