North River Leerinka joint venture focused on life sciences and healthcare real estate between North River Co. and Development of Leerinkreceived a $192.5 million loan from a subsidiary of Square Mile Capital Management to develop 100 Chestnut, a four-story life science project in the Brickbottom district of Somerville, Mass. Necklaces secured the financing on behalf of the borrower.
For Square Mile Capital, the issuance of the construction loan for 100 Chestnut illustrates the company’s current priorities for real estate debt investing, Principal David Greenburg said in prepared remarks. Greenburg added that the company plans to seek more opportunities in the life sciences sector and particularly in the Boston market, where it expects future demand for high-quality space to continue to grow. to be strong.
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The 208,616 square foot project is the first life sciences facility to open NRL’s new mixed-use campus for discovery and innovation in the Brickbottom District. The 4.5-acre development site at 100 Chestnut St. parallels 150 and 200 Inner Belt Road, a 7.9-acre assembly owned by a joint venture between NRL and Wheelock Street Capital.
This parcel includes a fully occupied 191,089 square foot laboratory office and fine arts storage building located on the north side of the property as well as an approximately 3.4 acre site to the south in the district of inner belt. The proximity of the two development sites gives NRL the ability to develop a critical mass life sciences node.
North River Co. has owned 200 Inner Belt Road since 2013. In 2017, the company recapitalized the property and added North Colony Asset Management as a joint venture partner. Four years later, the partnership completed a $160 million recapitalization and added Wheelock to the ownership group.
A future life sciences facility
Construction of 100 Chestnut began in the fourth quarter of 2021 and delivery is scheduled for summer 2023. Designed by peoplethe LEED Platinum certified facility will include 200,164 square feet of Class A laboratory and office space, as well as ground floor retail, onsite amenity space and two levels of underground parking.
The purpose-built project was designed around green spaces for community gatherings and events, premium food and beverage vendors, and public art installations. The building will have 60,000 square foot floor plates and column-free areas to accommodate a variety of specialty uses. Future phases will add more lab space as needed.
The property is adjacent to the new East Somerville Green Line T station and Community Road and less than a mile from Kendall Square and Cambridge Crossing in Cambridge, which is the epicenter of the life sciences industry in Greater Boston. Nearby tenants include Finch Therapeutics, Flagship Pioneering, Bristol Myers Squibb, Sanofi and Thrive Bioscience. A new tree-lined community road connects the Mystic and Charles rivers and provides easy access to the Somerville Life Science Center.
The Colliers Capital Markets team that arranged the financing was led by Jeff Black, executive vice president, partner and co-head of the firm’s Boston office, along with co-president Kevin Phelan and vice presidents Sean Burke and Bryan. Koop. Black said, in a prepared statement, that 100 Chestnut is well positioned to catalyze the region’s next big ecosystem as the NRL team executes its master plan.