The Hamilton Company

Allston-Brighton, Boston's College Life Ground Zero, Is The Next Multifamily Sweet Spot

2017-11-09

Allston-Brighton has historically been the epicenter of college life in Greater Boston, but the city's commercial developers have gravitated to the two neighborhoods, building luxury condos and apartments where college students still dominate the landscape.

“Whether it’s BC or BU, there are a lot of schools that drive that market, and always will, to a certain extent,” Charlesgate Realty Group founding partner P.T. Vineburgh said. “But what you’re seeing now is a new neighborhood being created.”

The two neighborhoods have historically been viewed as the place to find a cheap apartment while class is in session, but Boston’s exploding property values are giving developers reason to explore a new multifamily approach outside previous emerging housing markets in the region.

“There’s a decent pipeline of projects that are starting to incorporate homeownership, which has been historically lacking compared to South Boston and Charlestown,” Vineburgh said. “That hasn’t really happened in Brighton until the last 24 months.”

The Lancaster, a 55-unit condo development at 1501 Commonwealth Ave., opened in 2015. Although mid-$400Ks starting prices were mentioned in early marketing, the project’s initial listings ranged from $535K to $800K, averaging out to the $700s per SF. Prices at the Aberdeen at 1650 Commonwealth Ave. are even in the $900s per SF and crest over $1K.

There has been a rise of commercial development in the neighborhood like Boston Landing and Harvard’s continued Allston expansion. Harvard’s development has fostered several innovation labs and many predict it will become Boston’s next life science hub. These real estate plays have developers realizing more people are sticking around Allston and Brighton after graduation. Increasingly they could be looking to buy a home; nationwide homeownership rates have shot up so far in 2017.

“Now what you’re seeing is there’s a proven market, a lot more projects are titled as condos, or larger projects incorporate condos,” Vineburgh said.

Those who are normally used to pizza joints and rock clubs with cheap drinks in Allston Village might balk at the new living standard, but Vineburgh said it is possible for the two styles to coexist.

“White Horse Tavern isn’t going anywhere,” he said. “But a lot of the retail will evolve into higher-end bars, restaurants and shopping.”

The new Allston-Brighton normal might seem costly, but it is still more affordable than other parts of the city. One developer sees that as an opportunity.

“Prices have gone up and land is getting very expensive,” The Hamilton Co. Chairman and CEO Harold Brown said. “Suddenly people realize real estate is a good investment.”

At 92, Brown has made deals for decades as the city has become increasingly attractive to foreign buyers. Even if he is one of the largest landlords in the city, he is still shocked by today's prices. Brown’s company built 112 units in Packard’s Corner in the 1970s for $20K a unit. Today, he said, the same type of building costs a developer around $450K a unit when hard and soft costs are factored in.

“The market is changing,” Brown said. “The thing that is keeping it alive is [foreign investors] are coming in with an unlimited supply of money and paying almost anything.”

He added he recently looked at a six-unit building in Somerville where he would normally expect each unit to go for $150K to $200K per unit. The owner was asking $650K each. Brown is doing the opposite with his own properties in Allston and Brighton.

The Hamilton Co. broke ground in September on workforce housing at 79-83 Gardner St. The phased project will ultimately bring 200 affordable units to the neighborhood and include the same level of amenities normally associated with the Seaport’s glitzy new towers, only Hamilton’s will cost about 30% less.

“The reason we can do it is because we own the land and are subsidizing the site cost. If you have to buy the land, you can’t do it,” he said. “We can rent them and still make out.”

Brown is bullish on Brighton and Allston’s role in the “new Boston,” but he still thinks the city is destined for a correction. All parties have to end sometime, and he views the fact that so many new luxury towers are offering several months of free rent as an early sign of a downturn.

“There is an awful lot of supply with the thousands of luxury units getting built. Everything has a finite supply,” Brown said. “The downturn is guaranteed to happen, just like death and taxes. You simply have to have it.”

To hear Vineburgh, Brown and other panelists discuss what are Boston's next hot neighborhoods, join us Nov. 30 at Bisnow's Boston Emerging Markets event at the Westin Copley Place.

Allston workforce housing complex gets underway on Gardner Street

2017-09-14

Renderings via the Hamilton Co.

