Related Beal to Construct 14-Story Residential Building in Boston with $85 Million in MassDevelopment Bonds
December 23, 2015
FOR IMMEDIATE RELEASE
Kelsey Abbruzzese, MassDevelopment, 617-330-2086 & 617-448-9077 (cell)
Wendy Pierce, Related Beal, 617-933-5024
MassDevelopment has issued a $52 million tax-exempt and $33,750,000 taxable bond on behalf of Beverly Street Residential IB LLC, a mixed-income multifamily housing project in Boston. Related Beal, the project sponsor, is using bond proceeds to build a mixed-use development of a 239-unit, 100 percent affordable and workforce building and hotel in downtown Boston on Parcel 1B near North Station, bordered by Beverly Street, Valenti Way, and Haverhill Street. The 14-floor building will house roughly 200,000 square feet of residential space; 9,500 square feet of ground-floor retail; and 173 above-grade parking spaces. MassDevelopment also assisted the Department of Housing and Community Development with the approval of federal low-income housing tax credits that will provide about $7.4 million in equity for the project.
“With this project, Related Beal is taking a novel approach to addressing the vital challenge of increasing the supply of workforce housing in Boston,” said MassDevelopment President and CEO Marty Jones. “MassDevelopment is pleased to support this transit-oriented project, which will provide new opportunities for working families and individuals to continue to live in an increasingly vibrant part of the city.”
Twenty percent of the 239 housing units – 48 units – will be rented to households earning no more than 50 percent of the area median income (AMI); 23 units at 110 percent of AMI; 35 units at 120 percent of AMI; 72 units at 140 percent of AMI, 36 units at 150 percent of AMI; and 25 units at 165 percent of AMI. The apartments will consist of 58 studio units, 113 one-bedroom units, 44 two-bedroom units, and 24 three-bedroom units.
Related Beal is a fully integrated real estate firm focused on development and investment opportunities in Boston and the surrounding region. Related Beal leverages a national real estate platform with expertise across all asset classes and storied local experience in life sciences, commercial and residential development, property management and investment.
Ted Lubitz, a Vice President at Related Beal who oversees the company’s affordable projects, said, “Our Parcel 1B development will deliver a significant amount of workforce and affordable housing to the downtown market as a result of a highly collaborative effort between Related Beal and city and state agencies. We appreciate MassDevelopment’s role in this process, and are looking forward to breaking ground on the first large scale mixed-use workforce and affordable housing development downtown Boston has seen in more than 25 years.”
MassDevelopment, the state’s finance and development agency, works with businesses, nonprofits, financial institutions and communities to stimulate economic growth across the Commonwealth. During FY2015, MassDevelopment financed or managed 294 projects generating investment of more than $2.5 billion in the Massachusetts economy. These projects are projected to create about 6,100 jobs and build or rehabilitate about 2,000 residential units.