Photo courtesy of Boston Landmarks Commission
Ownership changes could create 631 new apartments in a pair of historically significant Boston buildings while updating aging building systems and adding residential amenities.
In the Financial District, Kendall Capital manager Mai Luo is planning to tap into historic tax credits to help finance a residential conversion at 133 Federal St.
The project would convert 12 stories at the 155,370 square-foot Brutalist-style building designed by architect Paul Rudolph into 155 apartments at projected monthly rents ranging from $2,500 to $4,500. The unit mix includes 118 studios.
Luo is offering to relocate existing office tenants at 133 Federal St. to other properties within his portfolio. All of the current leases are subject to owner termination rights in the next 18 months, according to an application submitted to the Boston Planning Department.
Construction is expected to take 16 to 24 months. Luo acquired the property in December for $15.75 million.
The Boston Landmarks Commission certified the property as a landmark in 2024.
In its first Boston acquisition, New York-based Vanbarton Group is planning extensive updates to the 11-story Park Square building, which occupies an entire block at 31 St. James Ave. Vanbarton Group is proposing a 9,000 square-foot penthouse addition containing amenity space for the future residents of 476 apartments, next to a 12,000 square-foot roof deck.
Vanbarton Group had previously applied for the city’s office-to-residential conversion tax break program this summer, but detailed the additional changes in a project notification form filed with the Boston Planning Department on Friday.
A former Liberty Mutual headquarters completed in 1924, the neo-Classical building also contained offices for government agencies and diplomatic consulates during its century of commercial use.
All of the building’s 464,000 square feet of office space will be vacated in 2027, clearing the way for the conversion project. Starwood Property Trust, the lender to previous owner Capital Properties, submitted the high bid of $95 million for the property at an online auction in March.
Developers will replace gas-fired steam boilers and a chiller plant with electric heat pumps, eliminating use of fossil fuels on the property.
The property is listed on the Massachusetts Historic Commission’s inventory, limiting the scope of changes to its appearance. The residential conversion will preserve the 2-story limestone and marble lobby and retail space.
Vanbarton Group estimates a 24-month construction period, and hopes to begin construction in March following completion of permitting. Along with Boston Planning & Development Agency approval, the project will require Zoning Board of Appeal approval of three variances, according to its Friday submission to the Boston Planning Department.
The project team includes architect Gensler and consultants VHB, WSP and Code Red.
A third project approved under the tax abatement program received financing from The Davis Companies this month. Boston-based Davis provided $44 million to Dinosaur Capital Partners and Mugar Enterprises, which are converting 31 Milk St. into 110 apartments.
“Across our credit platform, we continue to look for opportunities where we can bring flexibility, creativity, and experience to more complicated transactions,” Davis Chief Investment Officer Quentin Reynolds said in a statement.
31 St. James Ave. Image courtesy of Vanbarton Group