Developer the Hamilton Co. has started construction on 40 units of what it describes as “moderately priced ‘workforce’ housing” at 79-83 Gardner Street in Allston.

While there are no income requirements that potential tenants will have to meet—like withthe under-construction 101 Beverly Street—the rents at the Gardner Street project will be lower than what one might find in newer apartments in Boston.

A lot lower, in some cases: Hamilton says that the average rents for the 40 units—39 of them two-bedrooms and one one-bedroom—will average $2,700 to $2,900 a month, or about 30 percent to 40 percent less than for similar properties in Back Bay or the Seaport District.

Interestingly, the Gardner Street project involves preserving one of the last remaining freestanding Victorian houses in Allston’s Packard’s Crossing area. The house will serve as a lobby for the larger complex, which includes a new four-story building; and it will also contain the lone one-bedroom apartment as well as a pair of two-bedrooms.

Hamilton Company acquires Newton apartment complex for $45M

2017-07-13

The Hamilton Company has acquired Woodland Park, a 126-unit apartment complex at 264-290 Grove St. in Newton, for $45 million, the company announced.

The property abuts LaSalle College and Woodland Country Club, is walking distance to the Charles River and provides easy access to downtown Boston from the nearby Riverside Green Line Commuter Stop. The complex was purchased by Hamilton’s closely-held public entity, New England Realty Associates, from MJ Realty Trust, the original developer, for $45 million in a cash transaction. NERA was represented by Sally Michael, managing partner of Saul Ewing.

The purchase of Woodland Park follows Hamilton’s recent purchase of a parcel in Union Square, Somerville for $5.4 million; the development of 150 Camden St. in Douglas Park in the heart of Northeastern University; and the continued redevelopment of the Packard’s Corner corridor in Allston.

Set on seven acres, Woodland Park is comprised of 16 studio apartments, 30 one-bedroom apartments and 80 two-bedroom apartments. Rates will range from $1,260-$1,350 for the studios, $1,625-$1,750 for the one-bedrooms and $1,780-$1,950 for the two-bedrooms. Outdoor parking is available for 160 vehicles.

Harold Brown, chairman of The Hamilton Company, which he founded 63 years ago, has also set his sights on a $100 million-plus redevelopment of Packard’s Corner in Allston, now in its second phase. This past fall, The Hamilton Company, which is headquartered a block from Packard’s Corner, completed a $25 million development of 48-units at 40 Malvern Street and will soon break ground on 140 units at 44-55 Brighton Ave. and 79-83 Gardner St. “We are bringing Boston to the New Allston,” said Brown.

Since its founding in 1954, The Hamilton Company has amassed more than $1.9 billion in residential and commercial assets in the Greater Boston area. Brown, who frequently gives lectures on real estate trends and investments, is also founder of The Hamilton Company Charitable Foundation, of which Ronald Brown is chairman and Jameson Brown is a board member. The Foundation allocates millions of dollars annually to local non-profit neighborhood groups, charities and associations.

Packard Crossing Kicks Off Next Phase Of Construction

2017-09-18

The Hamilton Co. of Boston has begun construction of a 40-unit workforce housing complex at Packard’s Crossing in Allston in the second phase of a $100 million development.

The latest phase includes renovation of a Victorian-era home at 83 Gardner St. and construction of a new 4-story, 47,736-square-foot residential building with covered parking for 40 vehicles..

Monthly rents will average $2,700 to $2,900 per month for the two-bedroom, two-bathroom units. Hamilton Co. earlier this year completed the project’s first phase, a $20 million, 48-unit apartment building at 40 Malvern St.

The $40 million final phase scheduled to begin next year consists of a 99,700-square-foot mixed-use development at 45-55 Brighton Ave.

“Our goal is to create a ‘New Boston,’ a more affordable place where individuals, families and businesses can live, work, study and thrive without the higher rents associated with other, more pricey sections of the city,” Harold Brown, chairman of The Hamilton Co., said at a recent groundbreaking.

Hacin & Assoc. is the project architect.

The Hamilton Co. owns 24 buildings in Allston containing nearly 1,000 residential units and 300,000 square feet of commercial space.

