BXP JV Lands $465M Refi for 1 MSF Tower
Three banks issued the note for the mixed-use high-rise.
BXP and Delaware North Cos. have secured a $465 million refinancing loan for a section of The Hub on Causeway, a 1.5 million-square-foot mixed-use property in Boston, according to a Fitch Ratings report. Wells Fargo Bank, Bank of America and Morgan Stanley issued the 5.5-year fixed-rate, interest-only commercial mortgage note.
The refinanced component comprises a seven-story, LEED Gold-certified retail podium and a 31-story, LEED Platinum-certified office tower at 100 Causeway St. That section features roughly 210,000 square feet of retail space and 842,000 square feet of office space. The larger mixed-use property also encloses 440 luxury residential units, a 272-key boutique hotel, the TD Garden Arena and 2,500 parking spaces.
As of Sept. 1, the tower was 98.0 percent leased to 18 companies. The office roster includes anchor tenant Verizon, which leases a total of 438,827 square feet, out of which it occupies 167,175 square feet, while the remaining 271,652 square feet, spread across nine floors, are subleased by Verily and Activision Blizzard, Yardi Research Data shows. The roster also features Rapid7, Star Market and the Boston Celtics.
Boston office vacancy rises
Located just off Interstate 93 in Boston’s West End, The Hub on Causeway sits on top of North Station, within a 1-mile radius of the Massachusetts Eye and Ear Main Campus, Faneuil Hall Marketplace and Boston Commons Park.
July saw Boston’s average advertised office listing rates climb to $52.83 per square foot, up 11 percent in year-over-year and significantly higher than the national figure of $32.72, according to the latest Yardi Matrix office report. During the same month, vacancy in the metro rose to 16.0 percent, reflecting a 320-basis-point increase compared to the same time last year.
You must be logged in to post a comment.