Northeastern, Boston strike landmark agreements on PILOT and campus expansion

"Boston and Northeastern University struck "landmark" agreements Thursday that clear the way for a major campus overhaul - including the redevelopment of Matthews Arena - and secure more than $130 million in payments and community benefits. The new Institutional Master Plan includes $62.5 million in community benefits over 10 years, along with $16.5 million in community benefits and $6 million in linkage funding to support affordable housing and workforce training explicitly tied to the Matthews Arena project."

""Boston thrives when our leading institutions match their global reach with a deep commitment to our neighborhoods," Mayor Michelle Wu said in a statement. Through the "landmark agreements," Wu said that Northeastern will deliver much-needed on-campus student housing and invest tens of millions of dollars in nearby affordable housing and community benefits. A separate Payment-in-Lieu-of-Taxes agreement commits Northeastern to more than $49 million in cash and additional benefits over the next five years."

"Wu said the PILOT agreement came at a time when Boston taxpayers needed relief - especially since her home-rule petition to shift a greater portion of the tax levy to commercial properties continues to fail to pass. The city has since refiled the legislation. Boston homeowners were hit with double-digit property tax increases in early 2025 due to the decline in commercial property values and the rise in residential property"

Boston and Northeastern University reached agreements that enable a major campus overhaul including redevelopment of Matthews Arena and upgrades to academic spaces while securing over $130 million in payments and community benefits. The Institutional Master Plan allocates $62.5 million in community benefits over ten years, plus $16.5 million and $6 million in linkage funding tied to Matthews Arena for affordable housing and workforce training. A separate PILOT commits more than $49 million in cash and additional benefits over five years. Projects will undergo Article 80 review. Northeastern will improve public access at Carter Playground and plan a Nubian Square beautification. The city refiled a home-rule tax petition amid early 2025 double-digit residential property tax increases linked to declining commercial values.

Read at Boston.com