OF F ERING MEMO R ANDUM

Transcription

1 CHELSEA 1 93 Charlestown 90 Kendall/MIT ARL ES R East Boston Boston Logan International Airport BOSTON Downtown Boston IVER South Station Back Bay Seaport District 90 ea Boston, M A SSACHUSET TS South End South Boston PLEASURE BAY 93 Dudley Square JFK/UMass Station bury Dorchester 1 Ashmont Station pan OF F ERING MEMO R ANDUM A Tr ansit-oriented De velopment Site in a Dyna mically Changing Neighborhood

2 Conditions of Offering This confidential Offering Memorandum and other, ancillary offering materials that may be subsequently provided (collectively, the Offering Materials ) are intended solely for the limited use by a potential purchaser (the Potential Purchaser ) in considering whether to purchase 1943 Dorchester Avenue (the Property ). For purposes of this Agreement, Holliday Fenoglio Fowler, L.P. ( HFF ) is an agent of the Owner. The Offering Materials, which are provided subject to these conditions of offering (the Conditions of Offering ), contain brief, selected information pertaining to the business and affairs of the Property. They do not, however, purport to be all-inclusive or to contain all of the information which a Potential Purchaser may desire or require. Any party in possession of the Offering Materials is bound by the Conditions of Offering. The Offering Materials may contain certain documents, such as limited property condition reports and environmental reports that are described in summary form. The summaries do not purport to be complete, nor necessarily accurate descriptions of the full documents involved. The Potential Purchaser must rely solely on its own review of the full documents. All financial and development projections are provided for general reference purposes only in that they are based on assumptions relating to the general economy, competition, and other factors beyond the control of the Owners and HFF. Any graphics or drawings included in the Offering Materials are included to assist the reader in visualizing the Property. HFF has made no survey of the Property, and assumes no responsibility in connection with such matters. HFF has had neither a legal review of title or development rights of the Property nor an engineering review with regard to the environmental, physical, including but not limited to structural, electrical, plumbing, and mechanical integrity of the Property, and no representations with respect to each are made hereby. Neither Owner nor any of its officers, employees, or agents make any representation or warranty, express or implied, as to the accuracy or completeness of this information, and no liability of any kind whatsoever is assumed by Owners with respect thereto. The Offering Materials relating to a possible sale of the Property (the Sale Opportunity ) which may be furnished to the Potential Purchaser by the Owner or HFF shall continue to be the property of the Owner and HFF. The Offering Materials will be used by the Potential Purchaser and the Related Parties (as hereinafter defined below) solely for the purpose of evaluating the Sale Opportunity and not for any other purpose unrelated to the Sale Opportunity, and may not be copied or duplicated without the Owners or HFF s prior written consent and must be returned to HFF immediately upon request or when the Potential Purchaser decides not to pursue, or terminates discussion or negotiations with respect to the Sale Opportunity or the Property. The Potential Purchaser acknowledges that the Sale Opportunity and the Offering Materials are considered the confidential and the proprietary information of Owner and HFF, and will not disclose the Sale Opportunity, make any Offering Materials available, or disclose any of the contents thereof, to any person without Owner s or HFF s prior written consent; provided, however, that the Sale Opportunity and the Offering Materials may be disclosed to the Potential Purchaser's partners, employees, legal counsel, advisors, institutional lenders, and other capital source(s) (collectively, the "Related Parties") as required for an evaluation of the Sale Opportunity and/or the Property, provided such Related Parties are (a) informed by the Potential Purchaser of the confidential nature of the Sale Opportunity and the Offering Materials and these Conditions of Offering and (b) directed by the Potential Purchaser to keep the Sale Opportunity, the Offering Materials, and related information strictly confidential in accordance with these Conditions of Offering. The Potential Purchaser shall be responsible for any violation of this provision by any of the Related Parties. POTENTIAL PURCHASER HEREBY AGREES TO INDEMNIFY OWNERS AND HFF FROM ANY LOSS OR DAMAGE, WHICH OWNERS MAY SUFFER AS A RESULT OF POTENTIAL PURCHASER S BREACH OF THESE CONDITIONS OF OFFERING. OWNERS EXPRESSLY RESERVE THE RIGHT AT OWNERS SOLE, SINGULAR, EXCLUSIVE AND ARBITRARY DISCRETION TO REJECT ANY OR ALL PROPOSALS OR EXPRESSIONS OF INTEREST IN THIS SALE OPPORTUNITY AND TO TERMINATE DISCUSSIONS IN CONNECTION THEREWITH WITH ANY PARTY AT ANY TIME WITHOUT NOTICE. THE OFFERING MATERIALS SHALL NOT BE DEEMED TO REPRESENT THE STATE OF AFFAIRS OF THE SALE OPPORTUNITY OR THE PROPERTY, OR CONSTITUTE AN INDICATION THAT THERE HAS BEEN NO CHANGE IN THE BUSINESS OR AFFAIRS OF THE SALE OPPORTUNITY OR THE PROPERTY SINCE THE DATE OF PREPARATION OF THIS INFORMATION. THE INFORMATION PROVIDED HAS BEEN GATHERED FROM SOURCES DEEMED RELIABLE, BUT THE OWNER AND HFF DO NOT WARRANT OR REPRESENT THAT THE INFORMATION IS TRUE OR CORRECT. YOU ARE ADVISED TO VERIFY INFORMATION INDEPENDENTLY. The Owners reserve the right to make any change, to add, delete, or modify the information or to withdraw the Sale Opportunity from consideration at any time, without notice. Furthermore, the inclusion or exclusion of information relating to asbestos or any other hazardous, toxic or dangerous chemical item, waste or substance (hereinafter collectively referred to as Waste ) relating to the Property shall in no way be construed as creating any warranties or representation, expressed or implied, by the Owners or its agents as to the existence or nonexistence of nature of Waste in, under, or on the Property, or to create legal and/or economic obligations upon the Owners, lessees, and or other holders of interest in the Property or a part thereof. Should you require additional information regarding the Sale Opportunity, please contact Holliday Fenoglio Fowler on the Sale Opportunity at the following address: HFF Boston One Post Office Square Suite 3500 Boston, MA Telephone: Fax: Investment Contacts Mark Campbell Director mcampbell@hfflp.com Martha Nay Senior Analyst mnay@hfflp.com Hal Reinauer Director hreinauer@hfflp.com

