If a developer spent over $40 million for a 200 key, 5.3 acre site in a swanky suburb of Boston, (take for example Brookline), I would expect that their acquisition team would anticipated development costs, the projected DCF and CAP Expenses to deliver on a hurdle rate that offer viable returns to the investor. In that area for example 1BR Condos sell for $500k and more with 2BR at $800k or more x 300 = $240M overall, and as MA is very 'green' one would think that there are a number of incentives being offered to upgrade and convert the property, with energy/electric costs being simply one of them.
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