Mount Vernon buys Boston hostel for potential budget boutique hotel conversion

US: Boston real estate firm The Mount Vernon Company has bought an eight-storey hostel in the South End neighbourhood.

Mount Vernon acquired the building at 40 Berkeley Street for $17.2 million from a partnership that includes a former Boston Redevelopment Authority director Mark Maloney, and Georgia Murray, chair of the Rose Fitzgerald Kennedy Greenway Conservancy. It plans to redevelop the property as either a college dormitory or a boutique hotel aimed at young business travellers.

Mount Vernon founder Bruce Percelay said he defer a decision the future use of the building until he has had discussions with city officials and local residents. He said three colleges have approached him about leasing the property for their students.

If he takes the hotel route, the renovation will feature small rooms and large common areas.

“Our goal would be to preserve the building’s position as one of the more affordable entry level hotels but add an exciting vibe that would appeal to young travellers,” said Percelay.

Mount Vernon Co. owns more than 1,500 apartments in Boston and has recently purchased hotels and inns in Nantucket and Portsmouth, N.H.

mvernon.com

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