This Week’s Boston Deal Sheet: Watertown Lab Building Lands $94M Refinancing
The owner of a Watertown life sciences building secured a $94M refinancing loan, a positive sign amid broader weakness in the life sciences sector and the capital markets.
Clarion Partners secured a five-year, $94M loan from French bank Société Générale to refinance its 185K SF Linx life sciences building at 490 Arsenal Way in Watertown.
The building is fully leased to C4 Therapeutics, Addgene and Tectonic Therapeutic.
“Despite the recent softening in the life sciences market, Watertown’s East End, where LINX is located, remains a key life sciences cluster,” JLL Managing Director Riaz Cassum said in a statement. “Ongoing investment and redevelopment in the immediate vicinity by several major institutional investors validates this submarket’s presence on the national life sciences stage.”
The building has amenities including a grab-and-go café, indoor bike storage, a bocce court and shuttle services to Harvard Square. The property is also part of the city's Arsenal Yards, a mixed-use redevelopment of the former Arsenal Mall.
The refinancing comes as the life sciences market continues to slow. Landlords are struggling to lease up space and are running the risk of distress as more development nears completion and tenants are hesitant to ink deals.
JLL's Cassum, Amy Lousararian and Robyn King represented Clarion in the deal.
SALES
Pantzer Properties bought the 195-unit The Point at Waltham for $91M. The Massachusetts Housing Partnership Fund provided a $59M mortgage for the sale. The 238K SF property was developed by Phoenix-based Alliance Residential Co.
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Nuveen, a subsidiary of the Teachers Insurance and Annuity Association of America, acquired the 250-unit Velo apartment complex for $102.5M in Boston's Jamaica Plain neighborhood, the Boston Business Journal reported. The buyer bought the property from Dallas-based Criterion Development Partners, which developed the property in 2018. The building is within walking distance of the MBTA's Forest Hills Orange Line stop.
LEASES
Alsym Energy signed a 60K SF lease at Berkeley Investments' Exchange 200 development. The 300K SF lab and office building will act as the company's headquarters. The lease is also the largest signed at the building. JLL's Molly Heath, Chris McCauley and Anslee Krouch represented Berkeley and its partner Singerman. Colliers' Bill Lynch and Caroline Evans represented the tenant.
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Celltreat Scientific Products signed a 113K SF lease at 3 Nemco Way in Ayer to act as its new headquarters. The lease allows the company to consolidate operations from three buildings into one location. The building is an industrial property featuring 20 loading docks and office space. Cushman & Wakefield's Nick Bruha, Blake Baldwin and Shayne O’Neil represented the tenant in the transaction.
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Industrious plans to operate a 31K SF location at a former WeWork at 711 Atlantic Ave. in the city's waterfront district. The location will open its doors in early October. The workspace is across two floors, will have 24/7 access for members and is within walking distance of South Station.
FINANCING
Carmel Partners secured $137.3M in acquisition financing for the sale of the Luka on the Common, a 398-unit apartment building. The loan originated through Fanni Mae and is a five-year, interest-only loan. Walker & Dunlop's Travis D'Amato and Michael Coyne facilitated the sale of the property between AvalonBay Communities and Carmel Partners. Walker & Dunlop's Jeff Burns helped secure the acquisition financing.
PERSONNEL
Mayor Michelle Wu appointed Kairos Shen to lead the Boston Planning Department. Shen worked for the city for two decades under Mayors Thomas Menino and Marty Walsh between 1993 and 2015. Shen will transition into the role in early October and serve as chief of planning starting Oct. 15.
CONSTRUCTION AND DEVELOPMENT
HYM Investments celebrated the opening of its Amaya apartment building in its Suffolk Downs development. Executives from National Real Estate Advisors and Revere Mayor Patrick Keefe joined HYM at the opening. The apartment building features 425 units, 34K SF of amenity space and 24K SF of ground-floor retail space in Revere's Beachmont Square neighborhood. Once the entire 5.2M SF project is complete, there will be more than 10,000 new residential units in East Boston and Revere.
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Petruzziello Properties broke ground on a 160-unit apartment development in Westwood under new zoning that complies with the state's MBTA Communities Law, Banker & Tradesman reported. The project is funded by a $30.2M loan from South Shore Bank and Dedham Savings and would include 24 affordable housing units. The development would also include 12K SF of ground-floor retail, walking trails, sports courts and outdoor public space.
