JV Adds Neighborhood Center in Medford

MEDFORD, MA-Charter Realty & Development Corp. and Regency Centers Corp. have closed on the acquisition of Fellsway Plaza, a 150,000-square-foot neighborhood center here anchored by a recently constructed Stop & Shop. The purchase price was not disclosed.

Dating from as far back as the 1950s, the Boston-area property was acquired from Berenson Associates of Boston, its original developer, through a joint venture between Charter and Regency. Permanent and development financing for the transaction was provided by PNC Bank. Hank Blake of Blake Commercial Property Group represented the JV.

“Fellsway Plaza is an iconic infill location in the Boston metro area that cannot be replicated; exactly the kind of property we will continue to target,” says Paul Brandes, principal of Charter. Adds Charter principal Dan Zelson, “Our redevelopment plans make this the type of project tenants are seeking in today's marketplace. There are few opportunities of this nature.” 

Constructed in multiple phases dating back to the '50s, Fellsway Plaza has long been regarded as the gateway retail location for consumers traveling south on the Fellsway toward Boston.  The Stop & Shop at this location has consistently outperformed the other area grocers serving this trade area.

A modern theme will update the building's aesthetics, while planned upgrades in existing tenancies are intended to reinvigorate the property's tenant mix. The common areas will be renovated with plantings and pedestrian scale elements.

Projected to begin in the spring of 2014, construction will include a new satellite building along the property's frontage. Charter will be responsible for development, property management and leasing on behalf of the JV.

"We truly look forward to working with Charter and believe our joint venture will be quite successful in implementing our strategies to upgrade the facility,” says Barry Argalas, SVP of national transactions at Regency Centers. “We fully expect this asset to be representative of other high quality properties in the Regency portfolio.”