In a significant transaction within the Massachusetts real estate market, Harbor Group Management has acquired The Kendrick, a 390-unit multifamily building located at 275 Second Avenue in Needham, for $182 million.
The acquisition from Toll Brothers was recorded with property records indicating the deal’s finalization at $181.7 million.
Both Toll Brothers and Harbor Group Management have not responded to Bisnow’s requests for comments regarding the transaction.
The construction of The Kendrick began in late 2016 through a joint venture between Toll Brothers and Ares Management, which also secured a $91 million construction loan from JPMorgan Chase and TD Bank.
The apartment building officially opened its doors in 2018, proudly marking the second Massachusetts apartment complex in Toll Brothers’ portfolio.
Ranked among the 12 largest multifamily developers in the U.S., Toll Brothers boasts a diverse portfolio across 60 markets, which includes holdings like Emblem 120 in Woburn and The Bradford in Belmont.
Harbor Group Management’s parent company, Harbor Group International, oversees more than 54,000 apartment buildings globally.
They have recently shifted focus towards newly constructed apartment complexes and major acquisitions, including a notable 13,000-unit, $1.8 billion deal in the Sunbelt in 2020.
In addition to multifamily acquisitions, Optimum Asset Management has recently expanded its portfolio by acquiring a fully leased research and development complex located at 150 Minuteman Road in Andover.
This property was purchased for $26.4 million from BGO and is part of a larger six-building campus known as Minuteman Park, which spans 1 million square feet.
BGO previously acquired the property for $32 million in 2018, indicating a change in investment strategy.
The fully leased complex is primarily occupied by Smith & Nephew, a tenant since 2002.
The Newmark team, which facilitated the deal, included Robert Griffin Jr., Edward Maher, Matthew Pullen, James Tribble, Samantha Hallowell, William Sleeper, and Grady Zink.
In another development, an entity linked to The Seyon Group has acquired a 38,000-square-foot flex industrial building situated at 40 Hudson Road in Canton from JB Capital for $7.1 million.
The property is currently leased to Phoenix Electric Corp, showcasing continued investment in industrial real estate.
On the leasing front, Eversource Gas has signed a lease agreement with Marcus Partners for a proposed build-to-suit industrial project in Taunton.
This project entails demolishing a 95,000-square-foot office building in Myles Standish Park to construct a new flex building along with three acres of industrial outdoor storage space, slated to be completed by late 2025.
In terms of financing, Massachusetts officials allocated $5 million from the state’s $50 million Momentum Fund to Joseph J. Corcoran Co.
This funding aims to support The Residences at East Milton apartment complex, which will feature 92 mixed-income rental units, including 23 designated as affordable.
This project has received permits under the state’s affordable housing development law, Chapter 40B, pointing to a commitment towards expanding affordable housing options in the area.
In construction and development news, Procter & Gamble has unveiled ambitious plans for a large 31-acre redevelopment site along Fort Point Channel.
The proposed plan could transform the area into a 5.7 million-square-foot mixed-use community, featuring 1,800 housing units and 3.5 million square feet of office and research space.
This initiative will include over 20 buildings, with approximately 50% of the overall plan dedicated to open space and public amenities, enhancing community access to the waterfront.
Currently, the site functions as the headquarters for Gillette, housing research facilities and manufacturing spaces.
Furthermore, the Boston Planning Department has approved 588,000 square feet of various projects, incorporating 591 new residential units.
Key projects involve Nordblom Co.’s development of 333 units at 83 Leo Birmingham Parkway in Brighton and the repurposing of the Great Scott music venue in Allston.
Other approved developments comprise a 38-unit housing project at 36 Parker Hill Ave. in Mission Hill, a 46-unit project at 586-598 Canterbury St. in Roslindale, and a 35-unit project at 98-100 Condor St. in East Boston.
Lastly, the Massachusetts Audubon Society has successfully acquired a nearly 18-acre site of the former Forbes Lithograph Manufacturing location in Chelsea for $8.4 million, paving the way for possible green space and affordable housing initiatives within the community.
The Neighborhood Developers, based in Chelsea, is expected to purchase a five-acre segment of this site for the potential development of up to 225 housing units.
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