In another sign that the the Boston-area commercial real estate market is on the rebound, construction of biotech facilities is taking off. Of the approximately 2.6 million square feet of major construction currently taking place in Boston and Cambridge, over 2 million square feet is to house new pharmaceutical R&D facilities for the area’s major biotech companies. Notably, two of the new buildings are located in the South Boston waterfront’s Innovation District. And this is not a passing trend – another 1 million square feet of biotech construction is on deck for next year.
Speaking of the waterfront, it’s always been perplexing to many why East Boston’s waterfront – with its spectacular views of the city – hasn’t experienced the growth enjoyed by other waterfront neighborhoods, including South Boston’s recent explosive surge. Long-time observers may finally have an answer: Mayor Menino’s recently-proposed East Boston Waterfront Development District.
An obvious problem has been the lack of private funding. Case in point is the five projects that would add 1,800 residential units and retail that are in varying stages of planning, but lack the necessary financing. The Development District is aimed at stimulating private funding with the building of roads, seawall reinforcement and other infrastructure improvements. The City also hopes that an infusion of $1 million per year to develop a system of water transportation nodes along the waterfront will solve another East Boston problem: accessibility, other than over a bridge or through a crowded tunnel. Hopefully, the City will have the resources to sustain its “if we build it, they will come” strategy long enough to reap the benefits.