3 The T stops in these great neighborhoods should be embedded in thriving, healthy, walkable communities. -Boston Mayor Martin Walsh (12/10/2014)

4 Harvard Square CAMBRIDGE Kendall/MIT BOSTON 90 CHA RL IVE ES R Downtown Boston R South Station Back Bay Seaport District 90 Longwood Medical Area South End South Boston 93 BROOKLINE Dudley Square JFK/UMass Station JAMAICA POND Roxbury Jamaica Plain FRANKLIN PARK Dorchester 1 ARNOLD ARBORETUM FOREST HILLS CEMETERY Ashmont Station Roslindale Mattapan

5 90 Boston Logan International Airport PLEASURE BAY HFF is pleased to present 1943 Dorchester Avenue, an urban transitoriented development parcel in a dynamically changing neighborhood Dorchester Avenue is located in the heart of the Ashmont neighborhood of Dorchester, a densely-populated urban area centered around the recently reconstructed Ashmont Station Dorchester Avenue offers investors the opportunity to acquire a wellpositioned parcel for development in one of the top investment markets in the country. Boston s high barriers to entry further the inherent value of this exceptionally-located property Dorchester Avenue offers investors the opportunity to acquire a wellpositioned parcel for development in one of the top investment markets in the country Dorchester Avenue is centrally located amidst exciting developments that are transforming the Ashmont neighborhood, including the reconstruction of Ashmont Station; the Carruth, a mixeduse development; and the proposed development of the Ashmont Tire site. These projects have injected new growth into the already vibrant community. In conjunction with an overall $158 million investment in improvements to Boston s Red Line, Massachusetts invested $84 million in the modernization of Ashmont Station. The public investment exemplifies the city s initiative to spur development and increase density along mass transit Dorchester Avenue, which boasts 88 feet of frontage along Dorchester Avenue, is situated directly across the street from Ashmont Station. The station provides service to the MBTA s Red Line, offering direct connection to downtown Boston in 17 minutes and Cambridge in 27 minutes. The property benefits from a presence on Dorchester Avenue, one of the neighborhood s main arteries connecting a number of Dorchester s vibrant business districts. The commercial corridor offers an amenity rich environment featuring a mix of independent and national retailers. OFFERING MEMORANDUM 5

6 n Street TREET Bailey Street Alban Street TALBOT AVENUE PEABODY SQUARE Property Zoning Map Ashmont Station The Carruth DORCHESTER AVENUE DORCHESTER AVENUE ASHMONT STREET Bushnell Street Dracut Street Lombard Street Rowena Street Rad Fuller Street Ashmont Tire Development (Proposed) Beale Street 6 OFFERING MEMORANDUM

