The Globe’s Ellen Ishkanian provides details about the proposed project for the Orr Building site in Newtonville, reports on last week’s meeting about the project and shares a little of developer Robert Korff’s personal story.
Korff said that while he thinks six stories are appropriate, it’s something that will be up for discussion.
He suggested that in exchange for the extra story he might be willing to add more affordable units than the 23 proposed, he may be able to add some moderately priced units, or offer off-site mitigation.
RELATED: View the presentation from last week’s meeting.
I had to check twice to see that this Globe Correspondent wasn’t writing an editorial opinion piece or a musing on a widower and in fact was reporting the news. What little news worthiness to be found was either lacking details or almost lost in the fluff.
From razing “a tired block of buildings,” to a lifelong dream of travel coming to an end, and finally to Korff discovering 10 years later a “way to rebrand” while sitting “on the couch with his dog in his lap,” this is a mess. The Globe would have us believe that Mr. Korff lost his wife in 2006 and will only be able to overcome his grief by developing this building in 2016 as we are treated to a millionaire developer’s sob story about how he decided to spend his vast savings while sitting on a couch in his 5500 sq ft home on a lovely acre in Newton. Really?
I don’t see how this could be called a rebranding when this is precisely how he’s done business for years and he is a busy man. In addition to his plans for Newtonville, at the end of January, he presented a plan in Cambridge that will tear down a 99 year old Citizens bank building and replace it with a 12,500 sq ft CVS. Using one of his numerous LLCs, he paid over $12 million for the property and its surrounds. No one at the meeting was happy. Before that he purchased more built property in east Watertown to be torn down and replaced with a huge CVS that passed but was strongly opposed by most in the area. Before that it happened in Marion. And according to Julia, a massive CVS was in the works, at least originally, as the anchor store in the development plans for Newtonville. I guess adding apartments to his repertoire is his new brand.
He is in the process of purchasing the multi-family homes on Webster Place displacing the tenants there, the post office building leaving Newtonville without one, and everything else between Lowell and Walnut.
I agree with the comments of Sallee and Fignewtonville on the previous blog post about the meeting. So far nothing is right about this development including the developer’s story.
I had to check twice to see that this Globe Correspondent wasn’t writing an editorial opinion piece or a musing on a widower and in fact was reporting the news. What little news worthiness to be found was either lacking details or almost lost in the fluff.
From razing “a tired block of buildings,” to a lifelong dream of travel coming to an end, and finally to Korff discovering 10 years later a “way to rebrand” while sitting “on the couch with his dog in his lap,” this is a mess. The Globe would have us believe that Mr. Korff lost his wife in 2006 and will only be able to overcome his grief by developing this building in 2016 as we are treated to a millionaire developer’s sob story about how he decided to spend his vast savings while sitting on a couch in his 5500 sq ft home on a lovely acre in Newton. Really?
I don’t see how this could be called a rebranding when this is precisely how he’s done business for years and he is a busy man. In addition to his plans for Newtonville, at the end of January, he presented a plan in Cambridge that will tear down a 99 year old Citizens bank building and replace it with a 12,500 sq ft CVS. Using one of his numerous LLCs, he paid over $12 million for the property and its surrounds. No one at the meeting was happy. Before that he purchased more built property in east Watertown to be torn down and replaced with a huge CVS that passed but was strongly opposed by most in the area. Before that it happened in Marion. And according to Julia, a massive CVS was in the works, at least originally, as the anchor store in the development plans for Newtonville. I guess adding apartments to his repertoire is his new brand.
He is in the process of purchasing the multi-family homes on Webster Place displacing the tenants there, the post office building leaving Newtonville without one, and everything else between Lowell and Walnut.
I agree with the comments of Sallee and Fignewtonville on the previous blog post about the meeting. So far nothing is right about this development including the developer’s story.
Marti, you and a lot of the commenters on the Globe article! And I got a call from a Newton resident and business owner who asked me “why is the city letting this happen — is someone getting paid off?” (not the first time I’ve been asked that, about development in general!), and “why is he using his dead wife to make money?”
