Press Releases
CANYON-JOHNSON URBAN FUND MAKES FIRST INVESTMENT IN BOSTON; TEAMS WITH LOCAL PARTNER CATHARTES PRIVATE INVESTMENTS
Nation's premier urban real estate fund, co-founded by Earvin "Magic" Johnson, will build workforce housing on former industrial site next to transit station in Charlestown
BOSTON, MA (July 10, 2006) - Canyon-Johnson Urban Fund is making its first investment in Boston, partnering with locally-based Cathartes Private Investments on a transit-oriented, workforce housing development featuring 146 condominium units adjacent to the Sullivan Square MBTA station in Charlestown just two miles from downtown Boston.
The development, which will help meet the significant demand for affordable and market-rate housing in this ethnically diverse area, will transform the existing 1.9 acre industrial site. The land is currently entitled for high density residential use thanks to extensive planning and support from the Boston Redevelopment Agency and the Charlestown Neighborhood Council.
Located in the historic "Little Neck" section of Charlestown, the site is convenient to major retail, eating and entertainment venues. With Canyon-Johnson's investment, demolition of the site will proceed immediately, with the first residents expected to move in during the first quarter of 2008.
The development's major equity investor, Canyon-Johnson Urban Fund, is a joint venture between Canyon Capital Realty Advisors and Earvin "Magic" Johnson's Johnson Development Corporation. Based in Los Angeles, the Canyon-Johnson Urban Fund is the nation's largest real estate investment fund platform focused on urban revitalization throughout America.
Canyon-Johnson's local partner on the project is Boston-based Cathartes Private Investments, which has developed over 40 urban revitalization projects over the last 14 years.
"Boston and the Charlestown submarket epitomize the type of densely populated, ethnically diverse communities in which our fund invests," said Canyon-Johnson Managing Partner Bobby Turner. "We are proud to be investing in Boston, and teaming up with Cathartes to transform an underutilized industrial site and help provide much-needed market-rate and affordable housing."
Canyon-Johnson partner Earvin "Magic" Johnson said, "I am excited about investing in the Boston area, where I have some of my greatest memories. Mayor Menino and Treasurer Tim Cahill's leadership in urban revitalization sparked our interest, and we look forward to working with their teams on this and additional opportunities. Canyon-Johnson believes that investing in urban America is good business, and in this case, we're going to be providing workforce housing in a part of the community that needs it most."
"This project fits perfectly with my new Leading the Way II plan to provide 10,000 new units of housing, and particularly affordable housing, for Bostonians. We are actively seeking to bring in organizations like Canyon-Johnson who help make the communities where they do business better places to live and work," Mayor Menino said.
When completed, the units will consist of urban loft-style homes, with open floor plans, oversized windows, high ceilings and polished concrete floors. Residents will have garage parking on the same level as their unit, a feature typically characteristic of the top luxury buildings. Other amenities include a public courtyard, media and communications room and a fitness center.
"We are very pleased that we were able to identify and acquire an underperforming property and create high-quality homes for hundreds of workers in Boston," said Jim Goldenberg, Managing Partner at Cathartes. "And we are proud to unite with the Canyon-Johnson team who shares our vision and commitment to urban revitalization."
Canyon-Johnson and Cathartes will work with a team that has extensive urban residential experience. John Moriarty and Associates, Inc. is the general contractor. The marketing agent for the condominiums is The Collaborative Companies. The architect for the development is Bargmann Hendrie + Archetype, Inc.
About Canyon-Johnson Urban Fund
The Canyon-Johnson Urban Fund (CJUF) is a joint venture between Canyon Capital Realty Advisors and Earvin "Magic" Johnson, formed to identify, enhance and capture value through the development and redevelopment of real estate in densely populated, ethnically diverse urban communities. The Fund's objectives are to seek current income and capital appreciation and, in addition to meeting investment goals, the funds are committed to providing for and fostering economic opportunities for the residents of the urban neighborhoods in which CJUF invests. With nearly $1 billion in committed equity capital, the funds are positioned to facilitate more than $4 billion in development and revitalization in major U.S. metropolitan areas.
About Cathartes Private Investments
Headquartered in Boston, Mass., Cathartes Private Investments (CPI) is a private real estate investment and development company that targets value-oriented investment opportunities in primary New England markets. CPI was founded in 2003 by Jim Goldenberg and Jeff Johnston who, together since 1992, have developed over five million square feet of residential and commercial real estate. CPI identifies and leverages undervalued property to deliver above-market risk-adjusted returns to its private investors.
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Media Contact:
Heather Herndon
310-689-7538
heather@sugermangroup.com
www.sugermangroup.com
