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National Development combines with Charles River upon close of $400M funding round

Charles River Realty Investors announced that it has closed its $400 million Fund 4.  In conjunction with the closing of the fund, the firm announced that it was combining with National Development to form a seamless, vertically-integrated real estate investment, development, construction and operating company.

Since Charles River’s formation in 2006 as the investment management platform of National Development, the firms have committed over $4 billion in real estate investments, with a primary focus on creating value through urban and mixed-use development, redevelopment and renovation/repositioning, and produced top-tier returns for its investors.

The combined firm will be known as National Development, with Brian Kavoogian becoming a Managing Partner and a member of the firm’s Executive Committee.  He will continue to have a primary focus on the firm’s new investment activity.  Going forward, National Development plans no changes in its approach and strategy, with a focus on creating great places and providing its investors with attractive risk adjusted returns.

“Combining the firms is a natural extension of our long-term relationship and synergies,” said Kavoogian.  “This will strengthen our platform and will be seamless for our investors and partners.”

BBJ calls out Ink Block as “shining example” of placemaking and live-work-play mixed-use development

Developers see a ‘perfect opportunity’ in Boston’s South End 

By Catherine Carlock
– Real Estate Editor, Boston Business Journal

Sep 27, 2019, 5:00am EDT

There’s no local development more often cited as an example of the real estate concept of “placemaking” than Ink Block in Boston’s South End. The six-building complex that opened about five years ago and was built by National Development, features residences, an AC Hotel by Marriott, a Whole Foods grocery store, among other things, and is often held up as a shining example of the “live-work-play” mixed-use development archetype around which developers — and development financing — are clamoring.

Ink Block stands a stone’s throw from Boston’s I-90/I-93 interchange, a site long been considered difficult, if not impossible, to develop. In many ways, Ink Block is considered a catalyst for new development in a rapidly changing, and gentrifying, neighborhood — one that’s seen an infusion of luxury housing and is set to see even more in the coming years. Projects including 345 Harrison — a 585-unit residential project spanning full city block complete with rooftop pool — have recently wrapped up, while more than 700 are currently under construction.

Much of the construction was prompted by a 2012 study published by city planning staffers, called the Harrison-Albany Corridor Strategic Plan, said David Chattman, vice president with Related Beal in Boston. The plan — and its subsequent rezoning — prompted a wave of investment and development, Chattman said.

“We really see it as kind of the perfect opportunity, and I think we’re not alone in that,” Chattman said. “You get the authenticity and the cultural diversity of the South End, but kind of in this corridor, that sits at the nexus of so much.”

National Development closes on 156-unit Marlborough apartment complex

On August 22nd, National Development closed on the purchase of Avalon Orchards in Marlborough, MA.  Built in 2002, the 156-unit apartment complex, which will be renamed Orchard Apartments, is located on nearly 23-acres on Boston Post Road.

Orchard Apartments consists of twelve, two- and three-story residential buildings, four detached garage structures containing 22 garage bays and a separate, recently renovated, New England-style amenity and leasing clubhouse with fitness center and pool.  All apartments are direct entry homes, and second floor homes offer vaulted ceilings and an additional loft space. There are 69 one-bedroom units and 87 two-bedroom units.

National Development will begin updates to the property, beginning with phased unit renovations and select improvements to landscaping and amenity areas.

Underground at Ink Block Murals Featured in Boston Globe Cover Story on Public Art

by Murray Whyte, Boston Globe, July 27, 2019

“Underground at Ink Block,” in the South End, may not make any grand political statement — it’s a growing collection of street art under I-93 — but just by being here, in an uncared-for slice of the city, it does. It shows the power of site-specific sensitivity, an old problem exploded with new thinking. The site was leased by National Development Group from the Massachusetts Department of Transportation to use as a parking lot.

