Haymarket Square Rendering for Hotel & Market Hall – Normandy Partners / Jones Lang LaSalle

After 4+ years of consideration, State officials have finally designated a winning proposal for Central Artery Parcel 9 on the Greenway. The Massachusetts Department of Transportation (MassDOT) has selected the Haymarket Square Hotel project by Normandy Real Estate Partners and Jones Lang LaSalle. The Perkins + Will designed development will include an 8-story, 180-room hotel, a one story market hall with retail space and a restaurant. Parcel 9 is the triangular plot of land created by the Big Dig adjacent to Haymarket and the Rose F. Kennedy Greenway, bounded by Blackstone, North and Hanover Streets. Blackstone Street will also get some attention with $2 million of promised infrastructure improvements, including regrading, stalls, trash and storage to support the Haymarket pushcarts.

The selection of the hotel project may come as a surprise because the MassDOT Parcel 7 and 9 RFP Advisory Committee and the Haymarket Pushcart Association both supported the competing bid for Blackstone Market, proposed by Cresset Group and DeNormandie Cos. It includes a 9 story apartment building for 70 rental housing units, 3 restaurants with a first floor retail market and green roof.  North End elected officials also supported Blackstone Market, including State Senator Anthony Petruccelli, State Representative Aaron Michlewitz and City Councilor Salvatore LaMattina.

After the 3rd RFP round of public meetings and comments, one advisory committee member and longtime North End resident, Victor Brogna, broke with the rest of the committee to strongly oppose the “Liberty Wharf restaurant-centric” aspect of the Blackstone Market to support the Haymarket Square Hotel. Brogna was joined by other North Enders, including Gerry Riccio, owner of several longtime North End cafes and restaurants including Caffe Vittoria and Gennaro’s 5 North Square.

Competition between the two final bidders has been intense and not without controversy. MassDOT issued an unusual request for the bidders to disclose “side deals” with the Haymarket Pushcart Association. At the final public meeting, pushcart representatives said the Normandy/JLL group told them of a preliminary designation by MassDOT that was not publicly disclosed. This was denied by MassDOT at the meeting and said to be a misunderstanding by Normandy/JLL who fired back that the HPA had a side deal with the Blackstone Market proponent. This was also denied by HPA representatives at the meeting.

The MassDOT press release announcing the decision is shown below:

 

MassDOT Designates Developer for Central Artery Parcel 9
Normandy Real Estate Partners Chosen to Develop Key Parcel

Massachusetts Department of Transportation (MassDOT) Secretary & CEO Richard A. Davey today announced that MassDOT has selected Normandy Real Estate Partners as the developer of Central Artery Parcel 9, located on the Rose Fitzgerald Kennedy Greenway at North and Hanover streets in Boston’s emerging Market District.

Normandy’s proposed development calls for a 180-room, mid-market hotel and a first-floor food market to complement the adjacent weekly Haymarket Pushcart Association produce market. Portions of the building will be founded on Central Artery tunnel structures.

“After a thorough evaluation, we believe this proposal offers the best overall benefit to the residents and businesses of Boston, the Market District and the Commonwealth,” Davey said. “Along with the creation of the Boston Public Market nearby and the existing Haymarket pushcarts, this development will create a new and exciting Market District.”

Acting with the Governor’s Public Market Commission, MassDOT has designated the Boston Public Market Association as the lessee for the ground floor of the adjacent Parcel 7 building that also houses a garage and Central Artery ventilation building. The Public Market will focus on the sale of Massachusetts grown, landed, and produced produce, fish, and other food products.

Davey complemented the BRA and an Advisory Committee of area residents and professionals for their work during the process. “We thank them for their diligence and patience,” he said. “This was a tough decision, with more than one interesting proposal. We respect the community’s opinions and believe the work they put into this process will result in a better outcome for all.”

In addition to the economic and tourism benefits the hotel will lend to the area, the Normandy proposal will result in more than $2 million in improvements to Blackstone Street in support of the Haymarket Pushcart Association (HPA) operation, including regrading the street to simplify vendor setup, installation of water and power for use by vendors, introduction of a system of retractable vendor stall covers, creation of a fire lane through the market – all while minimizing changes to existing HPA layouts and operating patterns. In addition, the proposal will provide interior space for trash compaction, pushcart storage, HPA office space, and vendor rest rooms.

“These benefits will help ensure the continued viability of this treasured Boston institution for years to come,” said Davey. “None of this would have been possible without the active engagement of the BRA, the Pushcart Association, and the Advisory Committee. We look forward to continuing to work with them to shape this development through the permitting process and to realize the vision of a multi-faceted Market District focused on offering quality food to Boston area residents in a lively, active setting.”

