Image courtesy of city of Cambridge/Consigli Construction
The court-appointed attorney overseeing the upcoming sale of the demolished Riverview condominium property in Cambridge is in talks with local real estate firms as potential advisors on a redevelopment that could total at least 163,000 square feet.
But attorney Christopher Sullivan of Quincy warned that former residents of the Riverview condominiums may not receive any proceeds.
“There is a possibility that certain unit owners will not receive any sale proceeds after their mortgages, real estate taxes and outstanding condos fees … are paid,” Sullivan wrote in a court filing.
Sullivan outlined a nine-step process culminating in issuance of an offering to acquire the property, including an appraisal that could be kept confidential.
The sale price could hinge on the potential zoning approvals for a new development on the 2-acre property at 221 Mount Auburn St.
A legal analysis by Cambridge-based attorneys Adams & Raftery concluded that the new owner could receive approval for at least a 163,000 square-foot residential building, however.
The commissioner asked the firm, which represents many developers seeking approvals before Cambridge land use boards, to estimate the property’s redevelopment potential.
The property is located on the border of two Cambridge zoning districts, each with different dimensional regulations.
But the portion of the property along Mount Auburn Street could be approved for a 7-story, 163,000 square-foot building, attorney James Rafferty wrote in a submission to Land Court.
What Could Get Built?
Development potential in the smaller Residence C-1 district portion of the property is more difficult to determine, Rafferty wrote, due to the irregular shape of the lot portion.
The 8-story Riverview condominium was demolished this winter after engineers determined it was at risk of collapse because of design and construction defects during its original construction in the early 1960s.
A sale of the property to a developer could recoup some of the value, but lien holders including the city of Cambridge would be repaid first. The city paid for the estimated $8.8 million demolition project and hired Consigli Construction to perform the work over the past winter.
On Feb. 12, Land Court Judge Diane Rubin appointed Sullivan as commissioner in a partition legal process for the property, including a sale and distribution of proceeds.
In a court filing, Sullivan said he had discussions with Leggat McCall Properties Co-President Mahmood Malihi on working as a real estate consultant.
Sullivan also listed JLL and Marcus & Millichap as potential brokers on the sale.
“The subject property is unique in nature and highlightly desirable and therefore must be marketed appropriately,” he wrote.
Before a brokerage can begin marketing the property, the court is asking for completion of a title report, environmental study and submission of condominium trust documents.
The property will be sold free and clear of the 11 outstanding mortgages, but will not extinguish the debts, Sullivan stated. Lien holders’ claims will be attached to owners’ share of the sale proceeds, enabling a “smoother closing” and avoiding delays.