Victor and Liza Quinonez’s idea for the Underground Ink Block was “a street museum that we can curate over the years, and give people here an opportunity to shine,” Victor Quinonez said.
Victor and Liza Quinonez

National rebuilt the dead space into a network of parks and trees, but it still felt barren. Then in 2017, National invited Victor and Liza Quinonez, who run the creative agency Street Theory, to enliven it. Their idea, “a street museum that we can curate over the years, and give people here an opportunity to shine,” said Victor, took off. Now it’s a showcase for street art that puts Boston’s best alongside the best in the world.

Judging by the thousands who turned out one weekend last month for the annual street festival there, it’s working. On a hot Saturday, they saw artists, including Quinonez, who went to the School of the Museum of Fine Arts and goes by Marka27, make a towering portrait of a young woman in fuschia and turquoise, running the full height of a double-decker support column….” to read full article, click here

 

ND plans ‘transformative’ mixed-use development on 10 acres in South Boston

Mar 1, 2019, 6:26am EST   BOSTON BUSINESS JOURNAL

by Catherine Carlock

Lower Newton Falls-based real-estate firm National Development is in the early stages of planning a large-scale mixed-use project on at least 10 acres in South Boston located between the Broadway and Andrew MBTA stations.

That area, primarily a stretch between Dorchester Avenue and Old Colony Avenue, is currently home to low-rise industrial and retail buildings and is a sector that the city has identified as able to handle much denser development.

National Development has spent more than $25 million since August to acquire several parcels just south of the Old Colony/Dot Ave. split, including spending $12.8 million this week to acquire 285 Dorchester Ave., according to Suffolk County deeds. While there are no formal, concrete development plans yet, the team has visited both the Boston Planning and Development Agency (BPDA) and neighborhood groups including the West Broadway Neighborhood Association for preliminary talks. The project could take up to 15 years, if not longer, to build out.

“We look forward to working closely with the community and the City to create a vision for a dynamic transit-oriented neighborhood that aligns with the needs and growth of South Boston and beyond,” Edward Marsteiner II, partner and director of acquisitions at National Development, said in a statement.

The stretch of Dorchester Avenue between the Broadway and Andrew MBTA stations has been an area of heightened focus for potential real-estate development since 2015, when the city’s development agency launched its PLAN: South Boston Dorchester Ave. process. The area, given its proximity to the Red Line, “presented a unique opportunity to craft a framework for an area that is evolving with short and long term investments that support open space, affordable housing, commercial and retail activity, and public realm investments,” the BPDA said in a statement.

The BPDA published PLAN: South Boston Dorchester Ave., often called “PLAN: Dot Ave.,” in late 2016. The planning document creates “predictable conditions for future mixed-use development with many of the benefits and amenities that the community identified during the public process,” the BPDA says.

Should National Development adhere to guidelines laid out in PLAN: Dot Ave., its project has the potential to be “transformative,” said Derek Pajaczkowski, co-chair of the West Broadway Neighborhood Association.

“It’s at the neighborhood scale,” Pajaczkowski said. “Ink Block would be a block in this particular project.”

Ink Block is National Development’s nearby multi-building retail and residential mixed-use project, which houses condominiums, apartments, restaurants, a Whole Foods grocery store and an AC Hotel by Marriott, with a co-living building forthcoming.

The firm is known for large-scale mixed-use projects, having also developed the 2.1 million-square-foot University Station in Westwood and the 1.3 million-square-foot The District in Burlington, among others.

Without any specific development plan yet in place, National Development says it’s difficult to determine how much new development its 10-acre South Boston site could hold. However, the site’s total size is roughly double that of Washington Village, a $400 million mixed-use project on five acres on Damrell Street, Old Colony Avenue and Dorchester Street closer to the Andrew MBTA station. Core Investments and Samuels & Associates are developing Washington Village, which will feature eight buildings ranging in height from three to 21 stories, with 656 housing units and 100,000 square feet of retail.

Across the street from Washington Village at 267 Old Colony Ave., a developer has proposed a 64-unit residential complex. And Dorchester developer Douglas George has proposed building 120 housing units and 5,000 square feet of commercial space at 10 Damrell St.

