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Fan Pier Boston
Boston-based Fallon Co. says a 150-room hotel isn’t financially feasible on one of two undeveloped parcels in the 3-million-square-foot Fan Pier district.
Instead, it’s seeking to build a residential building containing up to 170 condominiums or 245 apartments on parcel H on Northern Avenue, where an underground garage has already been completed.
“We have struggled for almost 10 years to make economic sense of the hotel requirement,” developer Joseph Fallon wrote in a letter submitted this week to the Boston Planning and Development Agency.
Neither a limited-service nor a full-service hotel including a ballroom and meeting rooms were feasible. Fallon blamed the delays on a requirement that parcel H include nearly 24,000 square feet of civic or cultural space and a BPDA requirement to provide the eventual occupant of the civic and cultural space on parcels H and D with a $25 per square foot construction allowance, potentially adding millions of dollars in unanticipated costs. Parcel D is occupied by the 120-unit 50 Liberty condo tower scheduled for completion in early 2018.
The changes would amend the master plan for the 21-acre waterfront district, which includes seven buildings including the Vertex Pharmaceuticals headquarters, Marina Park Drive office tower, law firm Goodwin Procter office tower, Institute of Contemporary Art and the Twenty-Two Liberty and 50 Liberty condos.
Additionally, lab space has been dropped from plans for a 150,000-square-foot building on parcel E, which now would contain only office space.
Plans for three other hotels are moving ahead in the Seaport District as developers target the business traveler market. The BPDA this month approved The Davis Cos. and Omni Hotels & Resorts’ 1,054-room hotel on Summer Street. And Hyatt Hotel Corp. and McWhinney Real Estate services signed a ground lease for a 293-room hotel on Massport’s 2.4-acre parcel K on at 315 Northern Ave.
Wellesley-based Harbinger Development received BPDA approval in 2016 for a 411-room Hampton Inn and Homewood Suites at 660 Summer St.
