MassHousing has closed $106.2 million in loans for the redevelopment of the Charlesview Apartments in Brighton, making the transaction the second-largest in MassHousing’s 45-year history for a single rental housing development.
The Charlesview Redevelopment involves a land swap between Charlesview Inc., which owns the Charlesview Apartments, and Harvard University, which will result in the currently distressed 213-unit Section 8 development on Western Avenue in Allston being razed and rebuilt on a new site on Western Avenue in Brighton. The project developers are Charlesview Inc. and The Community Builders.
"It is not often that you can transform an entire city neighborhood but the Charlesview Redevelopment is going to accomplish that," said MassHousing Executive Director Thomas R. Gleason. "This project is going to remove distressed, obsolete housing from one end of Western Avenue and create an affordable, vibrant residential community just up the street."
Harvard will take control of the current Charlesview site at Western Avenue and North Harvard Street in Allston where it will expand its educational facilities near the Harvard Business School. Harvard is committing approximately $72 million to the project.
The new Charlesview Apartments will feature 240 units, of which 200 will continue to receive Section 8 project-based subsidies following a unique agreement with HUD that will allow for the transfer of the housing vouchers from the old development to the new one.
"This is a wonderful development for the residents of Charlesview, the Allston Brighton neighborhood, and the city of Boston. It will provide beautiful new homes for families, revitalize and enliven a section of our city and add much-needed jobs," said Mayor Thomas M. Menino.
The redevelopment will also include new street patterns, a park, community center, 14,000 square feet of retail space and underground parking for 242 vehicles.
The contractor is John Moriarity Assoc., the architect is CBT Architects and the management agent is Peabody Properties.
The MassHousing financing includes a $46 million construction/permanent loan, $58.2 million in bridge financing, and $2 million from the Priority Development Fund. The transaction is the second-largest in MassHousing’s history for a single rental development behind the $151 million in financing MassHousing provided in 1986 for the 1,283 unit Harbor Point development in Boston.
