Condo development has fallen off a cliff in Boston. Blame higher rates

By Greg Ryan • Published July 17, 2023 • Updated on July 17, 2023 at 9:51 am

RISE is converting the former Mount Carmel Church, located in East Boston, to residential. The church will feature 14 condo units, but a new five-story building will be apartments, not condos.

New condo development in Boston has slowed dramatically, with real estate developers unable to find lenders to fund their projects. Some are resorting to selling their properties, or to converting their units to rental apartments in order to land financing.

Higher interest rates and economic uncertainty have hurt all kinds of housing development, but the fall-off in condo projects has been especially pronounced.

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