Real Estate and Property Development in Boston
Mar 24th, 2013 by admin
Builders and investors are putting up luxury condominiums, offices, hotels and restaurants that have never been witnessed in the history of South Boston waterfront.
For a long time, New York City extra tall buildings and state funded skyscrapers in Washington overshadowed the real estate market in Boston. Thomas Menino has had a priority for city development for the twenty year period that he has served as the mayor of Boston. Most financiers and investors are seeking to gain profits from the recent boom in the construction industry in Boston.
The real estate industry is rapidly developing in Boston; investors are even building offices without being certain of whether they will be occupied by tenants. John Garth, a real estate investor based in New York is among the investors who fund a construction in Boston. The recent property developments in Boston has attracted big office owners like The largest investment trust in USA, Blackstone Group, Boston Properties Inc, Fidelity Investments and State Street. Boston is home to 50 universities inclusive of Harvard University. All these universities produce young graduates who provide labor to the investors. The great number of skilled youths is what attracts many investors from outside the city.
There are many companies that have built luxury homes in Boston for sale, lease or rent. Residents are bidding farewell to suburbs and moving into newly built luxury houses. Apart from residential constructions, other infrastructure is being put up. Fallon intends to break the ground later this year for building condo units and an office for a law firm in Seaport area. There are buildings under construction on a three million square feet piece of land in the Seaport area, the Vertex structures will be completed before this year ends. In addition, Drew Company is building a waterside place to incorporate retail shops, startup offices and apartments in the Seaport area. Blue Dragon is a new restaurant that has just been established recently.
Statistics from the mayor’s office indicate that funds spent on construction works in Boston rose by 37% to 3.83 billion mid last year. The metro area in Boston is ranked among the best performing big real estate markets in the nation according to ratings done by brokerage firm CBRE Group Inc.
The greatest fear associated with the high rates of development is that rents will at some point increase and drive majority of the tenants back to the surbubs.
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Article submitted by Anne Matthews.