This Week's Boston Deal Sheet
Greystar broke ground on a new student housing development north of Boston in partnership with Merrimack College.
The development firm began construction on a new 540-bed, two-building student housing project in North Andover. The residence halls are the largest increase to Merrimack's on-campus housing stock since 2015.
“For many, communal living is a quintessential aspect of the college experience, and these buildings will offer attractive housing that will foster learning and growth,” Gary Kerr, Greystar senior managing director of development, said in a statement. “We applaud Merrimack’s administration for its dedication to enhancing the campus experience for students and for growing its housing stock in response to rising enrollment interest.”
The new housing will help the college to transfer its growing student body from private, off-campus housing back to campus. The buildings will have amenities including a fitness center and in-building laundry.
Greater Boston is inundated with a wave of new college students every year who turn to off-campus housing, putting pressure on the region's housing stock and forcing colleges to find new ways to add on-campus housing options for students, especially through public-private partnerships with local developers.
SALES
A private investor acquired Kings Plaza, a 168K SF shopping center in New Bedford, for $14.2M. The shopping center's tenants include Savers, Ocean State Job Lot, McDonald's, FunZ Trampoline Park and a recently opened EC Barton Home Outlet. The buyer acquired the property from Cedar Realty Trust. CBRE's Nat Heald and Jordana Roet led the team that marketed the property and represented the seller.
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FPA Multifamily acquired a 696-unit apartment community in Waltham for $221M, marking the largest multifamily sale in the region this year. The San Francisco-based company bought the property from Harbor Group International. CBRE Multifamily Capital, the brokerage's lending arm, provided the buyer with a $156.1M acquisition loan. CBRE's Simon Butler, Biria St. John, John McLaughlin and Brian Bowler brokered the deal on behalf of the seller.
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TruAmerica Multifamily acquired a 324-unit multifamily community known as The Villas at Old Concord in Billerica for an undisclosed price. The property marks the firm's fifth investment in the market. The community consists of seven buildings with one-, two- and three-bedroom units. The company plans to renovate 192 units by upgrading them to include stainless steel appliances, new countertops, cabinetry and hardware, and wood-style flooring.
FINANCING
MassDevelopment issued a $2.5M tax-exempt bond for nonprofit school LightHouse Personalized Education for Teens. The school will use the money to buy a three-building complex at 92 Race St. in Holyoke. The school plans to increase enrollment to host as many as 160 students in the new building. The bond was purchased by Greenfield Cooperative Bank.
CONSTRUCTION AND DEVELOPMENT
Nan Fung Life Sciences proposed a partial lab conversion project for its Two Financial Center property at 60 South St. in the Leather District, according to a filing with the Boston Planning Department. The firm wants to convert 21K SF of the office space on four floors of the 218K SF building. It acquired the property for $210M in 2021.
The once-hot trend of office-to-lab conversions has cooled down as the life sciences market has faced slowing demand and rising vacancy over the last two years, but market experts believe it will eventually recover. Nan Fung said in its filing the project will “provide much-needed space for life sciences tenants in support of economic development within the Leather District.”
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DXD Capital broke ground on a 96K SF self-storage facility in Nantucket. The project will be located at 10 Davkim Lane and will offer 667 storage units. The facility is set to open in the third quarter of 2025. The facility will include climate-controlled covered parking spaces for vehicle storage and an on-site condo for residents of the island. The company is partnering with general contractor Park East Construction Co. and lender Centreville Bank.
PERSONNEL
Josh Rownd joined the architecture firm STV as senior vice president and Boston area manager. Rownd will oversee its buildings practice across the state, managing business development, client and community relations, staff engagement and financial performance. Rownd has 14 years of experience as an architect, previously working as senior director of business development at Jacobs and principal at Symmes Maini & McKee Associates.
