Newton-based National Development has closed on a long-term ground lease for the Midtown Hotel and One Cumberland St., two parcels located across from the Christian Science Plaza in Boston, and is in the early stages of planning a residential and retail property there.
A 99-year ground lease closed Monday between National Development and the First Church of Christ, Scientist, according to Suffolk County records.
Ted Tye, managing partner with National Development, said in an email to the Business Journal that the firm’s immediate plans are to continue to operate the site as a hotel, but pursue a redevelopment in the long term.
“We are currently in the very early stages of the planning process and have not started any community outreach,” Tye said in an email.
JLL’s capital markets team of Coleman Benedict, Riaz Cassum, John Fowler, Chris Phaneuf and Ben Sayles represented the First Church of Christ, Scientist in the deal.
“These two parcels of land represent one of the most exciting development opportunities within the City of Boston. The site is located at the confluence of three dynamic neighborhoods (Back Bay, South End and Fenway) and benefits from multiple demand drivers,” JLL said in a statement.
Together, the Midtown Hotel and One Cumberland St. span a combined 62,453 square feet. The assessed value of both properties together is $26.2 million, according to city records. JLL and National Development did not disclose terms of the long-term ground lease.
“The Midtown Hotel site is a real estate trifecta — well located near public transportation, ripe for redevelopment and situated directly across from one of Boston’s grandest landmarks,” Tye said in a statement. “We look forward to unlocking the potential of the site and delivering a mixed-use project that contributes to the fantastic location and surrounding architecture.”
The previous leaseholder for the Midtown Hotel was Boston-based real-estate development firm The Druker Co. Ron Druker declined to comment on the transaction.