Taurus, Kayne Anderson Buy Boston-Area Property

Halstead Framingham. Image courtesy of Taurus Investment Holdings

Taurus Investment Holdings and Kayne Anderson Real Estate have formed a joint venture to acquire Halstead Framingham, a 1,020-unit apartment community in the Boston suburb of Framingham, Mass., that will be renamed The Green at 9 & 90.

The seller was not identified by the JV but Yardi Matrix reported the most recent owner was DSF Group, which bought the four-building, 27-acre property in May 2019 from LivCor for approximately $227.1 million. LivCor acquired the asset for about $203 million in December 2015 from Greystar, which had owned the property for four years, according to Yardi Matrix.

The sales price was not disclosed but the partners plan to commit significant capital to transform the 1974-built property to a low-carbon, energy-efficient multifamily community by reducing energy consumption by 45 to 50 percent. Taurus’ energy-focused retrofit subsidiary RENU Communities will implement a tailored program to reduce greenhouse gas emissions across the property. Plans call for significantly boosting energy efficiency by upgrading the property’s HVAC systems, adding rooftop solar PV and a property-wide energy management system. KA Real Estate, the real estate private equity arm of Kayne Anderson Capital Advisors LP, will invest in The Green though its KA Multifamily Impact strategy, which is an extension of both the firm’s leading environmental, social and governance initiatives and strategic multifamily investments.

In addition to the sustainability-focused retrofit, the joint venture plans to implement a range of resident-driven social activations such as rent reporting to help residents build credit through on-time rent payments and prioritizing partnerships with diverse-owned business vendors. Both KA Real Estate and Taurus, a global private equity real estate firm, have successful track records and forward-thinking approaches to real estate and are committed to prioritizing and incorporating ESG standards into their businesses.

David Selznick, chief investment officer at KA Real Estate, said in a prepared statement the joint venture provides an opportunity to partner with a like-minded team and leverage the company’s expertise in investing, enhancing and operating high-quality multifamily properties. He said the partnership builds on the firm’s commitment to invest in assets that prioritize increasing sustainability, rent attainability and positive social impact in local communities.

Peter Merrigan, CEO of Taurus Investment Holdings, said in prepared remarks The Green will be an excellent fit for RENU’s retrofit program, which provides turnkey, energy-efficient retrofits with a focus on renewable energy and reducing carbon footprints while also generating Net Operating Income improvement and creating value for investors.

Evercore Real Estate Capital Advisory served as exclusive capital advisor to Taurus on the transaction.

Property Details

Located at 1600 Worcester Road, Halstead Framingham is in the heart of Boston’s Metro West office and lab market with nearby employers such as Raytheon, TJX, Bose, Staples and MathWorks. The property is currently 98 percent occupied. It was recently upgraded with an amenity package that includes a fitness center with simulation surfing, resident lounge with shared workplaces, pool, pickleball court and multiple grilling areas. Other features include a business center, clubhouse, volleyball and tennis courts, and 36 laundry facilities. Covered parking is available and there are more than 1,460 parking spaces.

The property has studio, one- and two-bedroom layouts ranging from 436 to 1,005 square feet with an average of 639 square feet, according to Yardi Matrix.