Lease Terms: BPDA Looks to Delay Discussions of Rent Increase for Marina Watersheet

The Boston Planning and Development Agency (BPDA) will request its Board to delay discussions of terms on a new lease with the Charlestown Marina for a large tract of watersheet that was to get a new lease this spring.

“BPDA staff recommends that Lease terms be amended to extend the market adjustment date to May 1, 2022 in recognition of the current economic instability,” read the Board memo. “In the meantime, Charlestown Marina will continue to pay base rent of $35,000. BPDA and Charlestown Marina will negotiate a new base rent for Board consideration by February 28, 2022. All other terms conditions of and the Lease will be unchanged.”

The Water Parcel D was a nearly 175,000 sq. ft. watersheet in the Navy Yard that has no direct access to land and is only accessible from the Charlestown Marina. The first lease came in 2015 and came as an incentive to entice the Marina to redevelop Pier 6 and the infamous Shipyard Quarters that closed in 2014 in a hail of turmoil.

To incentivize the Marina to lease Parcel D for 45 years, and recognizing the huge up-front costs that were required to fix Pier 6, a flat fee of $35,000 per year was granted for the first five lease years.

When that lease was signed, the BPDA and the Marina agreed to evaluate the market and look at the lease terms in May 2020. However, with COVID raging, everything changed. Because of those extraordinary circumstances, and not knowing what a true market will be on the other side of COVID, the BPDA is recommending a one-year reprieve on the new lease. Both parties have agreed to getting a consultant to set a new market rate early next year, and have something established by April 30, 2022. The new market rate for Water Parcel D would ideally be in place May 1, 2022.

The Board is expected to vote on the matter at the March 11 meeting.

•DOVETAIL RESTAURANT TO REQUEST OUTDOOR SEATING

The ownership of the new Dovetail Restaurant in the Navy Yard are requesting that the BPDA Board allow them to use 2,850 sq. ft. of land at Building 34 for seasonal outdoor seating with no fees.

Dovetail is owned and operated by the same folks that operate Brewer’s Fork in Hays Square, and it is the location of the former Navy Yard Bistro. The restaurant was approved for the outdoor seating program last year, and the approval expires on March 31. They are looking to extend that until March 31, 2022

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