April 2026 High-Profile Focus: Multi-Residential 15
Largest Office-to-Residential Conversion in Massachusetts Begins in Worcester
Worcester, MA – MassDevelopment has partnered with primary lender The Washington Trust Company to provide $ 51,170,000 in loan financing to OCP Worcester Owner LLC, an affiliate of real estate development company and property owner Synergy, for the largest office-toresidential conversion in Massachusetts to date. Synergy will use loan proceeds to redevelop and convert the former Fallon Community Health Plan headquarters located at 10 Chestnut Street in Worcester into 198 new market-rate apartments.
Washington Trust provided $ 47.57 million in loan financing while MassDevelopment provided a $ 3.6 million Housing Development Incentive Program( HDIP) tax credit bridge loan. The Executive Office of Housing and Livable Communities also provided a $ 4 million HDIP award and a $ 3.6 million Commercial Conversion Tax Credit award. Additionally, the City of Worcester is supporting the project through a 15- year Tax Increment Exemption.
“ Projects like this demonstrate how strategic public-private partnerships can unlock new economic potential in our downtowns,” said Economic Development Secretary Eric Paley, who serves as chair of MassDevelopment’ s board of directors.“ By redeveloping an underutilized office building into nearly
200 apartments, Synergy is helping bring new residents, foot traffic, and economic activity to downtown Worcester while making productive use of existing infrastructure.”
“ MassDevelopment applauds Synergy for their leadership in bringing 198 new apartments to downtown Worcester,” said MassDevelopment president and
Photo courtesy of Synergy
CEO, Navjeet Bal.“ We are proud to bridge support from the Commonwealth and financing from our partners at Washington Trust to help make this important project possible.”
Once complete, the 11-story building will feature 41 two-bedroom units, 85 one-bedroom units, and 72 studios. Amenities will include a fitness center, resort-style swimming pool, outdoor patio, rooftop deck, and underground parking. Construction began in May 2025 and is expected to finish in August 2026.
“ Office-to-residential conversion represents another significant opportunity for Worcester to meet its aggressive housing expansion target,” said Worcester Mayor Joseph Petty.“ In this case, rehabilitation of a prime building in the heart of Worcester will also spur additional activity and opportunity to the downtown core, an area that’ s seeing a resurgence in vitality. I want to thank MassDevelopment, Washington Trust Company, and Synergy Investments for making this historic investment in Worcester’ s future.”
“ The City of Worcester appreciates MassDevelopment facilitating the financing of this project in partnership with Washington Trust Company,” said Worcester City Manager Eric Batista.“ Office-to-residential conversions like this project provide a variety of benefits including stabilizing the property value in the wake of the pandemic’ s impact on office buildings, restoring the occupancy of the building and contributing to the vitality of downtown, and addressing the community’ s need for more housing opportunities.”
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