"We are delighted to announce this sale," Raymond principal James English said in a press release. English called the deal "an offer too good to pass up," explaining that the funds from the transaction will allow his firm to pursue additional projects in the city.

English and company founder Neil St. John Raymond were unavailable to elaborate on the decision, but sources close to the company maintain that the complexity of the development conspired with a tricky capital market to dash Raymond's hopes for completing the assignment. "I think [Raymond] is very happy to get out of that thing," says one former member of the development team. "Any waterfront project is going to cost money, but that one is going to be really expensive."

According to the source, the condition of the waterfront pier will require extensive investment to shore up, while the cost of materials is also up considerably from what was originally anticipated. The former home of the Bay State Lobster Co., Battery Wharf consists of 4.6 acres of filled land, water and the pier. When fully built out, the development will feature 35,000 sf of retail space, 100 residential condominiums and a 348-vehicle, below-grade parking garage.