On March 16, MassDevelopment announced that it has partnered with a lender to provide $51.2 million in loan financing to a real estate development company and property owner for the largest office-to-residential conversion in Massachusetts to date, located in Worcester near the downtown.
The loan will be used to redevelop and convert the former Fallon Community Health Plan headquarters at 10 Chestnut St. into 198 market-rate apartments.
Washington Trust provided $47.57 million in loan financing while MassDevelopment provided a $3.6 million Housing Development Incentive Program tax credit bridge loan. The Executive Office of Housing and Livable Communities also provided a $4 million HDIP award and a $3.6 million Commercial Conversion Tax Credit award. The city of Worcester is supporting the project through a 15-year Tax Increment Exemption…