Turn to page B1 for Banker & Tradesman’s monthly coverage of all things commercial real estate.
THE FINANCIAL SERVICES AND REAL ESTATE WEEKLY FOR MASSACHUSETTS BY THE NUMBERS
PAGE 6
County close-up: Berkshire Spotlight: Monterey
IN PERSON
PAGE 8
At the Massachusetts Housing Partnership, Elliott Shmiedl is the point person for one of the newest and biggest efforts to try to reverse that trend: the ONE+ mortgage product.
WEEK OF MONDAY, DECEMBER 30, 2024
38,000 The number of college students who live off-campus in the city of Boston. See Steve Adams’ story on this page. Source: Boston Planning Department
2 Developers got a two-year extension on projects approved in 2023 and 2024. See Cameron Sperance’s story on page B1. Source: Office of Gov. Maura Healey
2025 Northeastern University plans to break ground on a new dorm next year. See Steve Adams’ story on this page. Source: Northeastern University
5.87 percent Greater Boston construction costs are up 5.87 percent year-over-year. See Cameron Sperance’s story on page B1. Source: Rider Levett Bucknal
$200 Student renters drive up average apartment rents by $200 in some Boston neighborhoods. See Steve Adams’ story on this page. Source: Mayor’s Office of Housing
4.91 percent Nationally, construction costs are up 4.91 percent year-over-year. See Cameron Sperance’s story on page B1. Source: Rider Levett Bucknall
$18 billion Greystar manages $18 billion in student housing properties near 82 universities. See Steve Adams’ story on this page. Source: Greystar
Northeastern’s second partnership with student housing developer American Campus Communities will add 1,240 student beds in a 23-story tower on Columbus Avenue.
THE COLLEGE CONUNDRUM
MORE PRIVATE DORM DEVELOPMENTS
MAKING THE GRADE
Student Housing Projects Spread in Boston and Suburbs BY STEVE ADAMS BANKER & TRADESMAN STAFF
P
rivate developers are eager to build student housing in Boston. And city officials continue to press local colleges to add more dorms and rein in the off-campus population estimated at more than 38,000 students citywide. It might seem like a win-win proposition, except for the public opposition that frequently arises among residents wary of a dorm being built in their neighborhood. As Northeastern University and a private
developer prepare to break ground on their second project in Roxbury in 2025, some observers see waning resistance to the private dorm model in Boston. “What they don’t like to see is the private student housing unaffiliated with colleges or universities,” said Matthew Kiefer, a real estate lawyer at Goulston & Storrs. “They are afraid it’s going to be ‘Animal House’ and they won’t be adequately managed and supervised.” Boston’s zoning code doesn’t allow private dorm-style housing that’s not affiliated with a local school, as was originally proposed by developer Scape at 1252 Boylston St. in the Fenway in 2019. And private developers partnering with colleges have to thread the needle of complex zoning, financial and legal issues
when considering partnerships on dorm projects. But the model is playing out at Tufts University and Merrimack College, which are partnering with private developers on a pair of student housing projects that would create a combined 1,207 new student beds.
Off-Campus Renters Blamed for Rent Increases
Town-and-gown tensions are part of the landscape in Boston. Approximately 38,000 college students live off-campus, according to the 2023 student housing trends report issued by the Boston Planning Department. Nearly two-thirds of the off-campus population lives in the Allston-Brighton, Fenway and Mission Hill neighborhoods. Continued on Page 10
$15,000 New updates to the state building code will add $15,000 per unit to multifamily construction costs. See Cameron Sperance’s story on page B1. Source: Michael Procopio
Unless otherwise noted, all data is sourced from The Warren Group’s Mortgage Market Share Module, Loan Originator Module, Statistics Module and/or proprietary database. For more information please visit www.thewarrengroup.com/business/ datasolutions.
NICKLES AND DIMES
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By Sam Minton | Banker & Tradesman Staff
By James Sanna | Banker & Tradesman Staff
Smaller Institutions Battle MBTA Slow Zone Big Banks with Reduced Fees Removal Called Banks and CUs Look to Leverage ‘Christmas Miracle’ Changing Customer Perceptions Banking & Lending PAGE 3
Residential Real Estate PAGE 7
Image courtesy of Elkus Manfredi Architects
COMMERCIAL REAL ESTATE BY THE NUMBERS