And I predict that having spent at least $20 million on the first eight properties (per the Real Estate Transactions in this week’s Tab), or $22.5 million per the Globe article, with no guarantee (at least officially) that he will get his zoning change and special permit, he will argue that he ‘can’t make any money’ if the project is only three stories or a whatever size people would find more acceptable. Seen that over and over. As if the City Council’s job is to ensure that developers make a profit.
Doing a West End-style gentrification on Newtonville because he doesn’t find its mismatched buildings appealing is not my idea of a legacy. Instead of destroying something that works, he could’ve bought 70 Crescent Street and made it a park. He could fund 10,000 trees, or help preserve Webster Woods, or take up the idea of creating a green space over the Pike, if he really wants to make a positive difference. Instead we’re hearing a rationalization for the kind of project he’s been doing anyway.
And note that Ellen’s article says Korff “is passionate about what he sees as a linchpin for development along Washington Street.” That suggests he thinks even more development along Washington Street is desirable. What would be next, after Walnut to Lowell? The block east of Walnut? West of Lowell?
Marti, you and a lot of the commenters on the Globe article! And I got a call from a Newton resident and business owner who asked me “why is the city letting this happen — is someone getting paid off?” (not the first time I’ve been asked that, about development in general!), and “why is he using his dead wife to make money?”
And I predict that having spent at least $20 million on the first eight properties (per the Real Estate Transactions in this week’s Tab), or $22.5 million per the Globe article, with no guarantee (at least officially) that he will get his zoning change and special permit, he will argue that he ‘can’t make any money’ if the project is only three stories or a whatever size people would find more acceptable. Seen that over and over. As if the City Council’s job is to ensure that developers make a profit.
Doing a West End-style gentrification on Newtonville because he doesn’t find its mismatched buildings appealing is not my idea of a legacy. Instead of destroying something that works, he could’ve bought 70 Crescent Street and made it a park. He could fund 10,000 trees, or help preserve Webster Woods, or take up the idea of creating a green space over the Pike, if he really wants to make a positive difference. Instead we’re hearing a rationalization for the kind of project he’s been doing anyway.
And note that Ellen’s article says Korff “is passionate about what he sees as a linchpin for development along Washington Street.” That suggests he thinks even more development along Washington Street is desirable. What would be next, after Walnut to Lowell? The block east of Walnut? West of Lowell?
The argument about needing certain conditions in order to make money isn’t valid here. A development on the Austin Street lot was planned by the city who generated a request for proposals with objectives. This is private property that the owner wants to develop so he either convinces the city council to see his vision or goes the 40B route. He’s arrogant, resourceful, experienced in getting his way and has plans beyond what he has revealed to residents. He even admits he’s using the sixth story as a bargaining chip.
We’ll see where this is going after he submits an actual proposal to the city.
The argument about needing certain conditions in order to make money isn’t valid here. A development on the Austin Street lot was planned by the city who generated a request for proposals with objectives. This is private property that the owner wants to develop so he either convinces the city council to see his vision or goes the 40B route. He’s arrogant, resourceful, experienced in getting his way and has plans beyond what he has revealed to residents. He even admits he’s using the sixth story as a bargaining chip.
We’ll see where this is going after he submits an actual proposal to the city.
There is a quote that started with Finley Peter Dunne: “It is the duty of a newspaper to comfort the afflicted and afflict the comfortable.”
The article turned that phrase on its head.
There is a quote that started with Finley Peter Dunne: “It is the duty of a newspaper to comfort the afflicted and afflict the comfortable.”
The article turned that phrase on its head.
City Council and Mayor are getting something from this Korffe guy and it is truly sad for the area.The rich are getting richer!!! What this guy is doing to Newton is sinful…. How much money is enough you JERK!!!
Korff is taking crappy old building and turning them into beautiful new buildings that pay more in property taxes. I think he’s been great for this city. I’m hoping he looks on the other side of Washington Street and gets involved with developing the air-rights over the Pike.
Alternatively, you could say he is buying land cheap based on existing zoning laws and then lobbying for special permit to change the purchase into a lottery ticket.
You could also argue that they specialize in rental buildings to create perpetual “luxury” piggy banks at the expense of Newton resources (schools, traffic, noise)
There are always 2 points of view. But yes, the old buildings were dumpy and needed replacing with “something”
Of course everyone is entitled to their own opinion. But that does not mean everyone’s opinion is correct, or based on an accurate interpretation of the facts.