WBZ Radio interview of Harold Brown with Jeff Brown

2017-09-17

WBZ Radio interview of Harold Brown with Jeff Brown

BPDA Celebrate Start of 44 Units and Groundbreaking at Douglass Pk

2017-05-12

City officials and stories Boston residential developer Harold Brown and his company, Hamilton, gathered on Monday morning to celebrate a groundbreaking for 44 units of housing that will complete Douglass Park on Camden Street and provide more affordable housing than required.

The new, $17. 9 million, 44-unit apartment building at 150 Camden Street in the South End’s Lower Roxbury, completing the multi-building development known as Douglass Park. Originally slated for nine townhouse condos, the site was looked at differently when Hamilton purchased the Park in 2013 for $52 million.

After working with neighbors and the Boston Planning and Development Agency (BPDA), Hamilton President Carl Valeri reported on Monday that the 44-unit building will be delivered with 18 percent affordable housing, some 5 percent above the 13 percent required. The entire complex at Douglass Park, he said, stands at a total of 24 percent affordable units.

“You guys are breaking the mold,” said Councilor Tito Jackson. “When developers say they can’t make the books work, we will point to what you have done here. This is something we will want to replicate in Boston and we will continue to point to this. You were only required to have 13 percent and you added 5 percent and ended up with 18 percent affordable housing in this building.”

On hand for the groundbreaking ceremony were Brian Golden, director of the Boston Planning and Development Agency (BPDA); Jackson; Joshua McFadden of the mayor’s office; and principals of The Hamilton Company, including Founder and Chairman Harold Brown.

“The BPDA is enthusiastic about the opportunities this development will bring to the residents and stakeholders in the South End neighborhood and to the entire city of Boston,” said Golden.

Golden noted that 60,000 more residents will flood into Boston over the next decade, bringing the total to over 700,000 and prompting the need for additional, market-rate, middle-income and working class housing. “This project is another example of The Hamilton Company’s commitment to provide quality housing for a growing city,” said Golden. “It’s a modest addition, but a whole lot of work went into this.”

The new 49,305-square-foot building, which is being built on the last remaining parcel in the development known as Douglass Park, faces out onto Tremont Street near Massachusetts Avenue and just south of athletic fields being developed by Northeastern University. The new residences will include one-, two-, and three-bedroom units, parking in an adjacent, existing parking garage and extensive, new landscaping. Units in the 5-story building will average 900 square feet and range from 700 square feet for one-bedroom to 1,200-square feet for three-bedrooms. Construction of the building is expected to be completed in late summer of 2017.

Interestingly enough, construction crews found an interesting structure when first digging the foundation. At the moment, those crews are busy removing the foundation of an old railroad roundhouse from the old Boston Elevated Railway. The site had apparently been used as a turnaround location for streetcars at one point in the past.

Founded in 1954 by real estate icon Harold Brown, The Hamilton Company has amassed more than $1.7 billion in residential and commercial assets in the Greater Boston area. Harold Brown, who frequently gives lectures on real estate trends and investment, is also founder of The Hamilton Company Charitable Foundation, of which Ronald Brown is chairman and Jameson Brown is a Board member. The Foundation allocates millions of dollars to local non-profit neighborhood groups, charities and associations annually.

The Hamilton Company begins leasing new at 40 Malvern Street

2017-05-12

Allston, MA The Hamilton Company, one of Boston’s largest privately-owned real estate companies, has begun leasing for its new, 6-story, 49,000 s/f apartment building at 40 Malvern St. in Allston’s Packard Crossing neighborhood.

The new 48-unit building located at 40 Malvern St. will be ready for occupancy October 1 and is already 50% preleased. Rents for the 1-bedroom units will start at $2,100 and $2,500 for the 2- bedroom units. The top-floor units will have views of the Charles River. Amenities for residents will include a “green” roof garden, newly-constructed outdoor green space, off-street parking and close proximity to the MBTA, as well as access to the Commonwealth Sports Club, a full-service health club with personal training, fitness classes and an indoor pool.

The new residential units are built on the site of a parking lot which the Hamilton Company has owned and operated for more than four decades.

Carl Valeri, president and chief operating officer of The Hamilton Company, said that the new residences at 40 Malvern St. are part of a broader plan to invest $100 million in the Packard Crossing neighborhood in the next 10 years.

