Mike Marcone, Marcone CapitalBoston, MA Mike Marcone of Marcone Capital, Inc. has arranged the $44 million first mortgage secured by a portfolio of first class properties that are all centrally located in downtown. The collateral includes three interconnected office and retail buildings located at 85 Devonshire & 262 Washington St., 225 Friend St., and 141 Portland St.
The properties are managed by KS Partners, LLC, which is owned by Kambiz Shahbazi. KS Partners, LLC is a holding company that owns and operates over 4 million s/f of commercial property located in the northeastern United States. Shahbazi acquired 141 Portland St. in 2014 but has owned 85 Devonshire & 225 Friend St. since 2006 & 2007.
The financing was provided by Brookline Bank.
According to Mike Marcone, “Mr. Shahbazi has enjoyed a strong relationship with Brookline Bank for many years. Not only does Brookline Bank provide competitive financing they are an astute lender who truly understands the Greater Boston market.”
85 Devonshire & 262 Washington St., an eleven story building, comprises 92,473 s/f with retail space on the first floor and office space on the upper floors. The property was originally built in the early 1900’s. The current owner just recently completed a major renovation of the property including a refurbishment of the lobbies, common corridors and bathrooms. The property is located in the Downtown Crossing area, near the Old State House and Faneuil Hall. The Downtown Crossing area, considered the city’s historic shopping district, benefits from 230,000 pedestrians passing through the district every day. At peak times as many as 6,000 people walk through this area daily. The area is serviced by all major transportation systems including a subway station located within one block of the property. The property is currently leased to a group of 20 office tenants and four retail tenants. Almost 20% of the net leasable area consists of retail space, most of which has a prime location with great frontage along Washington St., the central retail corridor in Downtown Crossing. The retail tenants situated along Washington St. include The Vitamin Shoppe, Subway, and Falafel King.
225 Friend St. is an eight story, 59,815 s/f, building which is leased to 19 tenants. The property was originally built in 1910 but in 1985 the property was entirely renovated which included an expansion of the building. In 2005, $500,000 was invested to renovate the property. As was implemented at 85 Devonshire & 262 Devonshire St., the current owner just recently completed a major renovation of the property which included a total refurbishment of the lobby as well as a renovation of the common corridors and bathrooms. The property is located in the city’s North Station corridor with access to I-93, I-90 and the North Station MBTA train and commuter line. The property is also located near the TD Garden and several of the city’s finest retail shops & restaurants in both Faneuil Hall/Quincy Market as well as the North End. In addition, there has been and continues to be an influx of new residential and retail complexes in the immediate area that have helped the transformation of the area into the city’s next 24/7 live-work-play destination. There is an on-site parking garage that can accommodate parking for 15 vehicles which is a rare amenity for comparable buildings in this area.
141 Portland St. is a 26,446 s/f three-story building which is currently 100% leased to three tenants. There is one retail tenant on the first floor, The North Star Sports Bar, with the top two floors leased to Delaware North Companies and Snelling Professional Services. The property, which also has frontage along Friend St., is located adjacent to 225 Friend St.
Marcone Capital is a mortgage banking and real estate consulting firm based in Quincy, Mass.
