The Deal Sheet: Breaking News
As soon as this week, Partners Healthcare could start building its new 1.1M SF office complex in the $1.4B Assembly Row mixed-use development in Somerville. (So if you need a bulldozer, you'll know where to find them.) A critical factor in its site selection was the new train station that opened there yesterday, says Partners' Rich Copp.
For the first time in 27 years, the MBTA has built a new train station and plans to open seven more new stops—five in Somerville, one in Medford, and one in Cambridge. Access to mass transit is essential for Partners’ complex—700k SF of office, 100k SF of retail, and an option on an additional 300k SF, Rich says. Mayor Joseph Curtatone (holding the cut ribbon overhead; all of those men have scissors... that ribbon didn't stand a chance) says this infrastructure project is a huge win for the entire state, not just this city which fought long and hard for the improvements. The public investment will lead to more private investment in the region over the long term, he says.
SALES
CSM Corp’s CSM Lodging closed on a parcel of land in Marlborough’s Forest Park Development, where it’ll build, own, and operate a 160-key Hilton Garden Inn with a restaurant, patio, a business center, fitness center, and pool. The opening is planned for Q1 ’16.
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Select Income REIT paid $3B to acquire Cole Corporate Income Trust and its industrial and single-tenant, net-leased properties. The purchase price includes cash, SIR shares, and the assumption of debt.
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Senior Housing Trust paid $539M to purchase 23 leased MOBs with 2.2M SF in 12 states. The closing of the sale is contingent on the closing of SIR’s merger with Cole. Both SHT and SIR are managed by Newton-based RMR, which is an equity investor in the acquiring REITs and manages their properties for a fee.
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W.P. Carey purchased Nine Technology Dr in Westborough from Columbia Property Trust for $47 M. Cushman & Wakefield’s Robert Griffin, Edward Maher, and Matt Pullen repped the seller of the single-tenant property, which is currently 100% leased to Bose Corp.
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DivcoWest and Synergy Investments closed on their purchase of 38 Chauncy St, a 132k SF downtown office building, the seventh Boston office building the companies have acquired together. DivcoWest also owns nearby One Winthrop Square, which it purchased in December. Synergy owns several downtown buildings, including 101 Summer St, 99 Chauncy St, 100 Franklin St, and 294 Washington St.
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A JV of Hostmark Hospitality Gp and Continental Properties Acquisition Corp paid $13.6M to acquire the Holiday Inn Hotel in Falmouth, a 98-key property in the heart of Cape Cod. The partners plan to upgrade the guest rooms and some common areas. Now, the hotel amenities include a restaurant, an indoor pool and fitness room, 3,000 SF of meeting space and a business center.
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Jumbo Capital Management , a private Hingham-based investment firm, paid Arbella Insurance Gp $18M for 1900 Crown Colony Dr in Quincy’s Crown Colony Office Park, which Colliers will lease. Arbella will continue to occupy space there. Also recently, JCM purchased 100 Crosby Dr in Bedford, which is 100% leased to Oracle.
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Sea Dar Real Estate and CNW Capital Partners paid nearly $9M to The Harvard Club of Boston for its annex at 380 Commonwealth Ave to convert into nine luxury condominiums. Boston Realty Advisors’ Chris Sower repped the seller.
LEASING
Sullivan Tire is taking 200k SF at Myles Standish Industrial Park in Taunton for call center, office, and warehouse space. It plans to move this fall into the site being developed by Maggiore Co. NAI Hunneman’s Cathy Minnerly is the broker for the facility.
FINANCING
Ares Management and CV Properties secured $240M in permanent financing for Channel Center, a 500k SF build-to-suit for State Street. The financing was structured as a $190M first mortgage and a $50M mezzanine loan. HFF also arranged the $170 M construction loan for the property in 2012. HFF’s debt placement team led by Anthony Cutone and Brett Paulsrud repped the borrower.
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An affiliate of Rogerson Communities secured nearly $17M in financing from MassHousings to acquire Beacon House. The buyer and the city of Boston have agreed to maintain the 135-unit Beacon House on Beacon Hill as affordable seniors housing.
