Search
 

Harvard Strikes Deal With Town Over 30-Acre Center

WATERTOWN, MA-A deal is finally reached between Harvard University and the town over the Cambridge-based school's purchase of the Arsenal on the Charles, a 30-acre commercial office center. The town was furious when the university acquired the site because it was counting on the tax dollars.

By Naomi Grossman | Updated on September 25, 2002

WATERTOWN, MA-After over 18 months of negotiations, Harvard University and the town finally reached an agreement over how the Cambridge-based school would compensate the town for its use of the Arsenal on the Charles, a 30-acre commercial office center.

When the university purchased the Arsenal, a former military base, the town was furious. It had spent years, and millions of dollars cleaning up the site in hopes that the renovated center would bring in much-needed tax dollars. But after developing the site, O’Neill Properties sold the complex to Harvard for $160 million, which, as an educational institution is exempt from paying property taxes.

Harvard initially offered the town a complicated 20-year payment in lieu of taxes, which the town rejected, contending that the offer did not come close to what the town would lose were Harvard to occupy the site. At the time, the town estimated that the Arsenal would generate approximately $4.8 million in taxes once it is fully leased, a figure which officials at Harvard dismissed as too high.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.