JLL’s Capital Markets Group announced that it has arranged $585 million in construction financing for a mixed-use project consisting of 580,905 square feet of life sciences, retail and housing space multiple in Boston, Massachusetts.
JLL worked on behalf of the borrower, a joint venture between King Street Properties, Brookfield and Mugar Enterprises, to secure the four-year floating rate loan through an institutional debt fund.
“We are delighted that JLL was able to secure financing for this important site and we look forward to our new lending relationship,” said Mike Diminico, King Street’s Managing Director. “The fact that we were able to secure this loan quickly in today’s market conditions speaks to the level of interest and confidence in Allston LabWorks. We are extremely proud of this transformative project and look forward to getting started as soon as possible. »
When complete, Allston LabWorks will include 534,000 square feet of lab space; 20,000 square feet of retail space; 35 collective housing units, 26% of which will be affordable; as well as a 12,000 square foot public plaza with an additional 5,000 square feet of landscaped open space and 668 garage parking spaces.
The project, which is located on 4.27 acres at 250, 280, and 305 Western Ave., is adjacent to Harvard University’s 350-acre Allston Campus, home to the new John A. Paulson. Given its proximity to Harvard’s investment in the neighborhood, the property is well positioned to meet the growing demand for life sciences in the neighborhood. Over the past two decades, ongoing public and private investment has transformed the neighborhood into a vibrant and desirable neighborhood with thriving commercial and academic demand drivers nearby.
Allston LabWorks will benefit from its position in the Greater Boston laboratory market, home to 19 of the top 20 biotech and pharmaceutical companies. Additionally, the market receives 30% of total life sciences funding in the United States, and life sciences job growth is four times greater than overall job growth.
The JLL Capital Markets team representing the borrower was led by Managing Director Greg LaBine and Director Amy Lousararian.
“This is just the first of many transactions that will combine Brookfield’s institutional capital base with the exceptional development capabilities and track record of success of the King Street team,” said LaBine. “The lender recognized these attributes early in the process and then delivered the closing as directed amidst a volatile economic climate. This project will be good for the neighborhood, tenants and financial market players and the JLL team was excited to play a part.
JLL Capital Markets Group is a global, full-service provider of capital solutions for property investors and occupiers. The team’s in-depth local market and global investor knowledge delivers the best solutions for clients, whether it’s investment sales and advisory, debt advisory, equity advisory or recapitalization. The firm has more than 3,000 capital markets specialists worldwide with offices in nearly 50 countries.