Photo courtesy of Cronin Group
The developer of the St. Regis Residences in Boston’s Seaport District received a $240 million mortgage from a company that developed the nearby Echelon Seaport complex.
Cottonwood Group of Los Angeles provided senior mortgage financing to The Cronin for 69 unsold condominiums in the 114-unit luxury tower at 150 Seaport Blvd., which opened in 2022.
Documents for Cottonwood’s loan were filed in the Suffolk Registry of Deeds the same day a release was filed by an affiliate of Madison Realty Capital that declared a $310 million construction loan the company made to the Cronin Group to help erect the tower had been paid.
Cronin brought in The Collaborative Cos. of Boston as its new sales agent in October and took the unusual step of offering a limited sealed-bid sale of 10 unsold units, starting at $1.4 million, to accelerate the so-far slow pace of sales.
The tower had become something of a poster child for the Boston area’s cooling luxury sales market due to a large number of unsold units lingering after the tower had opened in late 2022. The sector has slowed faster than the rest of the housing market this year, a fact some observers partly attribute to the multiple high-end condo towers that have delivered this year along with record-high mortgage rates.
“Cottonwood’s successful execution on the EchelonSeaport project, directly across the street from St. Regis, speaks for itself. As a result, Cottonwood was able to quickly understand our investment thesis and execution needs to completion,” CEO Jonathan Cronin said in a statement.
Built on a waterfront parcel previously occupied by two bars, the 22-story tower includes a 12,000-square-foot amenity level with high-end features including a heated swimming pool.
Cottonwood began presales of condominiums at its $950 million EchelonSeaport complex in 2018, with many units being snapped up before the building officially opened.
“Our optimism for Boston is fueled by the triumph of our EchelonSeaport project,” Cottonwood Group CEO Alexander Shing said in a statement.
