$193.76M construction loan secured for sustainable life sciences project

BOSTON, May 9, 2022 – JLL Capital Markets announced today that it has arranged a $193.76 million construction loan for the development of new 262,468-square-foot life science campus at Parcels O and P in the Raymond L. Flynn Marine Park (RLFMP) in Boston’s Seaport District.

JLL worked on behalf of the borrower, an affiliate of Marcus Partners, to secure a floating-rate loan through Citizens.

“At Citizens, we act as trusted advisors and think about the needs of our clients from their point of view,” Sean Randall, Regional Director at Citizens said. “Providing construction loans so our clients can develop projects, create jobs and strengthen our communities is one of the ways that Citizens delivers substantial value for our clients and our communities. For years, Citizens has helped transform Boston’s Seaport District into a vibrant neighborhood as a strategic and financial partner to our clients.”

When delivered in 2024, the project will be one of the most sustainable buildings in Boston and set a new bar for research facilities in the city. The project, which is fully pre-leased to Ginkgo Bioworks, will have 14.5’ floor-to-floor heights, flexible floorplates and the lab portions of each floor can accommodate nearly three times the amount of conventional power. Sustainable features will include a high-performance façade system, ultra-efficient heat-recovery systems, hydronic cooling and on-site renewable energy from solar panels on both buildings. The project is also designed with resiliency in mind and has been elevated four feet to accommodate future sea level rise. In addition, the project is part of the City’s Climate Resiliency Fund, which will fund the construction of a seawall at critical flood intrusion points in Boston’s Marine Park.

The development is situated within Boston’s Seaport District and more specifically the 191-acre Raymond L. Flynn Marine Park, which is quickly emerging as a life science micro-cluster in the city. Nearby tenants include Dana Farber Cancer Institute, Vertex Pharmaceuticals and the Seaport’s only life sciences incubator, Smart Labs. The project is convenient to the Ted Williams Tunnel providing access to Boston’s Logan International Airport as well as to Interstate 93 and the Massachusetts Turnpike. Additionally, the property has multiple mass transit options, including the MBTA Silver Line, a water terminal, multiple bus routes and access to BLUEbikes and Zipcar locations.­

JLL’s Capital Markets team representing the borrower was led by Senior Managing Director Brett Paulsrud, Executive Managing Director Riaz Cassum and Associate Mike Shepard.

“Boston continues to remain at the forefront of life sciences development and demand both nationally and internationally,” said Paulsrud. “The city has seen its life sciences employment base grow by more than 90% over the last 15 years with the pandemic only quickening the pace. Marcus Partners has designed a state-of-the-art facility that will be positioned to capitalize on the industry’s demand for many years to come.”

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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Marcus Partners is a vertically integrated real estate firm with a strong track record of successful investment, management and development activities. The firm is headquartered in Boston, with regional offices in Metro New York City and Metro Washington, D.C. The firm focuses on strategic and opportunistic investment strategies across multifamily, industrial, life science and other property types where it can create value and maximize risk-adjusted returns. Marcus Partners and its affiliates own, operate and is developing 6M+ square feet of real estate and 1,500+ multifamily units. For more information, please visit marcuspartners.com.