The Dot Ave. plan outlines height zones that range from 70 feet for buildings closer to residential homes, up to 200 feet and 200+ feet as development moves closer to a nearby train tracks. The plan lays out a conceptual buildout for the entire study area, which says there’s a potential for between 12 million and 16 million square feet of residential, commercial and retail/cultural use, as well as between eight and 12 acres of open space and 30-50 acres of roads and sidewalks by 2030.

Andrew Gallinaro named Partner

Andrew Gallinaro has been promoted to Partner, Director of Asset Management.  Andrew joined National Development in 2010 as part of its acquisitions team and, in 2016, became Senior Vice President, Director of Asset and Property Management.  Managing a team of nearly 100 employees overseeing over 9 million square feet of assets and 2,400 apartment units, Andrew has been a key contributor to the firm’s continued growth.  As a partner, Andrew will continue in his current roles and will join National Development’s Executive Committee.  Before joining National Development, Andrew worked in the Real Estate Private Equity Group at BlackRock.

Avenu, a new Active Adult Community, featured in MetroWest Daily News

By Henry Schwan
hschwan@wickedlocal.com
Updated May 20, 2018 at 10:01 AM

Avenu at Natick is coming to the bustling Golden Triangle.

NATICK – It’s hard not to notice it when driving on Speen Street across from the Natick
Collection Mall. A new building is slowly making its way skyward in the spot where Sam’s Club once stood.
Avenu at Natick is coming, and when it’s done, it will include an apartment building for
residents 62 and older, and a hotel.  Newton-based National Development is developing the 9-acre parcel.
The potential for increased traffic is tied to the project. It will also have an impact on Natick’s
supply of affordable housing. “It’s a nice, little oasis,” Ted Tye said.
Tye is a managing partner at National Development. He said the 164-unit apartment building
should be finished next summer, and a 135-room Marriott Residence Inn a few months later.
A project of this scope is nothing new for National Development. It recently opened a similar
one in Chestnut Hill that replaced the Circle Cinemas.

Avenu at Natick joins an already bustling commercial, retail and residential scene known as the
“Golden Triangle.”
That’s a popular term for the busy district in Natick and Framingham that falls between Rte. 9,
Rte. 30, Speen Street and the Mass. Turnpike.
Besides Natick Collection, other properties within a stone’s throw of Avenu at Natick include
the Avalon apartment towers, Cloverleaf Apartments, Courtyard by Marriott, Hampton Inn,
Cloverleaf Mall and the MathWorks expansion. Joshua Katzen, owner of Cloverleaf
Apartments, needs permits from the Natick Zoning Board of Appeals before he can build a
second apartment tower next to Cloverleaf.
Tye said his company met with the Natick Planning Board before getting permits to build
Avenu at Natick, and he didn’t hear a lot of concern about traffic.
″(Avenu at Natick) represents relatively low traffic use compared to what was there before,”
Tye said. “In peak hours, (Avenu at Natick) will not contribute a lot (of traffic).”
Of the 164 apartment units at Avenu at Natick, 10 percent, or 17 units, will be affordable,
according to Tye. Those who meet income-eligibility requirements can fill out an application,
and will be chosen by lottery. Tye said there is no local preference for Natick residents, but he
expects a significant number to apply for the 17 units, especially those downsizing from singlefamily
homes.

