According to the Boston Business Journal:
Developer Steven Samuels told the Boston Redevelopment Authority on Thursday that skyrocketing construction costs are making him think twice about moving ahead on a $100 million project.
Samuels will press ahead with the 215-unit project located at 1330 Boylston St. in Boston’s Back Bay neighborhood. The residential and office project will break ground next week, but Samuels said it may turn out to be an apartment project rather than condominiums.
“We have two years to figure out whether we can actually sell the condos or not,” said Samuels.
Okay, am I the only one to find that confusing?
Samuels says the cost of construction is making him think twice about building, but he’s breaking ground next week on the residential component?
I guess it’s all about interiors. If they go the condo route, in 18-24 months they can upgrade the interiors, or go down-market if they decide to go the apartment route.
It’d be a shame if these weren’t condos. That stretch of Boylston Street needs more, 24-hour activity, unrelated to baseball games.
I also want the project to succeed because it will bring more retail to the area, and will also be the home to the new Fenway Community Health Center.
The developer may have been crying poor for a reason:
The BRA unanimously voted to allow Samuels to change the percentage of affordable units the project would contain on-site. Instead of 10 percent of the units being constructed on-site, 5 percent will be constructed on-site. To make up for the remaining 15 percent of the units required off-site, Samuels was required to give $3 million to the city’s affordable housing fund.
Clever man, that Samuels.
Source: Construction costs cause condo developer woes – The Boston Business Journal