To suggest that Korff is buying land “cheap” along the Washington St corridor is factually inaccurate. He’s been the only buyer for most of these off-market properties, so he’s clearly paying top dollar to dislodge owners who have been there for decades. And any smart developer looks to maximize the value of their property through the regulatory process. Korff is not unique in that regard.
Also worth pointing out that buying a “lottery ticket” does not make you an automatic lottery winner. Like the lottery, real estate development is a gamble, and almost every developer has their share of losing “tickets.”
The Mayor and City Council promised increased tax revenue for Trio and Austin Street. Yet the biggest local news in the last 2 weeks is about the public school employees that may lose their jobs because there isn’t enough tax revenue you.
It’s amazing how this city and region continue to be bamboozled by the promise of increased developer tax revenues that end up sucking up more of our tax resources than they give back.
And now, some Councilors are starting to raise the “o-word”. #noverride
@Matt Lai – So if its #nooverride for you, what do you want to see cut. NPS? If not, what?
@jerry – can’t say without the ability to see the full, itemized budget. It would be irresponsible to do so.
That said, it was also irresponsible to approve the MOA when we could not afford it, AND not approving it would have more than closed this year’s budget gap.
But to answer your original question, I find it very difficult to believe there are zero efficiencies to be gained in a budget of over $260m.
Any city councilor that receives money from Korff whether in the form of donations to their campaigns or affiliated charities or does business with him should recuse themselves from any deliberations or voting on any business he wants to put in front of the city council.
I’ve always wondered about this. Its perfectly legal for developers to shower $ to chosen charities and be sponsors to all kinds of events.
If a donation of $1m dollars goes to a councilors favorite charity, there is no way to disclose this. There is also no way to disprove this ‘Lobbying’ is happening… its all just speculation.
Can someone provide a link yo whatever new development consideration caused this thread to get resurrected? I feel like I’ve missed a detail or seven. Thank you!
This is in response to Bruce Wang’s above comment on City Council recusals.
Massachusetts state law M.G.L. 268A governs conflicts of interest of state, county, and municipal employees with specified criminal penalties for violators, including imprisonment. The relevant portion of 268A for Mayor Fuller and the Newton City Councilors is Section 19. This law forbids “participation” of municipal employees, including City Councilors, in a matter in which they, their employer, or a relative’s employer has a financial interest. The term “participate” is broadly defined in section 1 of the law as to “participate in agency action or in a particular matter personally and substantially as a state, county or municipal employee, through approval, disapproval, decision, recommendation, the rendering of advice, investigation or otherwise.”
In my reading, this law covers almost all business dealings, but NOT campaign or charitable donations, unless the charity is the employer of the elected official or the elected official’s relative. However, if a City Councilor does business with an entity, then they MUST recuse themselves from Council matters concerning the entity – or face criminal penalties.
Importantly, there is a state agency, the State Ethics Commission, that residents can call with questions, or to file a complaint, regarding 268A. Their phone number is (617) 371-9500 and their link is posted below. They are far more qualified than I to give an opinion on a particular example.
More importantly, however, the Newton Law Department ACTIVELY OBSTRUCTS residents and some Newton officials from even knowing about M.G.L. 268A or the State Ethics Commission. If residents have questions or concerns about Newton Government conflict of interest issues, they should contact this State Ethics Commission DIRECTLY, and NOT the Newton Law Department or the City Councilors.
https://www.mass.gov/how-to/file-a-complaint-with-the-state-ethics-commission
One way to eliminate the possibility/appearance of conflicts of interest would be for the City to set firm building/zoning codes where everybody knows and plays by the same the rules. Special permits should be rare exceptions not a “lottery ticket” for developers.
Great point. We also need better opinions of value for commercial properties.
I have heard that Korff’s investors/funding for his developments are from overseas – specifically Russia . Is there any truth to that?
I echo Fred’s comment. The city council does in my experience treats special permit applications as done deals to be negotiated downward from what the developer wants, rather than starting at the by-right limits and deciding what is “special” about the project that might warrant deviation from the by-right use.