Waterfront Project Developer Pledges Housing for Seaport
By Thomas Grillo
Reporter
Rendering courtesy James Piatt/ADD Inc.
This artist?s rendering depicts the entertainment district
in the proposed Seaport Square in South Boston.
The developer of a planned $3 billion waterfront community has assured Boston?s Seaport District residents that they won?t have to wait decades for housing.
?We?re building a neighborhood,? said John B. Hynes III, managing partner of Gale International, the Boston-based company that has proposed Seaport Square, a 6.5 million-square-foot mixed-use development to be built on 23 acres of South Boston parking lots. ?The new district won?t work if it?s all office or all residential [space]. We will build this out through several real estate cycles while trying to protect our downside by creating enough critical mass to attract users regardless of where the cycle is.?
The Boston Redevelopment Authority is holding public hearings on the project that would offer 2,500 units of housing in three buildings, 1.25 million square feet of retail, three 18-story office towers, an 800-room hotel, a school, cultural center and open space. But some residents are skeptical because a decade after the city called for as many as 8,000 condominiums and apartments in the area near the World Trade Center and the Boston Convention & Exhibition Center, few units have been built or are in the pipeline.
Hynes said the first phase of Seaport Square would include 82 condominiums that could be under construction as early as next spring. ?We want to get these units done first because they serve as gateway sites into the Financial District,? he said. ?A second phase could be under way by 2011 and would include about 2,000 units.?
Still, some residents remain doubtful that a critical mass of housing will be built. The city?s 100-acre master plan for the district issued in 1999 to guide development promised ?a vibrant 24-hour, mixed-use neighborhood anchored by 11 acres of new open space and 6 million square feet of development, with at least one-third as housing.?
Since 2003, however, fewer than 700 units have been approved in the Fort Point neighborhood, including 597 at the Channel Center. Meanwhile, another 97 condos are under construction at FP3, a luxury project adjacent to the Children?s Museum. About 1,200 units have been built if the adjacent South Boston neighborhood is included in the tally, according to the BRA.
The BRA has insisted that it never promised housing would be built first. The long-term goal is at least 33 percent residential and 33 percent commercial space, city officials said. But the developer and the BRA say much depends on the demands and financial realities of the market. Residents, however, say the places to build housing are limited.
?A Constant Fluidity?
Hynes acknowledged that real estate is cyclical and that much will depend upon what?s happening in the market.
?What product type is hot one day may be cold another, so there?s a constant fluidity in the marketplace,? he said. ?But we don?t have 6 million square feet of office because we don?t want lobbies on the street where there should be a cityscape.?
The Seaport Square housing plan calls for about 600 units of affordable and workforce housing. Hynes said he expects about 500 units to be purchased by empty nesters, while singles and couples will seek the remainder.
The parcel was once owned by businessman Frank H. McCourt Jr., who sold it to Hynes and Morgan Stanley Real Estate for $204 million. The proposed project site is within walking distance of the John Joseph Moakley U.S. Courthouse and the MBTA?s Silver Line.
Meanwhile, residents of the nearby Fort Point area have raised objections to Lincoln Property Co.?s plan to convert a pair of warehouses into office space. The Boston-based developer is seeking BRA approval to transform the vacant property at 316-322 Summer St. into 140,000 square feet of office space with ground-floor retail, a rooftop addition and artist gallery/work space.
But neighbors protested the office component, saying the city appears to be retreating on a promise of more housing. In response, Mayor Thomas M. Menino and BRA Director John Palmieri have asked the developer to come up with a plan that includes some residential units. So far, the parties are at an impasse.
A BRA spokeswoman said officials are still negotiating with Lincoln for a mix of residential and office space at the property or somewhere in the neighborhood.
John Cappellano, Lincoln?s senior vice president, recently floated the trial balloon to allow Studio Soto, an artists? gallery, to take about 3,500 square feet of space at the Summer Street property for $1 per square foot. The gallery was displaced when Archon/Goldman purchased the building they rented on Melcher Street.
Valerie Burns, a longtime Fort Point resident, said she supports space for Studio Soto but believes it will not solve the district?s need for more housing.
?It would be great to have Studio Soto here; they?ve been a part of the arts community for many years,? she said. ?But providing gallery space fails to live up to the city?s promise to create more housing in our neighborhood.?