BOSTON — In media, the saying goes: three is a trend. And in Boston’s commercial real estate market, three major building auctions in recent months raise the question—will this pattern continue?
The most recent property heading to auction is a vacant office building and parcel of land at Two and Six Charlesgate West and 1161 Boylston Street. According to news reports, including Banker & Tradesman and Bisnow, the auction is scheduled to take place at the site at noon on August 12, 2025.
“The 56K SF vacant office building, once home to the Trans National Group, and 20K SF of vacant land at 2 and 6 Charlesgate West and 1161 Boylston St. are up for auction, according to auctioneer Paul E. Saperstein Co.,” reported Bisnow.
London-based student housing developer Scape purchased the property in 2019 for $39 million, with plans to redevelop it into multifamily housing.
“Scape had received a $30M acquisition loan from Mack Real Estate Credit Strategies, according to public records. It is partnering with Morro USA, a rental company co-founded by Scape Chairman Nigel Taee,” Bisnow reported.
Earlier this year, the Boston Zoning Board of Appeals approved a 28-story, 400-unit development for the site.
“We remain in active discussions with our existing lender regarding the project and are concurrently exploring refinancing alternatives with other lenders and strategic partners,” Morro Chief Development Officer David Hunt told Bisnow. “Our focus continues to be on identifying a constructive path forward that protects the interests of our investors and provides a resolution that works for all parties involved.”
This is not the only property heading to the auction block. Bisnow also reported that a 70-unit apartment building in West Roxbury, owned by DivcoWest, is scheduled for an August auction. In June, a Wellesley office complex owned by Beacon Capital Partners was listed for a July 17 auction.
With three high-profile properties headed to auction within a short span, the question remains: is Boston’s commercial property market entering a new phase of distress, or are these isolated cases of shifting investment strategies?
