Beacon Bank Lends $45M for Boston-Area Apartments Project

Developer Tremont Asset Management has landed $44.5 million of construction financing to build a multifamily project in suburban Boston, Commercial Observer has learned.

Beacon Bank supplied the loan for Tremont’s planned 145-unit 259 Lenox Street development in Norwood, Mass. 

Colliers negotiated the debt with a capital markets team led by Patrick Boyle, Matt Lombardi Jr. and Rose Liu.

“The strength of the sponsorship, quality of the development and experience of the project team generated significant lender interest,” Boyle said in a statement. 

Located 14 miles southwest of Boston, the five-story development will feature a mix of junior one-bedroom, one-bedroom and two-bedroom apartments, with 20 percent of the units designated as affordable housing. Community amenities include an outdoor pool, a sun deck, a fitness center, a golf simulator, coworking spaces and grilling areas. It will also have 169 surface parking spaces. 

The Norwood area has strong multifamily fundamentals with annual rent growth of 4.8 percent and average occupancy exceeding 95 percent over the past five years, according to Colliers. The 259 Lenox property will also benefit from close proximity to the Norwood commuter rail station served by Massachusetts Bay Transportation Authority. 

“We identified this site for its exceptional transit connectivity and spent several years planning a project that will elevate the multifamily housing offering in Norwood,” Sam Slater, managing partner at Tremont Asset Management, said in a statement. 

Ryan Abbott, vice president at Beacon Bank, said in a statement that the development will “bring much-needed housing stock to the underserved Norwood market.”

Andrew Coen can be reached at acoen@commercialobserver.com.