Providence, R.I.-based Citizens Bank has provided a $41.5 million construction loan to a Mack-Cali Realty Corporation subsidiary for its mixed-use development in Worcester, Mass., Commercial Observer can exclusively report.
The financing will go toward the first phase of the construction project being spearheaded by the subsidiary, Roseland Property Company. The first-round development plans call for 237 residential apartments, 12,000 square feet of indoor amenity space and a courtyard over a four-acre patch located between Front, Foster, Franklin and Trumbull Streets in the central Massachusetts city.
“The Citizens commercial real estate finance team has been a great partner on this deal,” Marshall Tycher, president of New Jersey-based Roseland, said in prepared remarks provided to CO. “They bring great ideas and a wealth of experience in the Massachusetts market and are able to execute quickly.”
All said and done, the total project will contain 365 market-rate rental units between two buildings, in addition to more than 400 parking spaces and street-level retail space.
“We like this project and believe it helps meet a need for multifamily housing in Worcester,” Gary Magnuson, the bank’s head of commercial real estate finance, said in a statement. “Roseland is an extremely important client. We highly value their relationship, and we look forward to working with them on this project and in the future.”
The development, part of a larger plan to revitalize Worcester’s downtown area, was approved by the city’s planning board last December, as the Worcester Telegram & Gazette reported.
Joseph Shea, the senior vice president of Roseland, told the local newspaper last year that the market-rate apartments will be a mix of studios, one- and two-bedroom units. The target demographic, he added, is the young professional crowd ranging from ages 25 to 35.