“40 Malvern is a collaborative effort with the neighborhood associations regarding the final design and scope of the project,“ said Valeri. “Located steps from Packard Crossing and the Green Line, this residential property is ideally suited for working professionals and graduate students in the area.”

Jameson Brown, vice president for development and son of Hamilton founder Harold Brown, said more than 50% of the units already have been leased, even though the property is not yet ready for occupancy. “40 Malvern, along with others recently completed by Hamilton, reflects our efforts to develop buildings with moderate rents while maintaining the framework of the neighborhood setting,” said Brown.

State representative Kevin Honan said the Hamilton development is part of a real estate boom in Allston-Brighton that will generate 3,000 new units of housing over the next 4-5 years. “New developments such as 40 Malvern St. ,which combines new housing with increased access to public transit, will keep our neighborhood vibrant for generations to come.” Honan said.

John Ladt, mayor Walsh’s liaison to the Allston-Brighton neighborhood, noted that Hamilton’s addition of 48 units of housing fits nicely into the mayor’s plans to approve 53,000 units of new housing by 2030.

Brian Golden, director of the Boston Redevelopment Authority, is a native of Brighton and said he takes great interest and pride in seeing organizations like the Hamilton Company invest in the neighborhood. “This project is an excellent example of a transit-oriented development that has transformed a parking lot into much-needed housing,” said Golden. “I congratulate Hamilton Company on its success, and I look forward to seeing the building come to life.”

Paul Berkeley, president of the Allston-Brighton Civic Association, said his organization strongly supports the 40 Malvern St. project. “The selling point for this project,” said Berkeley, “is that it replaces a dirt lot used for parking with additional housing. It also makes use of nearby surplus parking space for any overflow parking needed for the new residents.”

The residences at 40 Malvern reflect Hamilton’s current focus on ground-up development of company-owned parcels, rather than competing with record-level purchase prices.

Founded in 1954 by real estate icon Harold Brown, the Hamilton Company has amassed more than $1.7 billion in residential and commercial assets in the Greater Boston area. Harold Brown, who frequently gives lectures on real estate investment, is also founder of the Hamilton Company Charitable Foundation, of which Ronald Brown is chairman and Jameson Brown is a board member. The foundation allocates millions of dollars to local non-profit neighborhood groups, charities and associations.

The project team included:

Construction Manager: Hamilton Construction Management
Developer/Leasing: The Hamilton Company
Architect: Developmental Resources & Design Partnership Plus
Civil Engineer: Nitsch Engineering
Legal Counsel: Rubin and Rudman LLP

Hamilton Co. begins construction of $17.9m, 44-unit apartment building

2016-09-12

Roxbury, MA The Hamilton Company has begun construction of a new, $17.9 million, 44 -unit apartment building at 150 Camden St., completing the multi-building development known as Douglass Park. On hand for the groundbreaking ceremony were Brian Golden, director of the Boston Planning and Development Agency (BPDA); Boston city councillor Tito Jackson; Joshua McFadden of the mayor’s office; and principals of The Hamilton Company, including founder and chairman Harold Brown.

“The BPDA is enthusiastic about the opportunities this development will bring to the residents and stakeholders in the Roxbury neighborhood and to the entire city of Boston,” said Golden.

Jackson echoed Golden’s sentiments, but emphasized the need for affordable housing for current residents of the Lower Roxbury neighborhood.

“It’s not the bricks and mortar, but the people who live here,” said Jackson. “And that’s why I want to thank Harold Brown and The Hamilton Company for their diligence in working with the community to bring much-needed affordable housing to our neighborhood. Once again, The Hamilton Company has set the gold standard by exceeding the 15% city requirement for affordable rental units.” A total of 24% of the rental units at Douglass Park is “affordable.”

The new 49,305 s/f building, being built on the last remaining parcel in the development known as Douglass Park, faces out onto Tremont St. near Mass. Ave. and south of athletic fields being developed by Northeastern University.

The new residences will include one, two and three-bedroom units, parking in an adjacent, existing parking garage and extensive, new landscaping. Units in the 5-story building will average 900 s/f and range from 700 s/f for one-bedroom to 1,200 s/f for three-bedrooms. Construction of the building is expected to be completed in late summer of 2017.