Roads around Avenu at Natick are a mix of town- and the state-owned. According to the state
Department of Transportation, the main entrance to Avenu at Natick on Superior Drive is
owned by the town. The state owns Rte. 9, its access ramps and parts of Speen Street. A DOT
spokeswoman said the state owns Speen Street between Natick Mall Road and Hartford
Avenue.
Jamie Errickson, Natick’s director of Economic and Community Development, said there’s not
much the town can do about state roads.
In an email to the Daily News, a state transportation official said Superior Drive will be paved
and pedestrian crosswalk flashers will be installed. The new sidewalk will become a multi-use
path for walking and biking. The path will connect the area near Natick Collection with the
Cochituate Rail Trail.
Tye said his company contributed 10 percent of the $60,000 cost to design a path along
Superior Drive to the MathWorks expansion. It was a condition for getting the permits to
build Avenu at Natick.
Traffic around Avenu at Natick can be a challenge, Errickson said, but Natick and Framingham
are working together to figure out ways to improve traffic flow from the Speen Street-Rte. 30
intersection to Exit 13 on the Mass. Pike. He called the area a bottleneck.
One Natick resident believes the town must be careful about how it manages traffic in the
Golden Triangle.
″(Traffic) is a multi-dimensional challenge,” Alan Grady said.
Grady is a founder of the West Natick Neighborhood Association. He lumped traffic in the
Golden Triangle into several categories – pedestrian, commuter, residential, retail and
business.
Understanding each category, and how they fit together, must be understood, Grady said,
before Natick allows more development in the busy Golden Triangle.

Avenu at Natick’s 17 affordable units are available to those making up to 80 percent of the area
median income (AMI). According to the U.S. Department of Housing and Urban
Development, the 2016 area median income in Middlesex County was $98,100.
State law says all Massachusetts communities must have 10 percent of their housing stock
classified as affordable. If not, a developer could bypass certain local zoning regulations and
build a project larger than a community wants.
Natick’s affordable housing stock stands at 10.4 percent, Errickson said, but the town runs the
risk of not reaching the 10 percent threshold when the next U.S. Census is taken in 2020.
Errickson believes Natick faces a problem shared by many local communities. Families making
over 80 percent of the AMI, but less than 120 percent to 140 percent, have a hard time finding
affordable housing when it’s time to downsize from a single-family home.
As long as the economy is strong and property values continue to rise, Errickson said the
shortage of affordable housing for this middle-income bracket will continue.
Errickson said projects like Avenu at Natick, Avalon and Cloverleaf Apartments don’t solve
Natick’s affordable housing problem.

Tye said Avenu at Natick fills a housing need for those not only looking to downsize from
their single-family homes, but also desire a stimulating environment.
“A lot of (Natick) people fit into this demographic range,” Tye said. “They love the site. It’s
located near retail, and it’s a walkable area.”
Tye said there’s a lot of local enthusiasm for Avenu at Natick.
The 62+ apartments include 12,000 square feet of amenities. There’s a 16,000-square-foot,
landscaped courtyard. Other features include a pool, cabana, lounge and recreation area. A
private dining room, theater, spa, fitness center and yoga rooms round out the amenities.
The 9-acre grounds will include green space, a walking path around the perimeter, and
gardening area.
“It’s nice to go into town and see enthusiasm (for Avenu at Natick),” Tye said. “There’s no
opposition. (Avenu at Natick) will provide a good service to the community.”
Follow Henry Schwan on Twitter @henrymetrowest. He can be reached at hschwan@wickedlocal.com or
(508) 626-3964.

National Development breaks ground on Emery Flats in Woburn

National Development, in conjunction with its investment management affiliate Charles River Realty Investors, has broken ground on Emery Flats, a new 200-unit residential community at 200 Presidential Way in Woburn, MA. The multi-family development will consist of studios, 1, 2 and 3 bedroom apartments in two buildings.

Amenities include a fitness center, roof top lounge, game space, co-working area, clubroom with full kitchen, and pool with a deck, outdoor grilling stations and a fire pit. The pet-friendly apartments will come with washer/dryers and individual heating/cooling controls. The site includes covered and surface parking spaces. Robust resident programming will reinforce the strong sense of community engagement prevalent in all National Development Communities.

Conveniently located with easy access to I-93 and MBTA Commuter Rail, and in the heart of a significant employment base, Emery Flats will bring long-awaited new apartment units to the MetroNorth area. Designed by Cube3 Studio and built by general contractor Cranshaw Construction, the project opening is planned for February 2019. The architecture will be clean and contemporary, with many units having balconies and wooded views.

National Development worked in close cooperation with the City of Woburn on the permitting and creative vision for Emery Flats, which completes a mixed-use master plan for the MetroNorth development including office, retail, hotel and residential space.

