$750M Seaport Project Up for Final Approval

A rendering of Cottonwood Development’s mixed-use project at the Seaport District in Boston.

BOSTON— Cottonwood Management, LLC tells Globest.com that it plans to bring its massive mixed-use plan at the Seaport District to the next month for final approval. Alexander Shing , chairman and founder of Cottonwood Management, says that his firm will appear before the BRA on March 17 and is hopeful it can secure approval from the BRA Board to move ahead with construction of its venture that is projected to cost between $750 million to $800 million to complete. Cottonwood affiliate Boston Seaport 1&2 Developer, LLC is developing the project. Cottonwood acquired the 3.5-acre fully-approved site M1and M2 sites from an affiliate of Morgan Stanley for nearly $120 million in late October of last year. Pending final approvals, Shing says the firm hopes to break ground on the project in late 2016. The project will feature 900,000 square feet of residential space and 125,000 square feet of retail space in three tower buildings. The property is bordered by Seaport Boulevard and Pier Four Boulevard (formerly East Service Road), as well as Congress and B streets. Shing says that the project will feature three towers of varying heights. He says that his firm is currently receiving feedback from the BRA and other government agencies and stakeholders in connection with the scope of its project. At present, the Tower 1 luxury condominium tower to be built along Seaport Boulevard will offer 275 residential units. The building could be anywhere from 14 to 21-stories high. Tower 2 to be built on B Street and is envisioned as another luxury condominium building that will feature 180 units. The preliminary design puts the building at anywhere from a 10-stories to 21-stories high. Tower 3 along Pier 4 Boulevard will feature 280-units of multifamily and/or condominium space including innovation units (micro-living apartments with shared entrepreneurial work spaces) as well as luxury-priced units. No height parameters were given out by Cottonwood on Tower 3. He says that Cottonwood will by the March 17 ^th meeting have finalized its plan to present to the BRA, including proposed building heights. Other key facets of the project include 125,000 square feet of two-level retail/restaurant space on all four street fronts as well as in the interior of the 19,000-square-foot public courtyard of the property. There will also be more than 45,000 square feet of indoor and outdoor amenities for the tower residents, including outdoor pools, sun decks, a dining club, spa, library, health club, meeting rooms and pet care services. WS Development of Chestnut Hill, MA has purchased the 125,000 square feet of retail space to be developed at the M1 and M2 properties from Cottonwood. Shing would not divulge any financial details of that private transaction, but said, “We have worked with them along the way to make sure that the retail and residential really dove tail each other.” Financial partners on the project thus far are Boston Private Bank & Trust , Celona Capital of Hong Kong and Beijing-based HGC Capital Group . Shing notes that the construction financing for the project has yet to be finalized. On Wednesday, Cottonwood and international luxury hotelier Regent Hotels & Resorts signed a partnership agreement that will have the two firms focus on its Seaport project in Boston and a potential development project on Fifth Avenue in New York City. In terms of its Boston project, he says that talks between Cottonwood and Regent regarding their strategic partnership is for Regent to incorporate its luxury-hospitality-oriented design into the project. He adds that the goal of the partnership agreement will be for Regent to become part of the management team and to help brand the design of the residences of the property.