Carl Valeri, president of Hamilton Co., said the new residences are being built on the last undeveloped parcel within the Douglass Park development, which the Hamilton Co.purchased in 2013 for $52 million. The park currently includes two other residential buildings on Columbus Ave. – one comprised of 134 apartments; the other, 33 condominiums.

“This project is a collaborative effort to provide modern, centrally-located, transit-oriented housing that meets the needs of the neighborhood and the city of Boston,” said Valeri. “Our architects did a tremendous job to design a building that fits nicely within the framework of the surrounding area.”

David Hacin of Hacin & Associates, architects on the project, said the alternating use of brick and panel on the building “activates the façade” and allows for uniquely different views of the building from both Tremont St. and Columbus Ave. Hacin said, “The design of the building picks up the rhythm and scale of nearby South End and Lower Roxbury buildings, while the materiality and placement of the brick exercises a contemporary interpretation of the mansard roof condition.”

Jameson Brown, vice president for development at the Hamilton Co., said the 44 units at 150 Camden St. represent only a portion of the 250 housing units currently under construction or being planned by Hamilton Co. in the city.

“We continue to do our best to provide sorely-needed, moderately-priced housing to the neighborhoods of Boston,”said Brown. “Our new developments will be marketed at rents substantially below those of new luxury units being built elsewhere in town.”

Housing eyed for Downtown Crossing office building

2009-01-07

While residential projects stall due to the financial crunch, one developer is bullish on converting a Downtown Crossing office building into apartments.

“This will be the only moderately priced rental building in the downtown,” said Harold Brown, chairman of the Hamilton Co., the Allston-based landlord who owns more than 2,300 units in Greater Boston.

Brown intends to transform the 12-story mid-rise at the corner of Winter and Washington streets into 51 apartments. In a shopping district where a 550-square-foot luxury studio apartment at the Archstone Boston Common on lower Washington fetches $2,855 and rents at the nearby Devonshire range from $2,200 to $4,300, Brown will offer one-bedrooms for $1,750 and two-bedrooms from $2,200.

“We bought the building a long time ago, so we don’t need the big rents to make the numbers work,” said Brown who paid $6.5 million for the property in 1982.

The news of apartments for Downtown Crossing comes on the heels of a decision by John B. Hynes to jettison plans for condominiums at One Franklin, the planned redevelopment of Filene’s, because he was unable to to secure financing amid a global credit crunch.

Rosemarie Sansone, president of the Downtown Crossing Partnership, hailed Brown’s decision as good news for the area. “This is tremendous,” she said. “As Suffolk University attracts new faculty and graduate students from out of town, think of the convenience.”

A recent report by Jones Lang LaSalle, a global commercial real estate firm, found that the vacancy rate for downtown Boston apartments has been steady in the low 4 percent range. The average asking rent is $2,200.

Brown expects to start work on the $18.5 million renovation on Winter Street by late summer.

“We will have no problem getting financing,” he said.

Poll: Welch project moves ahead

2009-01-28

SCITUATE - According to Hamilton Company president Carl Valeri, the company has signed agreements to lease space in the Welch Company building to real estate agents, artists, law firms, small coffee shops, a clothing store and a wealth management company.

The building, at one end of Scituate’s Harbor district, has a sign on it announcing that it has been 30 percent rented. Valeri would not release the names of the tenants, but said that they would be relocating from other properties in surrounding towns.

Since it acquired the building last summer, Hamilton Company representatives have estimated that renovations would be completed by April. Valeri said Monday that the process was still on track for an opening this spring.

“The exterior renovations are on target, and we are pleased with the finished product,” he said. “Now that we have definitive contracts with tenants, we can now proceed with the interior renovation and still feel May of this year will be the outside date of completion.”

The Welch Company building was once a commercial anchor to the town’s central business district. It sat vacant for years while the property was the center of a battle between developers who had received town approval in 2006 to build a 26-unit condominium project and residents who didn’t want the building razed and turned into housing.

However, the downturn in the housing market forced the building’s owners to sell it to Hamilton Company for $2.5 million last August.

Upon purchasing the property, Hamilton CEO Harold Brown announced, to the delight of the selectmen and residents who had been fighting the planned condo building, that he planned to renovate the building to its original commercial use, with storefronts on the first floor and offices on the second.

In nods to the building’s historical importance, he decided to keep its original name, the Welch Building, and to restore the original red paint instead of choosing another color.