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Related Beal buys Boston's Motor Mart garage at a fraction of its 2016 price

Related Beal buys Boston's Motor Mart garage at a fraction of its 2016 price

Money Moves Boston, MA local

Parking garage with an approved-but-stalled condo tower sells for about $89 million, a little more than half its 2016 price.

Today: Related Beal announces Motor Mart purchase

Overview

Updated 52 minutes ago

Boston's Motor Mart garage, once the world's largest parking structure, has a new owner at a sharply reduced price. Related Beal says it bought the 1,037-stall garage at 201 Stuart St. for about $89 million — a little more than half what the property sold for in 2016.

The garage was approved for a 231-unit condo tower in 2019, but the pandemic and rising interest rates froze the project before construction began. The new owner says it will keep operating the garage while studying 'future residential and commercial development,' leaving the tower plan in limbo.

Why it matters

The sale shows how far Boston's downtown condo market has fallen — and leaves a landmark parking garage's future in limbo.

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Key Indicators

$89M
Reported purchase price
Related Beal and Freeport Equity's deal for the 1,037-stall garage, per a Boston Globe report cited by Banker & Tradesman.
$162.5M
2016 sale price
What CIM Group paid when it bought the garage in 2016.
45%
Decline from 2016 price
The roughly $73.5 million gap equals about a 45% drop from the 2016 sale.
1,037
Parking stalls
The garage's current capacity at 201 Stuart St.
231
Approved condos (2019)
The condominium units approved for an addition to the garage in 2019.

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People Involved

Organizations Involved

Timeline

2016 October 2026

5 events Latest: Today
Tap a bar to jump to that date
  1. Related Beal announces Motor Mart purchase

    Today Acquisition

    Related Beal announces it owns Motor Mart; reported price about $89 million.

  2. Motor Mart hits the market

    Listing

    The garage was put up for sale in January 2026.

  3. Deutsche Bank provides mortgage

    Financing

    The property received $105 million in mortgage financing from Deutsche Bank.

  4. Boston approves condo tower plan

    Regulatory

    City approved Boston Global Investors' plan to add 231 condominiums to the garage.

  5. CIM Group buys Motor Mart Garage

    Acquisition

    CIM Group bought the landmark garage from Park Square Revival Corp. for $162.5 million.

Scenarios

1

Related Beal files new development plan for Motor Mart

Possible Resolves by End of 2030

Discussed by: Banker & Tradesman, citing Related Beal's statement on future development

Related Beal's statement that the property 'holds great possibility for future residential and commercial development' suggests it may pursue a new plan to replace the stalled 2019 condo tower. Any project would need approval from Boston's Planning & Development Agency. With no large condo developments expected in Boston for years, an application could come later rather than sooner.

2

Motor Mart stays a parking garage, no redevelopment

Likely Resolves by End of 2030

Discussed by: Banker & Tradesman, noting the garage's continued operation

Related Beal says it will keep operating the 1,037-stall garage. The reported price — about half the 2016 value — suggests the market currently values the property mainly as a parking asset, not a development site. If interest rates stay high and Boston's condo market stays weak, the garage could operate as parking for years.

3

Related Beal resells Motor Mart garage

Unlikely Resolves by End of 2028

Discussed by: The Real Reporter, which covered CIM Group's 2016 purchase of the garage for an infrastructure fund

Related Beal could stabilize the garage's income and sell it to another investor, as CIM Group did. The garage offers proven cash flow and faces little new competition because Boston restricts new parking. The reported discount could attract investors looking for value.

Historical Context

2 moments from history that rhyme with this story — and how they unfolded.

2007-2008

Chicago Spire (2007-2008)

In 2007, developers broke ground on the Chicago Spire, a 150-story condominium tower designed by Santiago Calatrava. Foundation work began, but the 2008 financial crisis halted construction before the building took shape.

Then

The project defaulted on loans and the foundation was abandoned.

Now

The vacant site sat largely unused for more than a decade.

Why this matters now

Like the Motor Mart, an approved condo tower was killed by economic conditions, showing how quickly real estate value collapses when financing dries up.

2008-2010

Miami condo boom bust (2008-2010)

Miami's mid-2000s condo boom produced dozens of new towers. When the 2008 financial crisis hit, many projects were canceled mid-construction and prices fell by roughly half.

Then

Lenders took back unfinished properties; construction halted across the city.

Now

It took years for the market to absorb the oversupply and for prices to recover.

Why this matters now

Shows the pattern of approved-but-unbuilt towers losing value sharply in a downturn, the same dynamic that cut the Motor Mart's price since 2016.

Sources

(2)