From Banker & Tradesman:
Boston Properties is preparing to convert the 65 remaining condominium units in its $550 million, mixed-use Russia Wharf development in Boston to rental apartments, sources have indicated to Banker & Tradesman.
Previously, Boston Properties had sought BRA approval to significantly reduce the number of residential units in the waterfront development, from 215 to 65. The developer made that change in order to secure construction financing for the 31-story, 854,000-square-foot tower. Even with Boston Properties’ steep cuts to its residential program at Russia Wharf, a club of five banks only offered the REIT a $215 million loan, with tough recourse provisions.
Lenders’ reluctance to fund new condominium construction helped sink financing for Vornado and Gale International’s Filene’s redevelopment downtown, and it forced Lincoln Property Co. to swap condos for office space at 316-322 Summer St. in Fort Point.
Read More: Boston Luxury Condos