7 Property Overview Location 1943 Dorchester Avenue Boston, MA Site Acreage ± 0.42 Frontage Topography Utilities Improvements Zoning 87.7 Feet along Dorchester Avenue Street grade with slight slope to rear Water, gas, sewer, and electricity available The site is improved with a wood frame structure in fair condition, a barn/carriage house in poor condition, and 23 parking spaces. The site is zoned for Multifamily Residential/ Local Services. MFR/LS Subdistricts are established to encourage medium-density multifamily areas with a variety of allowed housing types, including, one-, two-, and three-family Dwellings, Row Houses, Town Houses, Multifamily Dwellings, and ground floor Retail and Service Uses. Location Overview 2015 Population (five mi. radius) 623,496 Population Growth (five mi. radius) 6.25% Projected Pop. Growth (five mi. radius) 5.33% Renter Occupied Housing Units (five mi. radius) 60.1% Average HHI (five mi. radius) $82,610 Process Overview Offering The seller will entertain offers for 1943 Dorchester Avenue on both an as-is basis as well as contemplate contingency related to permitting. OFFERING MEMORANDUM 7

8 Investment Highlights Transit-Oriented Development 1943 Dorchester Avenue is located directly across the street from Ashmont Station. Ashmont Station provides service to the Red Line of Boston s subway system. The Red Line runs north from Ashmont Station passing through UMass Boston, South Station in downtown Boston, and into Cambridge as well as providing multiple connection points to the city s other subway lines. South Station 17 min. East Cambridge 27 min. Transforming Neighborhood Public and private investment in 1943 Dorchester Avenue s immediate area has served as a catalyst for the revitalization of the surrounding community. Ashmont station recently underwent an $84 million modernization, precipitating significant transportation and aesthetic improvements to the area. Private investment has accompanied the government s improvement of the Red Line. The Carruth was successfully delivered in The project features residential units on five floors above street-level retail. Additionally, proposed development for the Ashmont Tire Site, located just south of 1943 Dorchester Avenue, further exhibits the dynamic nature of the surrounding neighborhood. 8 OFFERING MEMORANDUM

9 Amenity-Rich Urban Location 1943 Dorchester Avenue offers a walkable amenity rich environment featuring a mix of independent and national dining, shopping, and cultural attractions. New development has revitalized storefronts augmenting the fabric of local establishments and creating a critical mass of retail activity. Strong Demographics 1943 Dorchester Avenue boasts impressive demographics. The property is located in a densely populated area that has experienced continued population and household growth. Over the past five years the population within a five-mile radius has increased by 6.25%. 623,496 population 60.1% renter occupied 5-mile radius $82,610 avg. HHI Top Tier Investment Market Boston stands among the most economically sound, dynamic, and attractive urban regions in the country. As such, it has long been a gateway city with an international presence, renowned for its strength in education, medicine, technology, classic architecture, and public services. Boston is one of the strongest and most compelling investment markets in the world. With a plethora of high paying jobs, wealth of recreational and cultural attractions, and world renowned shopping and dining destinations. Boston is a top magnet for global talent. Exceptional Market Fundamentals Boston continues to exhibit exceptionally strong fundamentals favorable to development. An aging and inadequate housing supply prompted city officials, led by Mayor Martin Walsh, to publicly announce a program to solve these issues in the face of continued growth and changing demographic dynamics. The City estimates that an additional 53,000 housing units will be needed over the next fifteen years. As such, city officials are championing smart growth in transitoriented communities and have introduced a first-ever set of incentives to drive down development costs, including zoning relief, permitting reform, tax incentives, modifications to the Inclusionary Development Policy, and better use of City-owned land. OFFERING MEMORANDUM 9

10 Mark Campbell Director Martha Nay Senior Analyst Hal Reinauer Director - Finance hreinauer@hfflp.com HFF Boston One Post Office Square Suite 3500 Boston, MA Telephone: Fax: Atlanta Austin Boston Chicago Denver Dallas Florham Park (NJ) Hartford Houston Indianapolis Los Angeles Miami New York Orange County (CA) Orlando Philadelphia Pittsburgh Portland (OR) San Diego San Francisco Tampa Washington, DC No warranties or representations, expressed or implied, are made as to the accuracy of the information contained herein. The Property is offered subject to errors, omissions, change of price, rental or other conditions including withdrawal without notice, and will be subject to any special conditions, which may be imposed or made by the owner or Holliday Fenoglio Fowler, L.P. The owner and Holliday Fenoglio Fowler, L.P. reserve the right to accept or reject or withdraw any and all offers. Copyright 2014 HFF (Holliday Fenoglio Fowler, L.P.) and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 22 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit or follow HFF on Twitter at