Photo by Steve Adams |Banker & Tradesman Staff
Boston’s office to residential conversion program surpassed 100 units under construction, including a prominent Fort Point landmark being converted into 77 apartments by South Boston developer Adam Burns.
It’s a major milestone for two-year-old program that had so far generated only a handful of new homes, in part thanks to high affordability requirements and the high cost of construction loans.
At a ceremony Thursday morning, Burns credited the Boston Planning Department with fast approval of the project, one of two that his firm currently has under way.
“It’s a forward looking solution that reimagines our urban core,” said Burns, whose firm also is constructing 15 apartments at 281 Franklin St. in the Financial District.
The office to residential conversion program offers developers a 75 percent property tax abatement for 29 years, along with fast-track permitting reviews. But projects must abide by the city’s 17 percent affordable housing requirement for smaller projects and the state’s extensive new “stretch” energy code.
The program has received applications for 762 housing units in 20 buildings, 595 which have been approved by city officials.
The event was held at 263 Summer St., a Fort Point property known for its iconic Boston Wharf Co. rooftop sign. Burns’ firm acquired the property in 2024 for $17 million and received a $29.5 million mortgage from North Shore Bank, according to Suffolk County Registry of Deeds records. The loan was brokered by Doug Landry of LandUP Capital.
“North Shore Bank understood the goal, the agenda and what the city is doing here to expedite permitting and to create housing,” Burns said in an interview.
But prices of underutilized office buildings are becoming more competitive as distressed properties hit the market, Burns said.
“We’re always looking for opportunities,” he said. “The office market still does have distressed assets that need to be absorbed. So opportunity is out there, but they are all well-marketed and well-attended in terms of offers and interest.”
Burns said the Fort Point project will be completed in fall 2026, while the Franklin Street project will open in September.
“We know how complex it is to do what Adam and his team have done in the city,” Mayor Michelle Wu told attendees at Thursday’s ceremony. “These conversions are not what was originally envisioned for the building, and take a lot of work maneuvering all the small spaces.”
Wu also signaled support for the Boston Planning Department’s controversial PLAN: Downtown rezoning proposal, which would allow construction of towers up to 700 feet on some parcels, saying that increased density to encourage housing construction is critical to the future of downtown. The Boston Globe reports that city planners have again postponed a vote on the plan by the Boston Planning & Development Agency board of directors amid pushback from historic preservationists and wealthy residents.
Editor’s Note: This story has been updated to reflect the involvement of LandUP Capital in the project.
