2.4 MSF Boston-Area Project Set for Groundbreaking

USQ, Somerville, Mass. Image courtesy of JLL

The long-awaited commencement of the 2.4 million-square-foot Union Square Revitalization, more familiarly known as USQ, in Somerville, Mass., is now on the calendar. Union Square Station Associates, or US2, the joint venture behind the mixed-use, transit-oriented development, will soon break ground on the life sciences-centric first phase of the project and will celebrate the official kick-off of activities with a ceremony on July 21, according to Boston Business Journal.

US2 has worked diligently for years to bring the highly anticipated USQ to fruition. The joint venture consists of RAS Development, Magellan Development Group, Cypress Equity Investments and USAA Real Estate.

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News of the scheduled groundbreaking on USQ comes five months after JLL Capital Markets announced that it had arranged construction financing on US2’s behalf for the project’s first phase, which comprises a 450-unit residential tower and a 194,000-square-foot life sciences building.

“This a tremendous beginning for the revitalization of Union Square. A new Class A life sciences building will anchor the neighborhood and create opportunities for the next great concentration of life sciences and technology companies to flourish,” Greg Karczewski, president at US2 and a partner at RAS Development, said in a prepared statement at the time of the financing deal.

The state-of-the-art life sciences facility will stand at 10 Prospect St. and will encompass Class A office space, including common areas and conference rooms, as well as cutting-edge lab accommodations.

The research building at 10 Prospect will represent just the beginning of what will ultimately be approximately 1.4 million square feet of lab, innovation and office space at USQ. Upon completion, the 15-acre live-work-play destination will also feature 1,000 residential units, 140,000 square feet of retail offerings and 3.6 acres of open and green space.

Cambridge’s loss is Somerville’s gain

The Greater Boston area continues to lead the life sciences sector in the U.S. As noted in a second quarter 2021 report by Colliers International, Cambridge, Mass., remains the epicenter of life sciences R&D in the area. However, with a vacancy rate of 1.5 percent, available space in Cambridge is practically nonexistent, which is driving companies to other locations across metropolitan Boston, like Somerville.

“Not only is Boston attracting clusters in the Seaport, Fenway/Longwood Medical Area, and Allston/ Brighton, but Somerville is also making a big life science push. Its proximity to MIT and the Red Line, along with its Green Line access, make it an intriguing option for occupiers,” according to the Colliers report. “The peripheral markets of Somerville and Watertown are surging.”

Somerville’s first life sciences building, the 290,000-square-foot 101 South Street is scheduled to reach completion later this year.