In addition to the benefits to the Pushcart Association and the Market District, the proposed 99-year lease to be negotiated with Normandy will result in rent to MassDOT with a present value of between $7.3 and $8.5 million, to be dedicated to transportation uses.

Normandy’s designation is the culmination of an extensive proposal and selection process. The criteria used in making the decision included: the proposed land use and project design; community benefits; community and City input; and the developer’s financial proposal, capacity, and experience.

Normandy’s proposed development is now subject to negotiation and execution of a development agreement and lease with MassDOT, as well as standard City and state permitting.

For transportation news and updates visit MassDOT at our website: www.mass.gov/massdot, blog: www.mass.gov/blog/transportation, or follow MassDOT on twitter at www.twitter.com/massdot and Facebook at www.facebook.com/massdotinfo.

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15 COMMENTS

  1. They wanted the hotel period. Nothing else mattered, I guess. Too bad for the Haymarket Assoc as well as the No End politicians who wanted the other proposal . Personally I would have liked to leave the space as was… clean it up etc. Oh well…

  2. We need space in this very congested area. Do we need a hotel? Grass and flowers, and a fresh aroma would have been welcomed.

    • By “space” you obviously mean non-development. Why do you crave this if you chose to live in the heart of the city? Perhaps you should move to the vast suburbs and exurbs where “space” is plentiful. And why is the Greenway, plus Christopher Columbus Park not enough “space” for you?

  3. North End restauranteurs could not have the influx of fancy chain restaurants (like the Del Frisco’s, Legal’s, etc.) moving in on their profits. That was what De Normandie was going to do. The guy already owns the whole street over there and most of Union st too. Hotels will bring more tourists into our neighborhood, which is not a bad thing, and more money into their restaurants. Also, with all of the proposed new apartment developments in our area, keeping the demand for apartments and condos in our area is great for us who own a little piece of this great place.

    The project won’t be done for years anyhow…

    • Not sure I agree with that…De Normandie had a great plan , wait and see what comes with the other….and blocked view for the Bostonian Hotel- what a mess!!!

      • I am not sure that I agree with it either, but keeping restaurant and apartment competition down may be a good thing for the neighborhood.

        • This neighborhood needs more apartments not fewer. I could care less about the greedy desires of landlords to hold down stock so they can charge even more outrageous rents while doing nothing about tenants who do not grasp the concept of 3 day a week trash pick up or know how to buy and use proper trash bags. As far as the restaurants go, the good ones will survive and the not so good ones will have to improve or sell. It is called competition. Salem St guy sounds like he is just jealous of the amount of property owned by DeNormandie. So when the hotel guy puts in his version of NY’s Eataly and ruins the non-restaurant businesses in the neighborhood like Joe Pace, Salumeria Italiano, Monica’s Mercato etc, that will be OK? when he puts in a chain restaurant for the hotel, that will be OK? Or when the hotel and the high priced retail tenants start bitching about and trying to remove the lowly haymarket vendors who serve the needs of low income people from all over the city …students, senior citizens, the working poor…that will be OK? Just as long as there are no apartments to compete with you.. SMH

          • Hey Concerned: I supported the De Normandie plan. Maybe you should read my comments before you get all worked up. I only remark that keeping restaurant competition down was probably a motivation of some of the North End restauranteurs and slum lords to push against De Normandie. In some instances, that could be a good thing. Generally, I’m all for market forces. Don’t get your underpants all bunched up.

            On the one hand you think competition is great, unless it is against certain retailers (Monica’s, Salumeria, j. Pace). Doesn’t make sense.

            For the record, I do not rent any apartments. But if I did, I would prefer a market in which there were fewer apartments available to tenants. I could be a lot more selective as to who I rented to [gainfully employed vs. student; older vs younger; etc.] and still get a good income stream from the unit. With less competition, landlords have to rent to anybody — like the messy students you refer to. I really think you just haven’t thought through [or have never taken an economics course] how certain market forces will impact the neighborhood.

            Note that the median sales price for a condo in North End is up over 20% since last year. That is largely based on low inventory. I am very pleased by that statistic, even if it is unsustainable.

  4. […] Nonetheless, the Greenway will see a new hotel at North and Hanover Street’s designated Market District. The proposed plan will include a 180-room hotel in an 8-story building with a 1-2 story market hall. The ground level retail and restaurant space will “complement the weekly Haymarket Pushcart Association produce market” as touted by MassDot. The Haymarket pushcarts will also benefit from $2 million infrastructure improvements. The proposed development will now be subjected to standard City and state permitting process. Stay tuned. Brenda Phan […]

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