 

National Development Announces Plans for Boston’s First Co-living Community at Ink Block

National Development announced on November 17th, 2018, the seventh and final building at Ink Block in Boston’s South End. A letter of intent for the project has been filed with the Boston Planning and Development Authority. The proposed building, to be known as 7INK by Ollie, will be a 14 story iconic tower on Ink Block’s final building site at the corner of Herald and Albany Streets.

National Development has enlisted Ollie, the country’s leading co-living and micro-housing specialist, to assist in the development and operation of 7INK by Ollie’s 245 shared suites and micro-studios. Elkus Manfredi is the project architect.

7INK by Ollie is Boston’s first major co-living development. Blending modern day principles of communal living with micro-housing, co-living is an emerging trend that enriches the living experience through community engagement, allowing residents to cultivate meaningful relationships and experiences with neighbors and roommates. Hailed as an innovative market response to the high cost of living and the rise of non-traditional family households, co-living communities are experiencing rapid growth across the country.

“7INK by Ollie and the co-living program is the logical evolution of our innovative Ink Block brand,” stated Ted Tye, Managing Partner of National Development. “The built-in infrastructure of Whole Foods Market, our restaurant and fitness retailers, the soon to open AC Hotel by Marriott, and our new Underground at Ink Block art park make this a perfect location for co-living.”

Ollie Co-founder and CEO, Chris Bledsoe, commented, “We couldn’t be more excited to introduce co-living to Boston in partnership with National Development, one of Boston’s most innovative and progressive real estate companies. Ink Block has led the transformation of the South End into a premier live, work, play area.” We have been looking for the right location to bring co-living to Boston and Ink Block is it.” Ollie currently operates in New York and Pittsburgh, has several projects under development and is opening what will be the largest co-living community in the US in Long Island City in 2018.

Ink Block has been hailed as a “game changer” in Boston real estate. Once the location of the Boston Herald newspaper, the six-acre Ink Block site is now home to apartments, condominiums, a hotel, one of the country’s highest volume Whole Foods Markets, acclaimed restaurants, retailers and fitness studios. It has been the stimulus for other major developments in the now thriving former industrial area of the city known as the New York Streets.

National Development anticipates starting the project in late 2018. Planners have long envisioned a major building at the prominent corner location. “7INK by Ollie will complete the block design and make Ink Block more livable and walkable,” said Tye. “We envision this site as having very little dependence on cars and encouraging public transit and alternate transit modes.”

A phonetic wordplay on “all inclusive,” Ollie eliminates wasted space through its disruptive design philosophies, densifying units and providing residents with a curated living experience anchored by a core set of values: Inclusion, Discovery, Wellness and Sustainability, including a full range of services, unique community engagements and extraordinary shared amenity spaces. All units are furnished with transforming furniture and receive complimentary weekly cleaning with fresh linens and towels and a replenishment of bath amenities. The all-inclusive experience also provides residents with Wi-Fi, cable TV, a regular calendar of curated social activities, and access to all Ollie locations nationwide.

About Ollie Ollie is the leading micro-housing and coliving platform. In partnership with institutional real estate investors and developers, Ollie revolutionizes the living experience for urban renters through “all-inclusive coliving” that combines thoughtfully appointed furnished micro-studios and shared suites with extraordinary lifestyle-relevant services, abundant amenities, and unique community engagement activities. For more information, visit www.ollie.co.

About National Development

For over 30 years, National Development has been one of the most active real estate development firms in Massachusetts. Specializing in multi-family, commercial office, mixed-use, retail, industrial, hotel and senior housing projects, National Development and its affiliates have developed over 28 million square feet of space. National Development is also one of the region’s largest property management companies and currently manages over 9 million square feet of commercial space and 2,400 residential units. For more information, visit www.natdev.com or follow @nationaldevelop.

 

 

Contacts:          Kathy McMahon, National Development, kmcmahon@natdev.com, 617-559-5086                        Meghan Davey, Ollie, meghan@ollie.co, 646-518-2433